Refinancing?

Refinancing a mortgage means paying off an existing loan and replacing it with a new one. There are many reasons why homeowners refinance:

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Multiple Residential Properties

Multiple Residential (Rental) Properties Are a Great Investment.

Cash flow and capital appreciation are some of the top reasons that investors decide to purchase multiple properties. After you consider your loan payment and operating expenses, the money you bring in from rentals can be a great source of income. And it gets better over time, too.

Rental property investing is the preferred investment strategy for investors who want an additional source of monthly income along with a slow but steady appreciation in the value of their portfolio. When it comes to residential real estate, there are two main types of properties that one can invest in: single-family and multi-family.

Much like stocks, real estate investing allows for one to be successful through several different strategies. One of the most popular ways to invest in real estate is to own a collection of rental properties. Properties that only have one residential rental unit are commonly referred to as single-family properties, while apartment complexes that have multiple rental units are known as multi-family properties.

Other real estate investors have also made millions of dollars from house flipping or purchasing properties that are in disrepair for cents on the dollar and renovating them to later sell them to a new owner.

Make the most of your money – invest and reap the rewards.  We can get you funded.

Contact Adnan at: +1 (416) 558-8810 | adnan@bmtgg.ca  | Book a Meeting

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Self employed?

Here’s What You Need to Know to Get Ready for Your Mortgage-Approval!

If you’re self-employed, it can be more of a challenge to get a mortgage because you’ll need to prove you have a reliable income. But getting a mortgage when self-employed is certainly not impossible.
There are plenty of ways to prove to a mortgage lender that you have a reliable income, it’s usually just a case of jumping through a few extra hoops.

If you’re self-employed and looking for a mortgage, you will, in theory, have access to the same range of mortgages as everybody else, and you’ll need to pass the lender’s affordability tests in the same way as any other borrower.

But because there is no employer to vouch for your wage, self-employed people are required to provide far more evidence of their income than other borrowers.

To prove your income when you apply for a self-employed mortgage, you will need to provide:

• Two or more years’  T1 General
• Notice of Assessments (from CRA) for the past two or three years
• Evidence of upcoming contracts (if you’re a contractor)
• Evidence of dividend payments or retained profits and corporate financial statement (if you’re incorporated)

Lenders also prefer self-employed mortgage applicants to provide accounts that have been prepared by a certified, chartered accountant; that way they can be sure of your reliability. It’s likely that they will focus on the average profit you’ve earned over the past few years.

If you only have accounts for one year or even less, you may find it a challenge to convince a lender that you can afford to repay a mortgage – but, again, it’s not impossible. Having evidence that you’ve got regular work or providing proof of future commissions may help.
Just be aware your choice of mortgages may be more limited.

Having a healthy deposit and a good credit history will also help your chances of securing a mortgage when you’re self-employed.

As well as providing evidence of your income, you will also need to provide:

• Proof of tax payments
• Utility bills dated within 3-6 months
• Six months’ worth of bank statements

Lenders will want to examine your bank statements to look at the business cashflow and how much you spend on bills and other costs to be certain you could afford your mortgage repayments.

As long as you are prepared for the process, we can get you approved.

Contact Adnan at: +1 (416) 558-8810 | adnan@bmtgg.ca | Book a Meeting

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