Am I starting over again? (Saving for my next house)

[Cos]

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[ArjayAquino]

I actually had a similar question about the RRSP thing.
My GF and I are looking for our first place, she has a little bit saved up in her RRSP. I asked my mortgage advisor if she didn't use the First Time Home buyers thing for this house, could she use it for the next house instead.

He said that they will ask if you have been a home owner for the past 5 years, and if you have then you unfortunately don't qualify.

BTW I didn't know that you had to have cash on hand either, good to know. I'll have to dump any extra income in my TFSA instead.

[yellowsnow]

You can't use your rsp since this won't be your first home.

a HELOC would be your best bet. the gov't recently changed some rules and you can only borrow up to a max of 65% ltv.

[OU812]

Originally posted by Cos

We need about $28,000 minimum to either get out build off the ground or for the 5% down prior to making an offer.

Sorry to give you bad news....most move up builders require 10% down not 5.

HELOC is going to be your best best.

[Cos]

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[roopi]

Originally posted by Cos


We have only looked at three builders (2 actually) and both were happy with 5%. McKee in Airdrie, Pace Setter, and Sterling in Evanston.

The place we would most likely build is the Sterling place in Evanston and at $545,000 they wanted $28,750 for lot and house deposit before it broke ground. In the next 3 months.

Check the contract to see if they want an additional 5% once the foundation is poured.

[Sugarphreak]

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[Cos]

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[msommers]

I'm inviting myself to that lunch if you go

[Cos]

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[max_boost]

HELOC THAT SHIT!



Seriously. Banks will cover the appraisal, in house doc fees and all you gotta do is sign. Now I don't know what the big issue with HELOC is because in order to get the LOC, you need HE.

RBC is at 3.5%, ATB might be lower I think 3% for the first year.

HELOC is as flexible as it gets. The issue only arises when most people can't pay it off but you and your wife are both in the 6 figures, power dinks so not a worry there.

Good luck bro. Go get that new/big house.

[ExtraSlow]

beyond even has two mortgage brokers that can help you find the right HELOC for you.
Frankie helped me out.

[Wrath]

Many builders will provide payment plans for you so you can pay your down payment in instalments while they build (Trico, Excel) know will do this

[joda85]

Originally posted by Wrath
Many builders will provide payment plans for you so you can pay your down payment in instalments while they build (Trico, Excel) know will do this

True, Excel told me they will even accept 5% down.

I guess I'm in the same boat as you, Cos. I have been in contact with Excel in Panorama and looking to build in summer/fall of this year.
I, too, am looking to sell my condo and using that as a down. I actually plan on selling alone to save on realtor fees.
As for a deposit, I don't think RRSP HBP is an option for me. HELOC? I'm not too familiar with it and need more understanding. I think selling employee shares is my best bet...

Cos, please keep us posted on your progress. Goodluck!

[turbotrip]

what % of home equity can you get for a HELOC?

[max_boost]

It changed. It use to be up to 80% but now it's 65% of appraised value less your mortgage balance. Banks are also under-appraising too.

Half a mill HELOC to make you feel so baller. Maybe go buy a Hublot so I can post in wrist shot Friday lol

[ercchry]

silly cos... buy pre-owned in a non-boony location. in that range you are looking at a $5-10k deposit, then just play with possession dates and get a storage locker for a week or two (and a hotel room)

[Cos]

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[ercchry]

Originally posted by Cos


Yeah see that is the problem. I probably have 20% in my house, not 40 or 50. So HELOC isnt really an answer for me.



Still need the 5-10% in your account for 90 days prior to a mortgage pre-approval. So I am told anyways. Have some meetings booked to talk more about it.

nah, just need an awesome broker. we just did this... kind of. if you have the signed offer for your current place+your current mortgage statement you are good to go

[ercchry]

actually... how much time is left on your current mortgage? have you looked at porting it? you can also port your current mortgage insurance if you stick with the same insurer. (you just top it off to the new amount)