Edmonton Mortgage FAQs

Pre-qualification is a quick estimate based on self-reported information. Pre-approval involves full income, credit, and documentation verification by a lender, resulting in a written commitment for a specific amount with a rate hold. Pre-approval carries much more weight with sellers. Learn more on the pre-approval service page.

Minimum 5% for purchases under $500,000. The portion between $500,000 and $999,999 requires 10%. Properties at $1 million or more need 20%. Mortgage default insurance applies when your down payment is under 20%. See the first-time buyer page for full details.

All Canadian mortgage applicants must qualify at the higher of their contract rate plus 2% or the benchmark qualifying rate. This ensures you can handle payments if rates rise. It reduces your maximum purchasing power compared to qualifying at the actual rate you will pay.

A straightforward approval typically takes a few business days once documents are submitted. Complex applications (self-employed, multiple properties, non-standard income) may take longer. Starting with a pre-approval before you shop gives you the most flexibility.

Fixed provides payment certainty and suits tight budgets or borrowers who will stay the full term. Variable offers lower break costs and historically saves money over time but introduces payment uncertainty. The right choice depends on your risk tolerance, timeline, and life plans. Compare in the fixed and variable guides.

A prepayment penalty applies if you break your mortgage before the term ends (to sell, refinance, or switch lenders mid-term). Fixed-rate penalties use the Interest Rate Differential method and can be substantial. Variable-rate penalties are typically three months of interest, which is usually much less.

A Home Equity Line of Credit provides revolving access to your home equity. You only pay interest on what you draw, and the credit replenishes as you repay. Requires 20% equity minimum. Read the full HELOC guide for details.

Yes. At the end of your term, you are free to move to a new lender without penalty. The new lender typically covers transfer costs. This is one of the best opportunities to improve your rate and terms. See the renewals service page.

You can typically borrow up to 80% of your home's current appraised value, minus your existing mortgage balance. Use the home equity calculator for a quick estimate, then confirm with Jason for your specific situation.

Four to six months before your maturity date. This gives you time to shop rates, compare offers, and complete any transfer paperwork without pressure. Do not wait until the last minute or simply sign your bank's first offer.

In most cases, the lender pays the broker a finder's fee when your mortgage funds. This means the service is free to you as the borrower. Jason's advice and lender shopping come at no cost to you for standard residential mortgages.

A bank offers only its own products. A broker accesses multiple lenders (Jason shops 20+) and presents options with transparent trade-offs. You get competitive rates plus a wider range of product features, penalty structures, and qualifying criteria.

You do not have to, but local knowledge matters. Jason's 18+ years in business in Edmonton means he understands neighbourhood appraisal nuances, local market timing, and regional programs that an out-of-province broker might miss.