6 Tips to purchase a higher priced home in British Columbia
Learn How To Buy the Home You Want!
There are several tactics that a potential home buyer can use to purchase a higher priced home, including:
1 – Bank of Mom and Dad or Gift from Parents
If the buyer’s parents have sufficient funds, they could gift the buyer the down payment or a portion of it, which would reduce the amount of the mortgage and make it easier to qualify for a higher priced home.
2 – Getting a Co-signer for the Mortgage
If the buyer’s credit score or income is not high enough to qualify for a mortgage on their own, they could consider getting a co-signer who has good credit and income to help them secure a larger loan.
3 – Using a Credit Union that Does Not Require the B-20 Mortgage Stress Test
The B-20 mortgage stress test is a measure that requires borrowers to prove that they can afford their mortgage payments even if interest rates rise.
Some credit unions may not require this test, which could make it easier for buyers to qualify for a larger loan.
4 – Use an Alternative Lender
Alternative lenders may have less stringent qualification requirements than traditional lenders, and may be willing to offer higher loan amounts to borrowers who may not qualify for a mortgage with a bank or credit union.
5 – Sell Unnecessary Property or Toys
If the buyer has any other properties that are not needed, they could consider selling them to raise funds for a down payment on the new home.
6 – Access RRSPs as a First Time Home Buyer
The Canadian government’s Home Buyers’ Plan (HBP) allows first-time homebuyers to withdraw up to $35,000 from their RRSPs to use as a down payment.
Conclusions and Further Thoughts
Here are just a variety of ways that you can qualify for a higher mortgage. Call Huber Mortgage and we can discuss the best strategy to get you the house you want! Contact me HERE
Sincerely,
Michael
PS – One of my hobbies is blogging about mortgages, debt and government policy. During the day I’m a MORTGAGE BROKER in Kelowna, BC!
Check out the Huber Mortgage Home Buyers Guide HERE
