Every situation is unique. To find out whether you’re eligible for a mortgage, book an appointment at your local branch or reach out to a Mortgage Specialist for more detail information.
The best way to know how much home mortgage you can qualify for is by having a talk with our mortgage specialists. Or you can always try our Mortgage Calculators for an estimate.
Conventional mortgage loan is for properties occupied by home owners or tenants. Conventional mortgage is a mortgage that does not exceed 80% of the purchased price or the appraised value of the home, whichever is lower, terms and conditions apply. Please contact mortgage specialist for detail information.
The Bank offers a variety of terms and amortization periods to meet customer's needs. Term ranges from 6 months to a maximum of 5 years. We provide maximum 30 years amortization period. For interest rate information please refers to the Mortgage Rates.
Fixed-rate refers to the fact that the interest rate remains the same over the term of the mortgage. This is in contrast to other types of mortgages like “variable-rate mortgage” in which the interest rate may change. If customers have a set budget and want to have a predictable payment from month to month, then a fixed-rate mortgage might work well for you.
A variable-rate mortgage will fluctuate with the Prime rate throughout the mortgage term. While regular payment will remain constant, interest rate may change based on market conditions. This impacts the amount of principal customers pay off each month. When rates on variable interest rate mortgages decrease, more of regular payment is applied to the principal. Additionally if rates increase, more of payment will go toward the interest.
The whole or any part of the principal amount of the mortgage loan is permitted to be repaid during the Term without prepayment charge, subject to 3 business days prior notice to the Bank. Open mortgages usually have higher interest rates than closed mortgages. But open mortgages are also flexible.
A closed mortgage is a mortgage that cannot be paid down more than the prepayment privilege before the end of its term without paying a prepayment charge.
Short-term mortgage usually refers to the mortgage with the six months, one year or two year terms, long-term mortgage means the contract term usually three to five years.
For a closed mortgage, if you pay down your mortgage at an amount greater than your allowable prepayment privileges before the term ends, you need to pay a prepayment charge.
1) Partially prepaying amounts higher than the allowed additional amount toward the borrower’s mortgage 2) Property sold and pay off the mortgage before the maturity date 3) Refinancing or transferring the borrower’s mortgage to another lender before the maturity date
Please refer to your mortgage statement of disclosure. You are allowed to prepay up to 15% of your original principal each year and increase your scheduled payment by up to 15% each year without incurring a prepayment charge. This will help you pay off your mortgage faster.
Amortization is a term for the number of years that customers take to fully pay off mortgage (not the same as mortgage term). Our Bank offers up to 30-year amortization period for conventional mortgage loans.
Please refer to your mortgage statement of disclosure for more information about how the prepayment charge is calculated. You will need to pay the following cost if you pay more of your mortgage than the prepayment privilege allowed.
- For fixed interest rate: The prepayment charge is the greater of either: three months' interest on the amount of the such excess prepayment, or an Interest Rate Differential (IRD) amount, equivalent to the difference in the interest payable at your existing mortgage rate on the such excess prepayment versus that payable on a replacement mortgage, calculated on the time remaining in your existing mortgage term. The interest rate for the replacement mortgage in this calculation is today’s rate of a mortgage that is closest to the remainder of your term less any discount you received on your existing mortgage.
- For variable interest rate: The prepayment charge is three months’ interest cost on the amount of the such excess prepayment, calculated at the interest rate applicable to your mortgage when you make the prepayment.
You can choose either blended payments or fixed principal repayment plus interest. With blended payments, your monthly total payment amount stays the same throughout your mortgage term. With fixed principal repayment plus interest, your monthly principal payment stays the same throughout the mortgage term.