Buying a Home
Q:
How can I compare my monthly rental payments to mortgage payments?
A:
Of course, the amount of your mortgage payments will depend on the price of the home you buy, the size of your down payment, prevailing mortgage rates and the term and amortization you choose. But it’s actually quite easy to estimate typical payments using the mortgage calculators available on our website: go to Royal Bank and click on ‘Mortgage Calculators’.
Q:
How do I know how big a mortgage I will qualify for?
A:
A pre-approved mortgage is a great way to know how much you can borrow for your home. This, in turn, helps you set a price that’s realistic for your financial situation. It’s important to note that having your mortgage pre-approved doesn’t obligate you to buy a home: it’s simply a way to know how much your mortgage lender will approve you for. Our mortgage specialists can meet with you in your home, workplace or at a branch to take you through the pre-approval process.
Q:
I want to become a homeowner as quickly as possible but I haven’t saved a large down payment. Any suggestions?
A:
You can now purchase a home without a down payment, as long as you meet approval requirements. All you need is 1.5% of the purchase price to cover closing costs. A mortgage specialist can help you consider whether this option is right for you.
Q:
Where can I find up-to-date information on home prices and the real estate market in my area?
A:
-The Multiple Listing Service (MLS) offers an easy way to browse through home listing sin very part of Canada. Easy links let you look at the housing market in specific cities by neighbourhood, price range, type of home and other parameters. It’s a great way to get a sense for the t types of homes available in your community and their features and price ranges. Visit www.mls.ca
-The Canadian Real Estate Association (CREA) website helps you look at average home prices in communities across Canada and locate a Realtor in your area. The site also includes useful homebuying tips and a glossary of common real estate terms. Got to www.crea.ca
-The Canadian Mortgage and Housing Corporation (CMHC) provides a content-rich website with detailed, step-by-step information on buying, selling and renovating a home, as well as up-to-the-minute news of interest to homebuyers and sellers. Visit www.cmhc. ca and c lick on “Buying or Renting a Home”.
-RBC Financial Group provides detailed information on mortgage options and first-time homebuying at First Time Home Buyers
Frequently Asked Questions about buying a home has been brought to you by Royal Bank Mortgage Specialist Bruna Anacleto. For further questions or concerns about your mortgage, please contact her at 416-508-6324, or email her at bruna.anacleto@rbc.com
