We will be hosting a special event on Saturday April 11 in our showhomes at 38 Nolan Hill Gate NW, with Laura Parsons of BMO. She will be in house to answer your most pressing home buying questions, in exchange, you get 50 Airmiles! Register by emailing email@example.com. The blog below talks about some of the many concerns she will be addressing at the event.
If you are renting, why are you still renting? Are you nervous about home ownership, the commitment, or you just can’t seem to get the down payment going? Did you know we have a program to get you started even if you don’t have a down payment yet? What I find is that most buyers are waiting until they have a down payment to get started on the strategy, and they shouldn’t.
We can help guide you get there quicker, and also help you understand, based on your income, what you will need, and what that looks like as payment. The getting started program is simple, we will take your application, and based on your income and current debt load advise you on what you can afford if you had a down payment, and how much you will need to save for a down payment. We then open a BMO account, and attach a program called Moneylogic where we can get a better sense of where you spend. We then decide what we can carve out of your spending to get you on the road to homeownership. Moneylogic can track your spending by category; coffee, groceries, or dinner out, whatever we think works with your lifestyle.
Here is an example:
Jane Doe and Jim Smith have good incomes but can’t seem to save for a down payment. We preapprove them, and based on a gross income of$6500 per month we establish a mortgage amount of $369,000.00 requiring a $19,000.00 down payment. The payment would be $1686.00 plus $200 in taxes, and $100 heat for a total of $1986.00. We review their spending habits after 2 weeks and can then see what money is going where, so they are then able to set aside some money each month to start a down payment savings plan. So, if their new mortgage payment is $1986, and their current rent is $1000, we see if we can pull out the difference of $986 to go towards the down payment account.
This strategy accomplishes three things
- Brings awareness to how you spend
- Gets you used to a mortgage payment so it’s a less scary concept
- Helps you build your down payment.
Remember, when you rent you are paying someone else’s mortgage payment and building their equity when you could be doing this for yourself. If you have any questions or want to find out more email me at firstname.lastname@example.org.
I look forward to meeting you next week and assisting you in taking that big next step.