(Yes—Here's How)

If you’re self-employed, run your own biz, or freelance like a boss—first of all, hats off to you. 👏

Second of all, YES, you can absolutely get a mortgage.

But... it might look a little different than it does for someone with a traditional 9-to-5. That doesn’t mean it’s harder (okay, maybe a bit), but it does mean you’ll want a mortgage pro who knows the ins and outs of self-employed lending.

Let’s break it down, shall we?

🧾 Why is it different for self-employed borrowers?

Lenders just want to make sure you can afford the mortgage—plain and simple.

The catch? When you're self-employed, your income isn't always consistent, and it might not show up as clearly on paper (especially if you write off expenses—shoutout to good accountants everywhere 🧮).

So instead of just checking a few pay stubs, lenders might look at:

• Your last 2 years of tax returns

• Business financials or incorporation docs

• Proof of income (invoices, contracts, etc.)

• Your credit score and existing debts

✅ What do you need to qualify?

Here’s what will help strengthen your mortgage application:

1. Two years of tax returns

Showing stable or growing income helps. Some lenders will average the two years, while others may consider your most recent year if it’s higher.

2. Strong credit score

You don’t need to be perfect—but a score of 680+ gives you more options.

3. Lower debt ratios

If you carry a lot of debt (think car loans, lines of credit), that can affect your max affordability. Let’s do the math together!

4. Larger down payment (optional)

Some self-employed clients choose to put down 10–20% to strengthen their file and reduce insurance costs.

🧠 What if your income isn’t “traditional”?

Good news: Some lenders offer stated income programs for self-employed borrowers. That means they accept reasonable, provable income even if your taxes show something different.

You’ll usually need:

• Good credit

• 10%+ down payment

• Proof that your business is legit and operating (website, invoices, business license, etc.)

📝 Charlotte’s quick checklist for self-employed mortgages:

• 2 years of personal tax returns

• 2 years of NOAs (Notice of Assessment)

• Business license or articles of incorporation

• Invoices, contracts, or statements of business activity

• Personal credit report

• Budget for closing costs + down payment

🎯 Final thought: You can be your own boss and own your home

Just because your income doesn’t come with a T4 doesn’t mean you can’t qualify. You just need someone who knows how to tell your financial story the right way (👋 hi, that’s me!).

Whether you’re a full-time entrepreneur, a part-time side hustler, or somewhere in between—I’ll help you prep, plan, and feel confident every step of the way.

👉 Thinking about your next move? Let’s chat mortgages + MLS® today.

Should You Get Pre-Approved Before House Hunting?

You’re scrolling MLS® listings, saving dream kitchens and front porches to your “someday” folder… but wait—should you talk to a mortgage person first?

Yep. And I promise I’m not just saying that because I am one. 😄

Getting pre-approved isn’t just a formality—it’s your best friend when you're house hunting. Here’s why it matters and what to expect when you do it.

🏡 What does “pre-approved” actually mean?

A mortgage pre-approval is a written estimate from a lender (or mortgage agent like yours truly 💁‍♀️) that outlines how much you could borrow based on your financial situation.

It’s not a final commitment, but it shows:

• The maximum purchase price you can afford

• The estimated monthly payments

• Your interest rate, often locked in for 90–120 days

🔗 tinyurl.com/CharlotteFergusonMortgages

💡 Why get pre-approved before you shop?

Think of it like grocery shopping with a budget—you make smarter choices, faster, and avoid awkward surprises at the checkout.

Benefits of pre-approval:

• Know your price range (goodbye heartbreak over homes you can’t afford 💔)

• Be taken seriously by REALTORS® and sellers

• Lock in a rate while you shop (rates change, people!)

• Spot red flags early (like credit issues or missing documents)

🧾 What do I need to get pre-approved?

It's easier than you think. Most lenders (and I) will ask for:

• Government ID

• Proof of income (pay stubs or self-employed docs)

• Employment details

• Recent bank statements

• Info on debts (credit cards, car loans, etc.)

🔗 tinyurl.com/CharlotteFergusonMortgages

👀 Does pre-approval guarantee I’ll get the mortgage?

Not quite. It’s a strong starting point, but the lender still has to:

• Review your chosen property

• Confirm your income and documents

• Do a full credit check at application

That’s why working with a mortgage agent matters—we help keep your file strong all the way through.

⏱️ When should I get pre-approved?

As soon as you’re thinking about buying. You don’t have to be “ready-ready.” In fact, a pre-approval can help you get ready by showing you what to focus on—whether that’s saving more, paying down debt, or tweaking your timeline.

👉 Thinking about your next move? Let’s chat mortgages + MLS® today.

Selling your home isn’t just about sticking a sign on the lawn and hoping for the best. It’s a strategy, a process, and—if done wrong—can cost you big. 💸

Whether you’re a first-time seller or it’s been a few decades since you last did this, here are the top 7 mistakes we see homeowners make in the Kitchener-Waterloo real estate market—and exactly how to avoid them.

Because yes, the market is shifting. And no, winging it is not a strategy.

🏷️ 1. Overpricing the Home "Just to See What Happens"

We get it—you want to get the most money possible (same!). But pricing too high out of the gate is a surefire way to kill momentum.

In today’s balanced market, buyers are savvy. If your home is overpriced by even 3–5%, you could sit on the market for weeks, lose negotiation power, and end up selling for less than you would have if you’d priced right from the start.

✅ What to do instead: Let’s review recent sales in your neighbourhood and choose a pricing strategy that attracts attention and strong offers. We'll even show you how pricing slightly under market value can sometimes spark multiple offers.

🛋️ 2. Not Prepping or Staging the Home

Buyers shop with their eyes. If your space feels cluttered, dark, or outdated—even if it technically checks all the boxes—they’ll swipe left faster than you can say “open concept.”

📸 First impressions matter online. Your photos will be the deciding factor on whether a buyer books a showing or scrolls on by.

✅ What to do instead: Declutter, depersonalize, and stage. You don’t have to go full HGTV—we’ll show you small, budget-friendly updates that make a big impact.

📷 3. Skimping on Marketing

Unedited cell phone photos, no video walkthroughs, a blurry lawn sign from 2012? Please no.

You’re not just selling a house—you’re selling a lifestyle. And your marketing should reflect that.

✅ What to do instead: We provide professional photography, video tours, custom property websites, and targeted social media promotion. That’s how you get eyes on your listing and maximize exposure.

⏳ 4. Waiting Too Long to List

We’ve seen sellers delay listing because they’re “waiting for the market to bounce back.” Here’s the thing: You don’t need to time the market—you need to work with it.

In 2025, homes are still selling—just with the right strategy.

✅ What to do instead: If you need to sell, let’s do it right now, not "someday when the market feels better." That day rarely announces itself in advance.

📝 5. Not Being Flexible With Showings

Buyers are juggling jobs, kids, and life. If your showing availability is super limited or restricted to 20-minute windows only… they might not come at all.

✅ What to do instead: Make your home easy to show. If needed, we can recommend cleaners and pet boarding services to help reduce the stress of daily prep.

🤐 6. Hiding Property Issues

If something’s wrong with your roof, foundation, or furnace… trust us, it’ll come up in the inspection. Trying to gloss over known issues just delays the inevitable—and can damage trust.

✅ What to do instead: Be upfront. We can help you decide what’s worth fixing before listing, and what’s better to disclose and price accordingly.

🧠 7. Not Hiring the Right REALTOR® Team

Not all agents are created equal. If your listing isn’t getting attention, your agent’s MIA, or there’s no real marketing plan in place… it’s time for a rethink.

✅ What to do instead: Work with REALTORS® (hi, that’s us 👋) who:

• Know Waterloo Region inside out

• Have a strong buyer and agent network

• Use modern marketing that works

• Actually answer the phone and care about your results

📲 Ready to Sell Smart (Not Sorry)?

Let’s skip the stress and get you SOLD. We’ll create a custom strategy that avoids every one of these mistakes—and gets you the results you’re looking for.

Call or text anytime:
📞 Charlotte: 519-575-1804

🧠💸 What 1980s Mortgage Pain Can Teach Us About Today’s Market

If you've ever heard your parents (or grandparents) say, “You think your mortgage is bad? Back in my day, rates were 20%!” — they’re not wrong. 😅

But here’s the twist: it’s not as simple as high rates = more pain. Let’s dig into what the 1980s were really like for homebuyers—and how things stack up against today.

🔙 1980s: When Mortgage Rates Hit 20% (Seriously)

Yep. You read that right.

In June 1987, the average mortgage rate hit 20.5%. And that wasn’t even the worst of it—some borrowers had second mortgages at even higher rates. There were price freezes, credit rationing, and major inflation. Fun times, right?

But here’s the interesting part: while rates were high, so was inflation. That meant your salary went up faster, and the real value of your mortgage went down over time.

So, even if you were spending a big chunk of your income on your mortgage in year one, by year three or four, your income had grown so much that payments felt lighter. For example:

➡️ In 1987, payments were 48% of income
➡️ By 1989? That number dropped to 32%

📉 And by the late ’90s, some homeowners were only spending 4–7% of their income on their mortgage!

📅 2020s: Lower Rates, But Bigger Debt

Now, let’s fast forward.

Mortgage rates in 2021–2022 were way lower—often around 1.5–2.5%—but the size of the mortgages? Much higher.

Buyers in 2021 often bought at the top of the market. Fast-forward to 2025 and many of those homes are now worth 15% less. On top of that, today’s rates are hovering around 4.75%, and inflation isn’t helping us grow out of our debt the way it did in the 1980s.

So while rates look better on paper, the debt-to-income ratio is higher, and it’s taking a bigger bite out of people’s paycheques for longer.

🟢 The Good News?

Things are shifting again.

A new report from Cotality says housing is now the most affordable it’s been since 2019:

✔️ Mortgage rates are settling
✔️ Incomes are holding steady
✔️ Home values are down about 17%
✔️ Mortgage payments now average 44% of median income (and trending lower)

So no, it’s not perfect. But it’s moving in the right direction. 🙌

💬 What Does It All Mean?

There’s no perfect era to buy a home. Every generation has its own “mortgage pain.” But here’s what always matters:

• 📊 Your personal budget

• 💡 Your long-term plan

• 💬 Good advice from someone who gets it

Whether you’re just starting to think about buying, or you’re feeling stuck in your current mortgage, I’m here to help you make sense of it all—without the overwhelm.

📲 Text me anytime at 519-575-1804 or come say hi on Instagram @behomewithcharly

We’ll talk money. And mortgages. And maybe even 80s music.
Let’s make it make sense. 💛
xo,
Charly

Is Now the Right Time to Buy a Home? Most Canadians Think So—Here’s Why

Let’s talk real estate (but like, the real-life version—not just market reports and graphs).

According to RE/MAX Canada’s latest 2025 Fall Housing Market Update, over half of Canadians believe this fall is a great time to buy a home. Whether you’re dreaming of your first cozy condo, upgrading for more space, or finally making the leap from renter to owner—there’s reason to feel hopeful again.

💡 So, What’s Changing?

• 54% of Canadians now believe it’s “a good time to strike a deal”

• Conditional offers are up 25% across most markets (a big confidence boost for buyers)

• Home prices are trending down in Ontario & B.C.—including many Waterloo Region communities

• Interest rate drops of just 0.5–1% could bring even more buyers back to the table

And while affordability is still a challenge (let’s be honest), the conversation is shifting. Families, newcomers, and retirees are taking the lead—and more buyers than ever are showing up with 15% or 20% saved for a down payment.

🧠 Real Talk for First-Time Buyers

First-time buyers aren’t out of the game, but we are entering the market later—often in our late 20s to 40s. That’s not a failure—it’s just the reality of a tougher market. But here’s the good news:

🔸 68% of buyers say even a small price drop would make a big difference
🔸 92% of current homeowners still believe real estate is a solid investment
🔸 The government is (finally) getting serious about long-term affordability

🏡 My Take?

It’s not about “timing the market.” It’s about timing your life.

If you’ve got questions about what you can afford, whether now makes sense, or how to map out a plan that actually feels doable—I’ve got you. 🫶

📲 Message me on Instagram @behomewithcharly or text me at 519-575-1804.
Let’s chat mortgages and MLS®. I’ll bring the spreadsheets and the encouragement.

🏡 35 George Street, Bright — Now Offered at $1,225,000

Multi-Generational Comfort Meets Small-Town Peace — Now at a New Price

Welcome to Bright, Ontario — where the name says it all. Tucked between Kitchener-Waterloo and Woodstock, this peaceful community offers rural calm, small-town values, and a surprising amount of convenience. And right in the heart of it? 35 George Street — a sprawling, thoughtfully updated home with serious flexibility.

Whether you’re upsizing, combining households, or dreaming of a space that works for every stage of life, this multi-generational gem is ready to deliver. And with a new price of $1,225,000, it’s never been a better time to come take a look.

📍 Let’s Talk Location

Bright is a hidden gem—close to everything, but just far enough to breathe. Nestled between New Hamburg and Innerkip, you’re under 25 minutes to Kitchener-Waterloo, Woodstock, or Stratford—with country roads and scenic drives in every direction.

Nearby Schools:

• Public: Bright Public School (JK–8), Woodland Park Public School (near Woodstock), with secondary at Waterloo-Oxford or Huron Park SS

• Catholic: Holy Family Catholic School (Woodstock), St. Mary’s High School (Woodstock)

Parks, Trails & Recreation:

• Bright Community Centre with sports fields and playground

• Plattsville Trails & Optimist Park for weekend strolls or youth sports

• Nearby golf at Innerkip Highlands or Pine Knot Golf & Country Club

Local Highlights:

• Anna Mae’s in Millbank (worth the detour)

• Grocery & gas in Plattsville or Tavistock, 10 minutes either way

• Close to Highways 401 & 7/8 for commuter ease

👨‍👩‍👧‍👦 Who’s Buying in Bright?

This community attracts:

• Multi-gen families and blended households

• Professionals working in KW or Woodstock looking for more space

• Upsizers who want big square footage without big-city headaches

• Buyers looking for value per square foot in today’s market

There’s a warmth to Bright that comes from familiar faces, big backyards, and neighbours who wave.

🧮 Mortgage Math at the New Price Point

Let’s talk numbers with that $50K price improvement:

• List Price: $1,225,000

• Down Payment (10%): $122,500

• Mortgage Needed: $1,102,500

• Interest Rate: 4.14% (25-year amortization)

📉 Estimated Monthly Mortgage Payment: $5,917/month (principal + interest)

💬 Need help budgeting for the move, renovations, or blended family costs? We’ve got calculators and conversations ready.

🌟 Why 35 George Street Might Be The One

✅ Over 3,000 sq ft of finished living space
✅ Main floor bedroom + full bath (perfect for aging parents or guests)
✅ Walkout to a massive upper-level patio from the hallway and primary suite
✅ Two fireplaces for cozy family nights
✅ Layout that lends itself to in-law potential or multigenerational living
✅ Beautiful curb appeal on a large, quiet lot in a walkable community

This is the kind of home where everyone gets their space and comes together. No compromises required.

📲 Book a private showing today with Charlotte at 519-575-1804

✨ Proudly listed with Magnolia Group Realty, powered by Coldwell Banker Peter Benninger Realty
🏡 Until next time, happy house hunting.

🏡 71 Galena Street, Wellesley — $950,000

Small-Town Charm. Big-Time Livability. Welcome to Wellesley.

Tucked into one of the Region’s most beloved rural communities, 71 Galena Street is the kind of property that stops you in your scroll—and maybe even makes you reconsider city living.

This beautifully updated home is bright, spacious, and stylish, with a layout that works for families, work-from-home warriors, and anyone looking to soak up a little more serenity. Add in the stunning backyard, roomy interiors, and the friendly, walkable vibe of Wellesley—and you’ll quickly see why this one’s turning heads.

📍 Welcome to Wellesley

Just 20 minutes from Waterloo, Wellesley gives you that picture-perfect small-town lifestyle—without sacrificing convenience.

Nearby Schools:

• Public: Wellesley Public School (JK–8), Waterloo-Oxford District Secondary School (in nearby Baden, with busing provided)

• Catholic: St. Clement Catholic Elementary School (K–8), St. David Catholic Secondary School (Waterloo)

Parks & Outdoor Living:

• Wellesley Community Park and Queens Bush Trail — walking, biking, playgrounds, and more

• Wellesley Pond — host to paddleboats in summer and hockey in winter!

• Schmidt Woods Trail for scenic walks among the trees

Local Faves:

• Schmidt’s Bakery & Café — home of the famous apple fritters 🍩

• Anna Mae’s Restaurant — country-style cooking with pie you’ll dream about

• Wellesley Apple Butter & Cheese Festival — yes, it’s as charming as it sounds

• Local grocery, hardware, library, and LCBO within a few minutes’ walk

🏘️ Who’s Moving to Wellesley?

This town is a magnet for:

• Families looking for community-focused living

• Remote workers seeking peace, space, and fibre internet

• Professionals who want quiet evenings and friendly neighbours

• Empty nesters and retirees trading hustle for home-grown comfort

Wellesley is a “know-your-neighbour” kind of place where kids ride bikes after school and front porch sitting is practically a pastime.

💸 Mortgage Math Breakdown

Let’s run the numbers on this rural charmer:

• List Price: $950,000

• Down Payment (10%): $95,000

• Mortgage Required: $855,000

• Interest Rate: 4.14% (25-year amortization)

📉 Estimated Monthly Mortgage Payment: $4,588/month (principal + interest only)

💡 Want to budget for taxes, utilities, or insurance? We can help with that too—no spreadsheets required.

🌟 What Makes 71 Galena So Special?

✅ Beautiful, modern updates inside
✅ Stunning fenced backyard with mature trees and patio space
✅ Main floor layout that flows for entertaining and family life
✅ Peaceful street with friendly neighbours
✅ Close to schools, trails, shops, and amenities
✅ 20 minutes to Costco — you’re welcome

Whether you’re craving more space, dreaming of small-town vibes, or just want a gorgeous home to call your own—this one’s worth the drive.

📲 Want to take a look?
Text or call Charlotte at 519-575-1804

🏡 Proudly listed with Magnolia Group Realty, powered by Coldwell Banker Peter Benninger Realty
🍏 Until next time, happy house hunting.

🏡 416 Forestlawn Road, Waterloo — $1,299,000

Lexington/Lincoln Village Gem | Meticulously Maintained by Original Owners | Flexible Closing Available

Step into the kind of home that doesn’t hit the market often. 416 Forestlawn Road is a single-owner property that radiates care, quality, and timeless charm in the heart of Lexington/Lincoln Village—one of Waterloo’s most desirable family neighbourhoods.

These motivated sellers have lovingly maintained this home for decades and are offering flexible closing dates to make your next move a smooth one.

🗺️ Prime Location, Perfect Community

Tucked in a quiet, tree-lined section of Lexington/Lincoln Village, this address gives you the best of both worlds: a peaceful, family-friendly vibe with quick access to everything Waterloo has to offer.

Nearby Schools:

Public: Lexington Public School, Lincoln Heights Public School, and Bluevale Collegiate Institute (consistently ranked for academic excellence)

Catholic: St. Luke Catholic School and St. David Catholic Secondary School

Parks, Trails, and Greenspaces:

Lexington Park & Wintermeyer Park: For playgrounds, tennis, and open green space

Forwell Creek Trail: A beautiful natural walking trail just steps away

Bechtel Park & RIM Park: Dog park, sports fields, trails, and more

Local Restaurants & Amenities:

Conestoga Mall for retail therapy and groceries

Jack’s Family Restaurant, Borealis Grille, and The Keg for bites close to home

Fast access to Hwy 85 makes commuting or weekending a breeze

👨‍👩‍👧‍👦 Who Lives Here? 

Lexington/Lincoln Village is a magnet for:

Growing families seeking top schools and safe streets
Professionals who want peace and space close to the city
Long-term homeowners who take pride in their properties
Nature-lovers and outdoor enthusiasts with trails and parks all around

You’ll feel the warmth of this neighbourhood the moment you drive in.

💸 Mortgage Math (Because Budgeting Matters)

Let’s break down what it might look like to buy this beauty:

List Price: $1,299,000
Down Payment (10%): $129,900
Mortgage Needed: $1,169,100
Interest Rate: 4.14% (25-year amortization)

📉 Estimated Monthly Mortgage Payment: $6,273/month (principal + interest only)

✨ Want to crunch numbers with taxes, insurance, or see what it looks like with a different down payment? I got you.

💚 Why You’ll Fall in Love with 416 Forestlawn Road

✅ Lovingly maintained by original owners
✅ Flexible closing dates to suit your schedule
✅ Spacious layout with tasteful updates throughout
✅ Private, mature yard with gorgeous landscaping
✅ Fantastic schools, parks, and community feel
✅ Quick access to Waterloo’s best shops & trails

This isn’t just a house—it’s a chapter waiting to be written.

📞 Want to see it in person?
Text or call Nathan at 226-929-6369 or Charlotte at 519-575-1804

✨ Proudly listed with Magnolia Group Realty, powered by Coldwell Banker Peter Benninger Realty

🏡 Until next time, happy house hunting.

Fixed vs. Variable:

Let’s be real: choosing between a fixed or variable mortgage feels like a personality quiz no one studied for.

Are you “set-it-and-forget-it” energy? Or “ride-the-market-waves” type? 😅

Here’s a friendly breakdown of what’s what in 2025—plus how to decide which one fits your life best (with way less stress and zero bank-speak).

First, what’s the difference?

🔒 Fixed Rate

Your interest rate—and your monthly payments—stay the same for the entire term (usually 1 to 5 years). Predictable, stable, and often comforting in volatile times.

Great for:

• First-time buyers who want stability

• Anyone on a strict budget

• People who think rates might rise soon

🌊 Variable Rate

Your rate can fluctuate based on the Bank of Canada’s prime rate. Some variable mortgages have changing payments, others keep your payment steady but adjust how much goes toward principal vs. interest.

Great for:

• People with financial wiggle room

• Risk-tolerant borrowers

• Those who think rates may drop

So… which one should you pick?

Honestly? It depends on three things:

1. Your monthly budget

If your cash flow is tight or you need certainty, fixed gives peace of mind. If you’ve got some buffer, variable can offer savings (but also surprises).

2. Your future plans

Buying a home you’ll stay in for a while? Fixed might be safer.
Planning to move, upgrade, or refinance early? Variable can mean lower penalties if you break it.

3. Your stress tolerance 😬

Some people love tracking interest rates. Others would rather not know. If rate changes make you lose sleep, fixed might be your BFF.

What about hybrid mortgages?

Yep, they’re a thing! A hybrid mortgage splits your loan into fixed + variable chunks. Think of it as diversification—but for your debt.

Quick Tip: You’re not stuck forever

Most mortgage terms are 1 to 5 years. So even if you choose one path now, you’ll have a chance to reassess at renewal (and I’ll be here to help when that day comes).

👉 Thinking about your next move? Let’s chat mortgages + MLS® today.

If you've ever Googled “how much do I need to buy a house?” and then panicked… you're not alone. 😅

Down payments are one of the biggest question marks (and stress points) for buyers—especially first-timers. But the good news? You probably need less than you think to get started.

Let’s break down what’s required, what’s optional, and what makes the most sense for you.

💰 Minimum Down Payment in Canada (2025 Edition)

Here’s the quick math:

• For homes under $500,000 → Minimum 5%

• For homes between $500,000–$999,999 → 5% on the first $500K + 10% on the rest

• For homes $1 million+ → Minimum 20%

🔢 Example:
Buying a $750,000 home?

• First $500K → 5% = $25,000

• Next $250K → 10% = $25,000
  ➡️ Total minimum = $50,000

🏦 What if I want to put down more?

Putting down more than the minimum isn’t required—but it can help in a few ways:

• Lower monthly payments

• Less interest paid over time

• No CMHC insurance if you hit 20%

• More equity in your home from day one

But if putting down 20% means draining your savings and living off Kraft Dinner for the next 5 years... let's talk options first. 🧀

💡 Pro tip: It’s not all or nothing

You don’t have to choose between 5% and 20%.

Some clients do 8%, 12%, or 15%—and we strategize to make sure it works for their short- and long-term goals. You don’t need to hit some magical number to be “ready.”

🧳 Where can my down payment come from?

You’ve got options! Common sources include:

• Personal savings

• RRSPs (via the Home Buyers’ Plan)

• Gifts from family

• Proceeds from selling another property

• In some cases, borrowed down payments may be allowed

🙋‍♀️ Common questions I get (and quick answers):

Do I need 20% down to buy a home?
Nope! You can buy with as little as 5% (as long as the home is under $1M).

Is it better to wait until I have a bigger down payment?
Not always. Waiting may mean missing out on appreciation. Let’s run the math for both paths.

Can I use my RRSPs for a down payment?
Yes! Through the Home Buyers’ Plan, you can withdraw up to $60,000 tax-free in 2025.

What if I’m getting a gift?
Totally allowed—but your lender will want a signed gift letter confirming it’s not a loan.

👉 Thinking about your next move? Let’s chat mortgages + MLS® today.

Ah yes—mortgage default insurance. One of those terms that sounds serious and slightly intimidating, but once you break it down? Totally manageable.

If you’re buying a home with less than 20% down, you’ve probably heard this term tossed around (likely by me 😉). So, let’s break it down: what it is, why it exists, what it costs, and how to work it into your budget.

Spoiler alert: It’s not a “bad thing.” In fact, for most first-time buyers, it’s what makes homeownership possible.

🏡 What is mortgage default insurance?

Also known as CMHC insurance, it protects the lender, not the borrower, in case the borrower (that’s you!) can’t make the mortgage payments.

But don’t worry—this doesn’t mean the lender doesn’t trust you. It’s simply required by law in Canada for anyone putting down less than 20%.

In short:

• You pay the premium

• They are protected

• Everyone gets access to better rates (even with smaller down payments)

💸 How much does it cost?

The premium is a percentage of your mortgage amount, based on how much you put down:

• 5%–9.99% down → 4.00% of your mortgage

• 10%–14.99% down → 3.10%

• 15%–19.99% down → 2.80%

So the less you put down, the higher the premium—but the more accessible homeownership becomes.

💡 Good news: This cost is usually added to your mortgage, so you don’t need to pay it upfront out of pocket.

🧠 Is it worth it?

If waiting to save 20% would take years (and keep you out of the market while prices rise), mortgage default insurance can be a strategic move.

Let’s say:

• You buy now with 5% down + CMHC insurance

• Your home appreciates over the next 3–5 years

• You build equity while paying down your mortgage

In many cases, that’s a better path than waiting it out.

👀 What homes qualify?

To use default insurance, your home must:

• Be under $1 million in purchase price

• Be owner-occupied

• Meet certain appraisal and condition standards

📝 Key takeaways

• Mortgage default insurance helps buyers with less than 20% down get approved

• It protects lenders, not buyers—but benefits both

• The cost depends on your down payment and is typically rolled into your mortgage

• It’s a helpful tool, not a penalty

👉 Thinking about your next move? Let’s chat mortgages + MLS® today.

Mortgages can feel like a weird mix of paperwork, numbers, and “wait, what did I just agree to?”—but the truth is, a few small choices can have a big impact on your long-term financial health.

Whether you’re buying your first home or renewing for the fifth time, here are four of the most common mortgage mistakes I see (and how to totally sidestep them).

1. Only looking at the interest rate (and ignoring the fine print)

Yes, the rate matters. No, it’s not the only thing that matters.

The lowest rate might come with:

• A huge penalty to break the mortgage

• No ability to make extra payments

• Restrictions on refinancing

• Limited portability if you move

Instead of chasing the lowest number, aim for a mortgage that actually works for your lifestyle. One that fits your budget, your timeline, and your big-picture goals.

2. Choosing the wrong term length

That 5-year fixed? It’s not a one-size-fits-all.

Ask yourself:

• Will you move in the next 3 years?

• Planning to refinance for renovations?

• Expecting big life changes (new job, growing family, downsizing)?

Shorter terms = more flexibility. Longer terms = more stability. Let’s figure out what makes sense for you right now—not just what’s popular.

3. Skipping the pre-approval step (and falling in love too fast)

Looking at houses before getting pre-approved is kind of like trying on wedding dresses before you're engaged.

Sure, it’s fun. But if you’re not ready to buy, it can lead to:

• Heartbreak (you find the one… and can’t buy it)

• Wasted time

• Overspending (because you’re not clear on your limits)

A pre-approval gives you real numbers, real confidence, and a much smoother process when you're ready to jump.

4. Sticking with your bank out of habit

Look, I love loyalty—but not if it costs you thousands.

Your current lender might not offer the best rate or product anymore. (And spoiler alert: most don’t.) That’s why it’s worth comparing.

Working with a mortgage broker (like yours truly 😉) means I shop for you—from big banks to credit unions to alternative lenders—so you don’t have to.

Bonus: Not asking questions 🫣

There’s no such thing as a dumb mortgage question. Seriously.

I’d rather you ask me 47 questions in a row than feel unsure about one of the biggest financial commitments of your life. If you’re wondering about rates, penalties, prepayments, closing costs—ask. I’m here to make it make sense.

👉 Thinking about your next move? Let’s chat mortgages + MLS® today.