Five Reasons Why You Should Let Renters Help Pay Your MortgagePosted on: 2015-10-07
Are you a savvy homebuyer? Then let renters help pay your mortgage.
Recently Canada Mortgage and House Corporation (CMHC) announced that when qualifying for a mortgage, homeowners could now count all of the income from their legal secondary unit(s) instead of the previous 50 per cent, making it easier to qualify and giving this home buying option a boost.
Whether you’re a first-time homebuyer feeling your way into the housing market or an existing one looking to lower your mortgage payment, here are five reasons why having renters help pay your mortgage is such an appealing option:
- Some first-time buyers want to move directly into a single-family home and get mortgage assistance using a rental suite instead of purchasing a condo at a lower cost.
- If you want to get your foot into the world of real estate without breaking the bank, a home with a rental suite can be a great start, especially if the area you happen to love is pricey.
- Homeowners looking ahead to the future may want to lower their mortgage cost so they can channel money into other investment areas like RRSPs, TFSAs, RESPs. Or simply as a way to become mortgage free sooner!
- Spending less on your mortgage can give you the freedom to change your lifestyle or follow your dreams, perhaps to travel, start a new business venture, or allow for the luxury of having a stay at home parent.
- Rental suites are also great if you have ageing parents. You can keep them close without infringing on personal space. Keep in mind that if tenants are family members, lenders and insurers will not use the rental income for qualifying purposes.
Ready to become a savvy homeowner and let renters help pay your mortgage? Talk to me today and find out how!
Mortgage choice - monoline lenders
Finding a perfect mortgage that fits your life is like finding the perfect home. It’s an important decision that requires a lot of shopping around.
That’s where we come in.
With access to over 50 of Canada’s leading lenders, we are a one stop shop. We work with major banks, credit unions, and national, regional and private lenders.
One specific lender type that we work with is called a “monoline” lender, which focuses just on mortgages and doesn’t take deposits.
They don’t have other products to cross-sell, which differentiates them from a bank or credit union. They are an important part of the mortgage market because their mortgage products and low pricing improve consumer choice and ensure that our banks remain competitive.
Most monoline mortgages are only available through mortgage brokers, which is one of the reasons so many Canadians are turning to mortgage brokers for their purchases, refinances and renewals.
Source: Invis and Mortgage Intelligence