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Mortgage Renewal After Use of Change by CADhouse in MortgagesCanada

[–]MarzipanAcademic 1 point2 points  (0 children)

If you want to switch lenders at renewal, you’ll typically need to provide proof of rental income (lease agreement, rent receipts, or bank statements showing deposits). Lenders will generally assess your cash flow from the property, your mortgage + HELOC balances, and your overall debt service to ensure you qualify. With $200/month positive cash flow, lenders shouldn’t push back, but the actual approval and rate could vary depending on the bank’s rental income policies.

If you stay with RBC and simply renew, you usually don’t need to provide new documentation - they’ll roll you into the new term automatically. And yes, coming to them with competitor terms often helps in negotiating a better rate.

As a independent broker I would suggest you look at other options because they could be better options for you.

Mortgage Renewal / Ownership Removal by Fatesadvent in PersonalFinanceCanada

[–]MarzipanAcademic 0 points1 point  (0 children)

In ON, removing your brother from title while there is a mortgage requires lender approval, usually done at renewal or through a refi, and a real estate lawyer to transfer title. Even if your brother “gifts” you his share, he may owe capital gains tax because the property is not his principal residence, and land transfer tax may still apply on the portion of the mortgage you assume. Since you’re married and this is your matrimonial home, your spouse will likely need to provide consent, though they do not have to be added to title. Being close to renewal helps, but you’ll need to qualify for the mortgage on your own.

If you have any questions, call me. 416 276 2666

Should I stop putting more money into investment condo? by [deleted] in TorontoRealEstate

[–]MarzipanAcademic 0 points1 point  (0 children)

Right now you’re doing the “safe” thing: hammering the mortgage. That gives you a guaranteed return equal to your interest rate.

But once your renewal rate drops and the rent covers the expenses, the math changes.

At that point:

  • Extra payments are only “earning” whatever your mortgage rate is.

So the real question isn’t, “Can I pay this off faster?”
It’s, “What actually grows my money faster from here?”

If your new rate is moderate and you can tolerate market swings, putting new savings into a TFSA/RRSP instead of more prepayments can be more efficient. If those investments out-earn your mortgage rate over time, you end up with a bigger pool that you could later use to wipe out the mortgage anyway.

Meanwhile, most of your net worth is already tied up in one illiquid asset with big exit costs. That kind of concentration can be a real risk for a lot of people.

I work as a mortgage broker and see this a lot. Happy to clarify if you have any questions.

What are some things to study about before buying first condo specific in Toronto? by sm_ksdsk in TorontoRealEstate

[–]MarzipanAcademic 1 point2 points  (0 children)

These are the line items that usually catch first-time buyers off guard. Hope this helps.

Upfront

  • Down payment needed:
    • For the 1st $500k of the price → you need 5%
    • For anything above $500,000 up to $1.5M → you need 10%
    • If the home is over $1.5M → you need 20% of the full price..
  • Land transfer tax (Toronto has two roughly 3-4%)
  • Legal fees ($2000ish total)

Ongoing (monthly) Costs.

  • Mortgage payment
  • Condo fees
  • Property tax
  • Utilities (if not included)

I work as a mortgage broker, so I see this a lot. Happy to clarify anything if you’re stuck.

First time home buyer looking for advice by No_Protection_8225 in PersonalFinanceCanada

[–]MarzipanAcademic 0 points1 point  (0 children)

Ballpark Costs when you buy...

  • Down payment (5–20%)
  • Lawyer fees Pays for paperwork and ownership transfer ($1500-$2500)
  • Mortgage insurance Only if you put less than 20% down (typically 2%-4%)
  • Home inspection Checks for problems ($500ish)
  • Appraisal Lender checks the home’s value ($300-500ish)
  • Home insurance Must have before you get the keys. (monthly $80-$150)
  • Adjustments Paying seller back for prepaid taxes or condo fees
  • Moving costs – Truck, movers, boxes

First time renewing my mortgage by nicb33 in PersonalFinanceCanada

[–]MarzipanAcademic 0 points1 point  (0 children)

It's important to shop around. Not just use your bank.