Should you give your child a boost to home ownership?

Many young people struggle to purchase their first home and often parents and grandparents are very sympathetic. They’ve enjoyed the financial benefits of long-term home ownership themselves, and see how hard it is today to make that important first step into the real estate market. So should you give them a boost?

First, consider your own financial situation. Your first responsibility is to your own financial security, so you need to consider what kind of help you can afford.

Take some time to think about family dynamics.  Are there siblings or other family members to consider?  Will there be an issue of fairness that you need to manage?

Home ownership is a big financial responsibility. Consider whether they’re ready for this responsibility. Sometimes the best advice is to keep renting.

If your child is married or living with a partner, consider property law. Experts advise parents to structure a loan instead of gifting money. If there is a break up, the loan would be subtracted from the family property before being divided. 

Always put it in writing. If it’s a loan, have a written record of your shared expectations. If it’s a gift, you must put it in writing for the lender that the child is not required to pay the money back.

Talk to us! Start them on a good financial habit and send them to us for access to the most mortgage options and clear-eyed, common sense advice.

It may be time for a Mortgage Review!

Life doesn’t stand still, which means your mortgage needs may have changed. Here are some reasons to bring your mortgage in for a professional review:

1. You’re ready to buy – next home, investment property or vacation home.
2. You’ve got too much high-interest debt. 
3. You want to discuss how you can pay your mortgage off faster.
4. If you are going through a separation or divorce.
5. You are interested in your renovation financing options to create your dream home.
6. You want to discuss a new variable, fixed or hybrid mortgage – part fixed and part variable.
7. You have a major expense.

 If you haven’t had a professional look at your mortgage in the last 12 months, give us a call so we can set up a no-obligation review!

BEYOND RATE: Get expert advice

There’s a tendency to go rate shopping when you’re looking for a mortgage. After all, a great rate can save you thousands. And that’s one reason so many work with independent mortgage brokers. We have access to a wide range of established lenders, including major banks and credit unions, so we can compare rates across the board and show you where the best bargains are for your situation. But the real value of a mortgage broker goes beyond rate. We provide invaluable mortgage education. We find you the right combination of features, privileges and rate. It’s so important to consider term, prepayment options and penalties, restrictions, and fees because the right choices can save you thousands!