18 04, 2017

New Investors Unprepared for Buying Process

By |2018-02-07T17:46:54+00:00April 18th, 2017|Buying an Investment Property, Mortgages, News|0 Comments

New Investors Unprepared for Buying Process It is a cardinal sin for investors not to be prepared or knowledgeable about the home buying process, but new figures point out that a third (32 per cent) of first-time investors admit to just that. The survey, published by the Real Estate Council of Ontario (RECO), also found [...]

20 05, 2015

How Lenders Calculate Debt Ratios on Rental Properties

By |2016-12-01T05:16:44+00:00May 20th, 2015|Mortgages|1 Comment

In a previous post I talked about the basics of mortgage debt ratios—the calculations lenders use to determine if you qualify for a mortgage. This prompted this reader question: Q: If I own a rental property, which debt ratio do you add the rental property mortgage payment, rental income, taxes and heat to? —Bob A: While the [...]

30 04, 2015

Basics of Mortgage Debt Ratios

By |2016-12-01T05:16:44+00:00April 30th, 2015|Mortgages|0 Comments

How the TDS and GDS are Calcultated Typically, mortgage lenders use the “Five C” rule when analyzing someone’s ability to afford a mortgage: 1) Capacity to repay (your income) 2) Current economic conditions (your profession’s current economic status as well as your city and country’s economic situation) 3) Capital put down (the down payment you [...]