Financing Tools for Buying a Home
Are you planning on buying a home? There are many tools that can help you assess your financial situation so that you can make your homeownership dream a reality.
Borrowing capacity and mortgage pre-approval
When you start looking for a home, it’s a good idea to know your borrowing capacity so that you can focus your search on properties that you can afford. To do this, you can get a mortgage pre-approval to find out the amount you can borrow, the interest rate and the amount of each payment.
A mortgage broker can help you with the pre-approval process and advise you on the different rates and terms available to you.
The Home Buyers' Plan (HBP)
The Home Buyers' Plan (HBP) is a government program that allows any buyer to use money from their Registered Retirement Savings Plan (RRSP) to finance the purchase of a property without having to pay tax on the withdrawal. The funds withdrawn must be returned to the RRSP within the time frame dictated by the program.
