Borrowing capacity comes down to two ratios: what the housing costs against your income, and what all your debts add up to. With a condo, the fees go into the math, and that shaves off more capacity than most buyers expect.
Documents before comparison
Two years of notices of assessment, your latest pay stubs, an employment letter and three months of statements for the down payment. For a condo, add the declaration of co-ownership, the syndicate’s budget and the state of the contingency fund. A thin fund worries the lender, and it should worry you too.
Property and price
Your offer is only as good as the recent sales behind it. When there aren’t many comparables in Sherbrooke, the appraisal can come in under your price. You cover that gap in cash. The mortgage won’t.
Income and down payment in Sherbrooke
Your income proof, the source of your down payment, your debts and the monthly budget you can carry: the file in Sherbrooke starts there.
Conditions compared
Everybody compares rates because it’s easy. On a purchase, the real differences sit elsewhere: the penalty if you break the term, how much you can prepay each year, and whether the mortgage can follow you to your next home.
Documents before submission
Get the file complete the first time and you save weeks. In Sherbrooke like everywhere else, it’s almost never the analysis that slows things down. It’s the employer who doesn’t call back, the bank that sits on it, the appraiser who’s running late.
To prepare
What to gather.
Financing goal
Income records
Current debts
Property or security
Required timing
Eligible lenders
Frequently asked
Can the file be reviewed remotely?+
Yes. Phone, email or video call, with documents sent online. We can meet in person if you’d rather, but most files get done without anyone driving anywhere.
What down payment is needed for a first purchase?+
5% on the first $500,000, then 10% on the part above that. Under 20% down, mortgage insurance gets added to the loan. And on a condo, the condo fees count in your ratios too.
Buying, renewing, refinancing, or something a bit out of the ordinary: tell us where you’re at, even if it’s still fuzzy. Mathieu gets back to you with next steps and the documents to pull together.
