Buying another home

Home buyers tips.

When you are ready to buy your next home, you are already experienced in this industry. You are aware of what to buy and where to go for the best value for your investment. Here you will find some very useful information related to your next home buy.

Second Home

If you are buying a second home, but are also keeping the first one, then the second home would most likely be considered as an investment property. Recently, the Government of Canada has introduced some laws to define the mortgage eligibility for these kinds of mortgages. The main points are given below.

• All borrowers must qualify for the posted rate for a five-year fixed-rate mortgage, even if they want to get a variable mortgage or a different term.
• The maximum existing home refinancing is now 80% of the value of the home. This was 90% before.
• A minimum 20 per cent down payment must be made — up from 5% — to get CMHC insurance for investment properties.