Mortgage Debt Key Advice For Millennials

1
Mortgage Debt Key Advice For Millennials
2

• At the beginning of the year, Canadas housing
  debt was recorded at its highest in over a
  decade, and with the average purchase price of a
  home in Canada increasing by more than 40, its
  little wonder more and more Canadians are getting
  themselves into mortgage debt.
• Get clued up about mortgage debt with the
  following advice, before getting yourself into a
  situation you cant afford
• Mortgages and credit scores
• Taking out a mortgage loan doesnt necessarily
  have a negative impact on your credit score, as
  other loans typically do, and in fact, its more
  important to establish a way of managing your
  high interest debts, while paying for your
  mortgage.

3

• Lets look at it in this way mortgages are
  whats known as good debt, and so to avoid your
  other debts from having a negative impact on your
  credit score such as a student loan or credit
  card you might benefit from speaking to a
  financial advisor.
• One other factor to be aware of, is that each
  time you ask a lender for a loan, that request is
  factored in by the credit bureaus, and will
  ultimately affect your overall credit score. So,
  if youre shopping around for the best mortgage
  deal, be aware that this could be reducing your
  credit score. Alternatively, work with a mortgage
  broker who will advise you of the best mortgage
  deals for your circumstances - and avoid this
  potential hazard altogether.

4

• Try to keep your debt-to-income ratio, realistic
• Understanding how much of your income you can
  realistically devote towards purchasing a home,
  while accounting for other costs associated with
  the home, such as property taxes, mortgage
  payments, utilities and so on, can play a vital
  role in helping you manage your debt-to-income
  ratio.
• The majority of lenders will advise you not to
  spend more than 32 of your monthly household
  income for housing costs like those mentioned
  above, and not spending more than 40 for all
  your monthly payments, which can include mortgage
  and car payments, or credit card debt.

5

• As a millennial homeowner, how can you balance
  your budget and debt?
• Purchasing a home is a major expense for anyone,
  and the best way to stay on top of your debt and
  make sure that your budget is as realistic as it
  can possibly be, is by keeping a close eye on all
  of the costs associated with buying a home,
  particularly in the short-term. Try not to blow
  your budget on a down payment, and dont forget
  about the property taxes youll be required to
  pay every year once the sale goes through.

6

• Also, think carefully about how your mortgage and
  all of the costs associated with buying a home
  are going to impact your financial future, and
  remember that unexpected expenses can occur at
  any time.
• Seek professional help when selecting a mortgage
• Mortgage brokers are basically mortgage experts,
  and not only do they have all the most up-to-date
  information regarding lenders and the real estate
  market in your locality, but they are often privy
  to the best, secret deals, too.

7

• So, to give yourself the best chance of managing
  your mortgage debt as a millennial, and still
  finding the time and money to enjoy your life,
  consult with a mortgage broker and if necessary,
  a financial advisor, too.
• Mortgage-broker-Calgary is your best resource for
  finding a mortgage for your property. Luke Wile,
  is a Calgary mortgage broker and is proud to
  serve clients from across Canada, while being
  centered in Calgary, Alberta. Luke is proud to
  serve his clients with a personalized approach to
  finding his clients the best and lowest Canadian
  interest rates and terms offered by the major
  banks and private lending institutions. If you
  are looking for mortgage brokers in Calgary, with
  Luke Wile you can get fast and personal expertise
  for your mortgage!