YOUR VERY OWN HOME!

First home

Are you dreaming of buying your first home soon? Let us guide you through the major steps to make this experience as enjoyable as possible or download our free Homebuyers' Guide for more detailed guidance..

 

THE BUDGET

An essential solid base

The budget is the first brick to lay for a solid foundation leading to the purchase of your first home. This will allow you to establish the limits of your project and determine your financial capability and will also allow you to plan your purchase with peace of mind and minimal stress.

Evaluating my current finances


Once your budget is established, you will be able to evaluate the value of the home you can afford by creating scenarios based on various aspects, including:

  • the amortization period (number of years in which you wish to repay your mortgage)
  • the mortgage amount
  • the interest rate
  • your payment amount


Learn how to save money and pay off your home in less than 20 years.

What home can I afford


Once you finish your calculations, your advisor can sit down with you, analyze the results and even grant you a preauthorized mortgage loan— an evaluation that determines the maximum financing amount you’re eligible for according to your financial situation. This will facilitate your negotiations with the seller or real estate broker, guarantee the rate for 90 days and speed up the transaction to get you into your home as soon as possible. Make an appointment today for a preauthorized mortgage.

 

THE DOWNPAYMENT

Invest in your project

When you borrow for a home, you must invest at least 5%1 of the value of the house: this is the famous downpayment.

 

HBP

Your RRSP as a down payment

The HBP (Home Buyers' Plan) is a government program that allows you to borrow from your RRSPs (Registered Retirement Savings Plan) to buy or build your house, all without a penny of interest payable. And no stress! You have 15 years to pay it back!

 

START-UP COSTS

Always overlooked

In addition to the initial downpayment, you should allow between 3% to 5% of the purchase price to cover certain start-up costs such as:

  • Inspection fees
  • Appraisal fees
  • Legal fees
  • Insurance fees
  • Survey fees
  • Sales tax for new homes
  • Moving and public utility hook-up costs
  • Decoration, landscaping, furniture, etc.


Try to anticipate these costs as much as possible, or ask your advisor for a personal line of credit to help you out temporarily.

Calculate my new house start-up costs

Calculate my existing house start-up costs

 

MORTGAGE LOANS

To each their profile

Open or closed mortgage? Fixed or variable rate? 1- or 5-year term? A mortgage that fits you is essential because not all profiles are the same.

Whether you are looking for payment stability or to save as much money as possible, we have a strategy that will help you achieve your goals. To determine which mortgage loan is best for your situation, choose one of the following five descriptions:

PROFILES Closed or open fixed rate Closed fixed "5-in-1" yearly resetter rate Closed protected variable rate Closed or open reduced variable rate Versatile Line of Credit
Looking for stable rates and payments?
       
Looking for stable payments and want to take advantage of low interest rates?  
     
Looking for a low rate, but you want protect yourself from major rate increases?    
   
Want to take advantage of low interest rates to save as much interest as possible?      
 
Looking for a very flexible and tailored financing tool?        


See our mortgage loan comparison table for more details

See our rates

 

CREDIT INSURANCE

Protection that's worth the cost!

Your first home will undoubtedly be covered by a home insurance plan. You should also protect your most valuable asset (yourself) with our life and disability insurance on loans.

 

PRACTICAL ADVICE

Little tricks, big impact

  • Prepare your downpayment
    • The best way to save for the downpayment is to make periodic automated deposits into an account reserved for this purpose. Remember that the bigger your downpayment, the less you’ll need to borrow and the less interest you’ll pay. This is advice that many people regret not following.
  • Plan for start-up costs
    • Too often forgotten in calculations, start-up costs can quickly accumulate. Allow between 3% and 5% of the price of your home for inspection, appraisal, legal and other fees. Try to anticipate these costs as much as possible, or ask your advisor for a personal line of credit to help you out temporarily.
  • Pay off your loan faster without penalty
    • Pay weekly or every two weeks instead of monthly
    • Double your payments
    • Pay an additional amount (up to 15% of the original loan amount)

  • How to avoid prepayment fees:
    • Respect the payment limit, which is 15% of the original loan amount
    • Choose an open mortgage
    • Wait for the end of your term
    • Ask you advisor for more advices

  • Borrow within your means
    • Nobody wants to have a hyper-modern kitchen furnished with a patio set or to have to put a stop to restaurant outings. Yet this is what can happen if your mortgage payment takes up your whole budget. Borrow within your means and your lifestyle so that the house that you buy, large or small, still allows you to enjoy life.