There are many reasons to consider when thinking of purchasing a home. Maybe it’s just time to have a place of your own after renting for more than a decade. Perhaps you would like to have a yard to relax in, or for your young family to enjoy. Whatever the reason, deciding to become a home owner is an exciting step for anyone. It’s always good to have a plan in place, and when it comes to considering a mortgage, coming up with a plan for a down payment is the best place to start.
Here are some quick tips to help you get going on saving for your first down payment:
- Open a new savings account – Set up an automatic transfer so that money goes directly into your new mortgage savings account each paycheque. Soon this will become the norm, and chances are, you won’t even miss the money .
- Create a budget – Knowing what’s coming and going out each month is a major key to starting on the path to reaching your goals. You will see where you can be more efficient and places you can save even more.
- Put any extra income to your down payment – It might be tempting to spend a bonus from work on a quick holiday but even a small bump can help you get to your goal quicker.
- Look for cheaper ways to do things – Go to the library instead of purchasing books, stop eating out as often, take your vacations closer to home. These are all small things that can add up in a big way.
- Take advantage of RRSPs – The Home Buyers' Plan is a program through the federal government where you can withdraw your registered savings (RRSPs) without a tax penalty. To qualify for this program, you must meet qualifying criteria. For more details, visit the Canada Revenue Agency website.
- Pay off your high-interest debts – Work on debts like credit cards first. The faster they are paid off, the quicker you can start reaching your savings goal.
We can set you up with a personal savings account that will allow you to earn competitive interest daily and have free and unlimited deposits. If you have questions, please contact us. We're here to help.
Take advantage of the Home Buyer's Plan
Mortgage Switch Program
Ready to move? Are you looking at different mortgage options? We will pay up to $1,500 of the fees associated with moving your mortgage.
Mortgage Pre-Approval Form
A mortgage pre-approval is a great first step in your homebuying journey. By being pre-approved, you can confidently begin your house search.