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CONTACT US |
Karen Loehndorf
Calgary Mortgage Broker
Cell: 403.861.6969
Direct: 403.242.4392
Toll Free: 877.342.4392
karen@canquestmortgage.com |
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CURRENT MORTGAGE RATES |
Last updated:
April 28, 2008
Term |
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6 month
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6.20%
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6.20%
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1 year
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6.95%
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5.00%
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2 years
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7.00%
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5.85%
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3 years
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7.00%
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5.85%
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4 years
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6.85%
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5.69%
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5 years
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6.99%
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5.35%
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7 years
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7.40%
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6.15%
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10 years
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7.75%
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6.40%
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Variable
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Prime - 0.6%
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4.15%
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Prime:
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4.75%
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* rates subject to change without notice
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MORTGAGE QUALIFIER CALCULATOR |
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The first step in buying a house is determining your budget. This calculator steps you through the process of finding out how much you can borrow. Fill in the entry fields and click on the payment schedule button to see a complete amortization schedule of your mortgage payments.
*Mortgage Insurance is usually required with a down payment of 20% or less - you should check with your Financial Institution |
Definitions
- Annual income
- Your gross annual income. For married couples this is your total combined gross annual income. Please note that if you enter a purchase price or total monthly payment the calculator will determine the gross annual income required to qualify for the purchase. This calculated amount may be higher or lower than your actual income.
- Purchase price
- The price of the home you wish to purchase. This is the actual price you pay, not including any closing costs. If you enter an annual income or a total monthly payment, the purchase price will be calculated based on these amounts.
- Total monthly payment
- Total monthly payment that you can qualify for. This is the total of principal, interest, taxes and heat paid each month. If you enter a purchase price or annual income, the total monthly payment will be calculated based on these amounts.
- Cash on hand
- Cash you have for the down payment and all closing costs.
- Interest rate
- The current interest rate you can receive on your mortgage.
- Amortization in years
- The number of years over which you will repay this mortgage.
- Annual property taxes
- The annual property tax paid on the home you are purchasing.
- Monthly heat
- Total monthly payment for your home's heating bill.
- Monthly car payment(s)
- Total monthly payment for your car loan(s) or lease(s).
- Credit card payments
- Total monthly minimum payments for your credit cards.
- Other loan payments
- Any other installment loan payments, such as student loans or unsecured loans.
- Condo Fee
- Monthly fee charged for your condominium that you expect to incur with the ownership of this home. Please note that condominiums are referred to as "strata" in the Province of British Columbia. We add 50% of your condominium fee to your Gross Debt Service (GDS) when calculating the maximum mortgage that you can qualify for.
- Other closing costs
- Estimate of all other closing costs for this loan. This should include filing fees, appraiser fees and any other miscellaneous fees payable.
- GST
- Many new homes have the purchase price with GST and/or HST/PST included. If this is the case for your home purchase, the checkbox to include GST should be left unchecked since the GST and/or HST/PST will be included in the purchase price.
This calculator calculates GST at 6% of a new home's purchase price minus a GST rebate. GST rebates are calculated as follows. For homes under $350,000, the rebate amounts to 36% of GST, up to a maximum rebate of $7560. For homes between $350,000 and $450,000, the maximum rebate of $7560 declines to zero on a proportional basis. All homes selling for more than $450,000 receive no GST rebate. It is important to be aware that there may be additional taxes on new home purchases in the form of HST and/or PST, depending on the province where the purchase is made. These additional taxes are not included in this analysis.
- Mortgage Insurance Required?
- Check this box if you wish to calculate the amount of mortgage insurance payable. For additional information regarding mortgage insurance please read the definition below.
- Mortgage Loan Insurance Premium (non-refundable)
- Mortgage insurance makes it possible for homebuyers to purchase a home using a lower down payment. The Canadian Bank Act prohibits most federally regulated lending institutions from providing mortgages without mortgage loan insurance for amounts that exceed 80% of the value of the home or purchases with less than 20% down payment. The Canadian Mortgage and Housing Corporation (CMHC) and Genworth Financial are two companies that offer Mortgage Loan insurance. For more information please visit their websites at www.chmc.ca and www.genworth.ca.
| CMHC and Genworth Financial's current Mortgage Loan insurance Premium Rates*: |
Loan Size (% of property value) | Rate (as a % of loan) |
| Up to and including 65% (over 35% down payment) | 0.5% |
| Up to and including 75% (25% to 34.99% down payment) | 0.65% |
| Up to and including 80% (20% to 24.99% down payment) | 1.00% |
| Up to and including 85% (15% to 19.99% down payment) | 1.75% |
| Up to and including 90% (10% to 14.99% down payment) | 2.00% |
| Up to and including 95% (5% to 9.99% down payment) | 2.75% |
| Up to and including 95% Flex Down or Cash Back Equity Owner-Occupancy Program** (5% to 9.99% down payment) | 2.90% |
| Up to and including 100% (0% to 4.99% down payment) | 3.10% |
*An additional 0.2% is added to all mortgages with amortizations of 26 to 30 years. An additional .4% is added to all mortgages with amortizations of 31 to 35 years. An additional .6% is added to all mortgages with amortizations of 36 years or more.
This calculator assumes that your mortgage insurance premium can be financed by your mortgage, which can greatly reduce the amount of upfront money that is required to purchase a home.
This calculator does not include Genworth's Top-up Premiums or Blended Amortization for refinancing.
**Not all Financial Institutions offer CMHC's Flex Down and/or Genworth Financial's Cashback Equity Owner-Occupancy Program.
Below is a brief summary of the two programs:
CMHC's Flex Down
Own your own home sooner by using a wider range of sources for your down payment. If you have a proven track record of meeting your debt requirements and sufficient income to support mortgage loan payments, your lender may be able to provide you with CMHC's Flex Down product. Sources for your down payment can include: borrowed funds, gifts and lender cash back incentives. For more information please see: http://www.cmhc-schl.gc.ca/en/co/moloin/moloin_005.cfm
Genworth Financial's Cashback Equity Owner-Occupancy Program
Some home buyers have an excellent credit history but have not yet saved the required down payment. Others have used their savings to build assets in different ways. Genworth Financial offers mortgage default insurance to both these groups. For more information please see:http://www.genworth.ca/mi/eng/industry_professionals/premiums.asp
- GDSR: Gross Debt Service Ratio
- Compares the total cost of your monthly mortgage payment, taxes and heating to your gross monthly (pre-tax) income from all sources. The general rule is that these monthly payments should not exceed 32% of your gross income.
- TDSR: Total Debt Service Ratio
- Examines the relationship between all monthly debts (i.e. mortgage payments, property taxes, cars, credit cards, other loans and obligations, etc.) and your gross monthly income. The general rule is that these total monthly payments should not exceed 40% of your income.
- Qualify amount
- Shown as "Total monthly payment." This is the total amount you qualify for per month. This amount is the total of "Principal, Interest, Tax and Heat" for your home.
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Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended to provide investment advice. We can not and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues.
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