SlideShare a Scribd company logo
presents
TERMS YOU NEED TO
KNOW - 101
TRANSLATING MORTGAGE INDUSTRY TERMS INTO EVERY DAY
LANGUAGE
A little about Geoff Lee…
√ Co founder and Director of the Imani Orphan Care Foundation – www.imaniorphancare.com
√ Over 22 years of real estate experience and investment
√ Ranked amongst the top 3% mortgage brokers in Canada by CMP magazine
√ Finalist in 2014 CMP Canadian Mortgage Awards for Best Customer Service from an independent
office
LET’S RECAP…
CREDIT 101
• What a credit score is…
• All you really need is 680 – 800 to get the best mortgage rate…
• How the credit score is calculated…
• How to fix your credit problems…
MORTGAGE QUALIFICATION 101
• How to qualify for a mortgage either self-employed or employed…
• Stated Income…
• Gross Debt Service Ratio and Total Debt Service Ratio
• Mortgage Insurance
GIVE IT TO ME IN ENGLISH PLEASE!
So what are the terms you need to know???
• High Ratio Mortgage
• You are putting less than 20% down
• Requires mortgage insurance
• Conventional Mortgage
• You are putting more than 20% down
• Generally does not require mortgage insurance
GIVE IT TO ME IN ENGLISH PLEASE!
• Subject Property
• What you are buying
• Non Subject Property
• Other properties that you own
GIVE IT TO ME IN ENGLISH PLEASE!
• LOAN to VALUE (LTV)
• What you owe on your “loan” to what to what the property is valued at
• SECURED and UNSECURED Lines of Credit
• Secured
• “Tied” to something you own – collateral
• Unsecured
• Not “Tied” to anything – no collateral
•
GIVE IT TO ME IN ENGLISH PLEASE!
• Amortization
• The length of time it takes to pay off your mortgage
• Affects your monthly payment at times much more than the rate
• Fixed term mortgage
• Locked in for a “fixed term” you have chosen
• 1 -1 0 years
• Penalty if you break the “fixed term”
GIVE IT TO ME IN ENGLISH PLEASE!
• Variable Rate Mortgage (VRM)
• Can be Open
• No penalty if you break
• Can be FIXED TERM
• Penalty if you break.
GIVE IT TO ME IN ENGLISH PLEASE!
• FLEXDOWN
• Using untraditional sources for your down payment
• Borrowing from
• Employer
• Credit Cards
• Unsecured Lines of Credit
GIVE IT TO ME IN ENGLISH PLEASE!
• STATED INCOME – self employed (BFS)
• What you report as income to Canada Revenue Service vs what you “STATE” your income to be to the Lender.
• REFINANCING
• To take the money that you owe and take out a new loan to pay off.
GIVE IT TO ME IN ENGLISH PLEASE!
• RENTALS
• ADDBACK (subject and non subject properties)
• To take a % of the rental income from investment properties and ADD it BACK to your income
• OFF SETS
• Reduces the rental expense add balance back to Gross Income
GIVE IT TO ME IN ENGLISH PLEASE!
• NET RENTS (non subject properties)
• Taking the 2 year reporting average from your T1 Generals (Statement of Rental Activities)
• Determine if there is a surplus/loss
• Input that surplus/loss into the application
• Do not include any NON SUBJECT properties debt into the file
GIVE IT TO ME IN ENGLISH PLEASE!
• DEBT CALCULATION RATIOS (DCR) (subject and non subject properties)
• Calculate the NON SUBJECT and SUBJECT property debt
• Determine if there is a surplus/loss
• Input that surplus/loss into your application
• Do not include NON SUBJECT and SUBJECT properties debt into the application
“The ONLY thing constant in life is
change…”
Anonymous
“Lasting Quote….”
Get in touch with us….
www.geoffleemortgage.com
Twitter: @geoffleeca
Linked In: http://ca.linkedin.com/in/geoffleemortgage/
Email: Geoff@geoffleemortgage.com
Phone: 1.778.552.3489
Thanks so much for attending the GLM Mortgage Group
workshop – MORTGAGE QUALIFICATIOM 101.
If you have any questions please call me at 778.552.3489 or
email me at geoff@geoffleemortgage.com.
“We specialize in getting you the fastest “YES” at the SHARPEST
RATE… GUARANTEED!”
- Geoff Lee

More Related Content

What's hot

Fix-N-Flip, www.ProfessionalCapitalPartners.com
Fix-N-Flip, www.ProfessionalCapitalPartners.comFix-N-Flip, www.ProfessionalCapitalPartners.com
Fix-N-Flip, www.ProfessionalCapitalPartners.com
Christopher Del Cioppo
 
The art of real estate investing
The art of real estate investing The art of real estate investing
The art of real estate investing
Helena Talbot
 
Go cleancreditclient shortsale gift flyer 2pg_personalize
Go cleancreditclient shortsale gift flyer 2pg_personalizeGo cleancreditclient shortsale gift flyer 2pg_personalize
Go cleancreditclient shortsale gift flyer 2pg_personalize
Pioneer Title Agency
 
Difference with AnnieMac
Difference with AnnieMacDifference with AnnieMac
Difference with AnnieMac
Eric Keeler
 
Rent Out Proposal PowerPoint Presentation Slides
Rent Out Proposal PowerPoint Presentation SlidesRent Out Proposal PowerPoint Presentation Slides
Rent Out Proposal PowerPoint Presentation Slides
SlideTeam
 
Real estate principles_powerpoint_for_chapter_11
Real estate principles_powerpoint_for_chapter_11Real estate principles_powerpoint_for_chapter_11
Real estate principles_powerpoint_for_chapter_11
Morten Andersen
 
Brief v2 first time home buyer presentation
Brief  v2 first time home buyer presentationBrief  v2 first time home buyer presentation
Brief v2 first time home buyer presentation
MuhammadAhsanSarwar
 
Real Estate Investing: The Key To Long Term Wealth
Real Estate Investing: The Key To Long Term WealthReal Estate Investing: The Key To Long Term Wealth
Real Estate Investing: The Key To Long Term Wealth
Team Nickerson
 
Buyers guide
Buyers guideBuyers guide
Buyers guide
cruggy10
 
18 Day Approval Guarantee
18 Day Approval Guarantee18 Day Approval Guarantee
18 Day Approval Guarantee
ehc1850
 
Cap Rate Presentation, How to calculate the rentability of an investment
Cap Rate Presentation, How to calculate the rentability of an investmentCap Rate Presentation, How to calculate the rentability of an investment
Cap Rate Presentation, How to calculate the rentability of an investment
123goproperties
 
Your next home july 2015 (1)
Your next home   july 2015 (1)Your next home   july 2015 (1)
Your next home july 2015 (1)
New Avenue Realty
 
Residential Vacation Properties
Residential Vacation PropertiesResidential Vacation Properties
Residential Vacation Properties
Perkins & Co
 
Advantages of homeownership
Advantages of homeownershipAdvantages of homeownership
Advantages of homeownership
Artesian Title
 
Zed ex gold ppt
Zed ex gold pptZed ex gold ppt
Zed ex gold ppt
Shrikant Koli
 
Sep12 newsflyer
Sep12 newsflyerSep12 newsflyer

What's hot (16)

Fix-N-Flip, www.ProfessionalCapitalPartners.com
Fix-N-Flip, www.ProfessionalCapitalPartners.comFix-N-Flip, www.ProfessionalCapitalPartners.com
Fix-N-Flip, www.ProfessionalCapitalPartners.com
 
The art of real estate investing
The art of real estate investing The art of real estate investing
The art of real estate investing
 
Go cleancreditclient shortsale gift flyer 2pg_personalize
Go cleancreditclient shortsale gift flyer 2pg_personalizeGo cleancreditclient shortsale gift flyer 2pg_personalize
Go cleancreditclient shortsale gift flyer 2pg_personalize
 
Difference with AnnieMac
Difference with AnnieMacDifference with AnnieMac
Difference with AnnieMac
 
Rent Out Proposal PowerPoint Presentation Slides
Rent Out Proposal PowerPoint Presentation SlidesRent Out Proposal PowerPoint Presentation Slides
Rent Out Proposal PowerPoint Presentation Slides
 
Real estate principles_powerpoint_for_chapter_11
Real estate principles_powerpoint_for_chapter_11Real estate principles_powerpoint_for_chapter_11
Real estate principles_powerpoint_for_chapter_11
 
Brief v2 first time home buyer presentation
Brief  v2 first time home buyer presentationBrief  v2 first time home buyer presentation
Brief v2 first time home buyer presentation
 
Real Estate Investing: The Key To Long Term Wealth
Real Estate Investing: The Key To Long Term WealthReal Estate Investing: The Key To Long Term Wealth
Real Estate Investing: The Key To Long Term Wealth
 
Buyers guide
Buyers guideBuyers guide
Buyers guide
 
18 Day Approval Guarantee
18 Day Approval Guarantee18 Day Approval Guarantee
18 Day Approval Guarantee
 
Cap Rate Presentation, How to calculate the rentability of an investment
Cap Rate Presentation, How to calculate the rentability of an investmentCap Rate Presentation, How to calculate the rentability of an investment
Cap Rate Presentation, How to calculate the rentability of an investment
 
Your next home july 2015 (1)
Your next home   july 2015 (1)Your next home   july 2015 (1)
Your next home july 2015 (1)
 
Residential Vacation Properties
Residential Vacation PropertiesResidential Vacation Properties
Residential Vacation Properties
 
Advantages of homeownership
Advantages of homeownershipAdvantages of homeownership
Advantages of homeownership
 
Zed ex gold ppt
Zed ex gold pptZed ex gold ppt
Zed ex gold ppt
 
Sep12 newsflyer
Sep12 newsflyerSep12 newsflyer
Sep12 newsflyer
 

Similar to Mortgage Terms You Need to Know 101

Investment Property Financing
Investment Property FinancingInvestment Property Financing
Investment Property Financing
Geoff Lee
 
Mortgage Qualification 101
Mortgage Qualification 101Mortgage Qualification 101
Mortgage Qualification 101
Geoff Lee
 
OVERCOMING THE CHALLENGES OF INCOME QUALIFYING
OVERCOMING THE CHALLENGES OF INCOME QUALIFYINGOVERCOMING THE CHALLENGES OF INCOME QUALIFYING
OVERCOMING THE CHALLENGES OF INCOME QUALIFYING
Geoff Lee
 
Personalities of Your Mortgage Product 101
Personalities of Your Mortgage Product 101Personalities of Your Mortgage Product 101
Personalities of Your Mortgage Product 101
Geoff Lee
 
Home buying 101
Home buying 101Home buying 101
Home buying 101
Laurie Cafagna
 
Peak Properties Private Lending
Peak Properties Private LendingPeak Properties Private Lending
Peak Properties Private Lending
Hira Zahan
 
Regional summit ppt4 mortgage lending
Regional summit ppt4   mortgage lendingRegional summit ppt4   mortgage lending
Regional summit ppt4 mortgage lending
Doran M. Summers
 
Guaranteed Rate Consumer Overview
Guaranteed Rate Consumer OverviewGuaranteed Rate Consumer Overview
Guaranteed Rate Consumer Overview
Brett Butler
 
Vine Group Presentation | Volition Properties Masterclass
Vine Group Presentation | Volition Properties MasterclassVine Group Presentation | Volition Properties Masterclass
Vine Group Presentation | Volition Properties Masterclass
Volition Properties
 
Blaine Final Revisions 10-13-16
Blaine Final Revisions 10-13-16Blaine Final Revisions 10-13-16
Blaine Final Revisions 10-13-16
Sue Schinke
 
Guaranteed Rate - Built for Realtors
Guaranteed Rate - Built for RealtorsGuaranteed Rate - Built for Realtors
Guaranteed Rate - Built for Realtors
Tim Balogh
 
How to Turn Unqualified Homebuyers into Qualified Ones
How to Turn Unqualified Homebuyers into Qualified OnesHow to Turn Unqualified Homebuyers into Qualified Ones
How to Turn Unqualified Homebuyers into Qualified Ones
Troy Ross
 
1st time home buyer
1st time home buyer1st time home buyer
1st time home buyer
Tyler Crisci
 
FREE Home Buyer's Workshop
FREE Home Buyer's WorkshopFREE Home Buyer's Workshop
FREE Home Buyer's Workshop
Linda DuChene
 
Guaranteed Rate - Built for Builders
Guaranteed Rate - Built for BuildersGuaranteed Rate - Built for Builders
Guaranteed Rate - Built for Builders
Tim Balogh
 
Private Money Lender Powerpoint Presentation
Private Money Lender Powerpoint PresentationPrivate Money Lender Powerpoint Presentation
Private Money Lender Powerpoint Presentation
Michael DiGiovanni
 
Rent roll - buy, value and sell - v3
Rent roll -  buy, value and sell - v3Rent roll -  buy, value and sell - v3
Rent roll - buy, value and sell - v3
Tony Morrison
 
OP PI Presentation
OP PI PresentationOP PI Presentation
OP PI Presentation
Oglethorpe Properties
 
First Time Homebuyer
First Time HomebuyerFirst Time Homebuyer
First Time Homebuyer
Brett Butler
 
First Time Home Buyer
First Time Home BuyerFirst Time Home Buyer
First Time Home Buyer
Rocky Forlano
 

Similar to Mortgage Terms You Need to Know 101 (20)

Investment Property Financing
Investment Property FinancingInvestment Property Financing
Investment Property Financing
 
Mortgage Qualification 101
Mortgage Qualification 101Mortgage Qualification 101
Mortgage Qualification 101
 
OVERCOMING THE CHALLENGES OF INCOME QUALIFYING
OVERCOMING THE CHALLENGES OF INCOME QUALIFYINGOVERCOMING THE CHALLENGES OF INCOME QUALIFYING
OVERCOMING THE CHALLENGES OF INCOME QUALIFYING
 
Personalities of Your Mortgage Product 101
Personalities of Your Mortgage Product 101Personalities of Your Mortgage Product 101
Personalities of Your Mortgage Product 101
 
Home buying 101
Home buying 101Home buying 101
Home buying 101
 
Peak Properties Private Lending
Peak Properties Private LendingPeak Properties Private Lending
Peak Properties Private Lending
 
Regional summit ppt4 mortgage lending
Regional summit ppt4   mortgage lendingRegional summit ppt4   mortgage lending
Regional summit ppt4 mortgage lending
 
Guaranteed Rate Consumer Overview
Guaranteed Rate Consumer OverviewGuaranteed Rate Consumer Overview
Guaranteed Rate Consumer Overview
 
Vine Group Presentation | Volition Properties Masterclass
Vine Group Presentation | Volition Properties MasterclassVine Group Presentation | Volition Properties Masterclass
Vine Group Presentation | Volition Properties Masterclass
 
Blaine Final Revisions 10-13-16
Blaine Final Revisions 10-13-16Blaine Final Revisions 10-13-16
Blaine Final Revisions 10-13-16
 
Guaranteed Rate - Built for Realtors
Guaranteed Rate - Built for RealtorsGuaranteed Rate - Built for Realtors
Guaranteed Rate - Built for Realtors
 
How to Turn Unqualified Homebuyers into Qualified Ones
How to Turn Unqualified Homebuyers into Qualified OnesHow to Turn Unqualified Homebuyers into Qualified Ones
How to Turn Unqualified Homebuyers into Qualified Ones
 
1st time home buyer
1st time home buyer1st time home buyer
1st time home buyer
 
FREE Home Buyer's Workshop
FREE Home Buyer's WorkshopFREE Home Buyer's Workshop
FREE Home Buyer's Workshop
 
Guaranteed Rate - Built for Builders
Guaranteed Rate - Built for BuildersGuaranteed Rate - Built for Builders
Guaranteed Rate - Built for Builders
 
Private Money Lender Powerpoint Presentation
Private Money Lender Powerpoint PresentationPrivate Money Lender Powerpoint Presentation
Private Money Lender Powerpoint Presentation
 
Rent roll - buy, value and sell - v3
Rent roll -  buy, value and sell - v3Rent roll -  buy, value and sell - v3
Rent roll - buy, value and sell - v3
 
OP PI Presentation
OP PI PresentationOP PI Presentation
OP PI Presentation
 
First Time Homebuyer
First Time HomebuyerFirst Time Homebuyer
First Time Homebuyer
 
First Time Home Buyer
First Time Home BuyerFirst Time Home Buyer
First Time Home Buyer
 

Recently uploaded

13 Jun 24 ILC Retirement Income Summit - slides.pptx
13 Jun 24 ILC Retirement Income Summit - slides.pptx13 Jun 24 ILC Retirement Income Summit - slides.pptx
13 Jun 24 ILC Retirement Income Summit - slides.pptx
ILC- UK
 
The various stages, after the initial invitation has been made to the public ...
The various stages, after the initial invitation has been made to the public ...The various stages, after the initial invitation has been made to the public ...
The various stages, after the initial invitation has been made to the public ...
Yashwanth Rm
 
Vadhavan Port Development _ What to Expect In and Beyond (1).pdf
Vadhavan Port Development _ What to Expect In and Beyond (1).pdfVadhavan Port Development _ What to Expect In and Beyond (1).pdf
Vadhavan Port Development _ What to Expect In and Beyond (1).pdf
johnson100mee
 
Economic trends from a business point of view (May 2024)
Economic trends from a business point of view (May 2024)Economic trends from a business point of view (May 2024)
Tdasx: Interpreting the 2024 Cryptocurrency Market Funding Trends and Technol...
Tdasx: Interpreting the 2024 Cryptocurrency Market Funding Trends and Technol...Tdasx: Interpreting the 2024 Cryptocurrency Market Funding Trends and Technol...
Tdasx: Interpreting the 2024 Cryptocurrency Market Funding Trends and Technol...
nimaruinazawa258
 
Singapore 2024 Sustainability Reporting and Accountancy Education Slides
Singapore 2024 Sustainability Reporting and Accountancy Education SlidesSingapore 2024 Sustainability Reporting and Accountancy Education Slides
Singapore 2024 Sustainability Reporting and Accountancy Education Slides
International Federation of Accountants
 
Singapore 2024 Event The Way Forward Slides
Singapore 2024 Event The Way Forward SlidesSingapore 2024 Event The Way Forward Slides
Singapore 2024 Event The Way Forward Slides
International Federation of Accountants
 
Tiểu luận: PURPOSE OF BUDGETING IN SME.docx
Tiểu luận: PURPOSE OF BUDGETING IN SME.docxTiểu luận: PURPOSE OF BUDGETING IN SME.docx
Tiểu luận: PURPOSE OF BUDGETING IN SME.docx
lamluanvan.net Viết thuê luận văn
 
足球博彩-足球博彩在哪个软件买球-足球博彩买球软件下载|【​网址​🎉ac55.net🎉​】
足球博彩-足球博彩在哪个软件买球-足球博彩买球软件下载|【​网址​🎉ac55.net🎉​】足球博彩-足球博彩在哪个软件买球-足球博彩买球软件下载|【​网址​🎉ac55.net🎉​】
足球博彩-足球博彩在哪个软件买球-足球博彩买球软件下载|【​网址​🎉ac55.net🎉​】
tuppermarvin593
 
GUIA_LEGAL_CHAPTER_2_FOREIGN EXCHANGE.pdf
GUIA_LEGAL_CHAPTER_2_FOREIGN EXCHANGE.pdfGUIA_LEGAL_CHAPTER_2_FOREIGN EXCHANGE.pdf
GUIA_LEGAL_CHAPTER_2_FOREIGN EXCHANGE.pdf
ProexportColombia1
 
GUIA_LEGAL_CHAPTER_13_ACCOUNTING REGULATION.pdf
GUIA_LEGAL_CHAPTER_13_ACCOUNTING REGULATION.pdfGUIA_LEGAL_CHAPTER_13_ACCOUNTING REGULATION.pdf
GUIA_LEGAL_CHAPTER_13_ACCOUNTING REGULATION.pdf
ProexportColombia1
 
Banana supply chain analysis of banana and mango.
Banana supply chain analysis of banana and mango.Banana supply chain analysis of banana and mango.
Banana supply chain analysis of banana and mango.
MahfuzurRahman849488
 
一比一原版加州理工学院毕业证(Caltech毕业证书)学历如何办理
一比一原版加州理工学院毕业证(Caltech毕业证书)学历如何办理一比一原版加州理工学院毕业证(Caltech毕业证书)学历如何办理
一比一原版加州理工学院毕业证(Caltech毕业证书)学历如何办理
aedhu
 
Macroeconomic-digest-of-Ukraine-0624-Eng.pdf
Macroeconomic-digest-of-Ukraine-0624-Eng.pdfMacroeconomic-digest-of-Ukraine-0624-Eng.pdf
Macroeconomic-digest-of-Ukraine-0624-Eng.pdf
olaola5673
 
Poonawalla Fincorp’s Strategy to Achieve Industry-Leading NPA Metrics
Poonawalla Fincorp’s Strategy to Achieve Industry-Leading NPA MetricsPoonawalla Fincorp’s Strategy to Achieve Industry-Leading NPA Metrics
Poonawalla Fincorp’s Strategy to Achieve Industry-Leading NPA Metrics
shruti1menon2
 
Indian Call Girls Noida 9873777170 Cash Payment Free Home Delivery
Indian Call Girls Noida 9873777170 Cash Payment Free Home DeliveryIndian Call Girls Noida 9873777170 Cash Payment Free Home Delivery
Indian Call Girls Noida 9873777170 Cash Payment Free Home Delivery
hanshkumar9870
 
What Lessons Can New Investors Learn from Newman Leech’s Success?
What Lessons Can New Investors Learn from Newman Leech’s Success?What Lessons Can New Investors Learn from Newman Leech’s Success?
What Lessons Can New Investors Learn from Newman Leech’s Success?
Newman Leech
 
Application Of mathematics in Finance- Time Value of Money
Application Of mathematics in Finance- Time Value of MoneyApplication Of mathematics in Finance- Time Value of Money
Application Of mathematics in Finance- Time Value of Money
vineetabhati1
 
5 Compelling Reasons to Invest in Cryptocurrency Now
5 Compelling Reasons to Invest in Cryptocurrency Now5 Compelling Reasons to Invest in Cryptocurrency Now
5 Compelling Reasons to Invest in Cryptocurrency Now
Daniel
 
Independent Call Girls Visakhapatnam 8800000000 Low Rate HIgh Profile Visakha...
Independent Call Girls Visakhapatnam 8800000000 Low Rate HIgh Profile Visakha...Independent Call Girls Visakhapatnam 8800000000 Low Rate HIgh Profile Visakha...
Independent Call Girls Visakhapatnam 8800000000 Low Rate HIgh Profile Visakha...
khannsohil539
 

Recently uploaded (20)

13 Jun 24 ILC Retirement Income Summit - slides.pptx
13 Jun 24 ILC Retirement Income Summit - slides.pptx13 Jun 24 ILC Retirement Income Summit - slides.pptx
13 Jun 24 ILC Retirement Income Summit - slides.pptx
 
The various stages, after the initial invitation has been made to the public ...
The various stages, after the initial invitation has been made to the public ...The various stages, after the initial invitation has been made to the public ...
The various stages, after the initial invitation has been made to the public ...
 
Vadhavan Port Development _ What to Expect In and Beyond (1).pdf
Vadhavan Port Development _ What to Expect In and Beyond (1).pdfVadhavan Port Development _ What to Expect In and Beyond (1).pdf
Vadhavan Port Development _ What to Expect In and Beyond (1).pdf
 
Economic trends from a business point of view (May 2024)
Economic trends from a business point of view (May 2024)Economic trends from a business point of view (May 2024)
Economic trends from a business point of view (May 2024)
 
Tdasx: Interpreting the 2024 Cryptocurrency Market Funding Trends and Technol...
Tdasx: Interpreting the 2024 Cryptocurrency Market Funding Trends and Technol...Tdasx: Interpreting the 2024 Cryptocurrency Market Funding Trends and Technol...
Tdasx: Interpreting the 2024 Cryptocurrency Market Funding Trends and Technol...
 
Singapore 2024 Sustainability Reporting and Accountancy Education Slides
Singapore 2024 Sustainability Reporting and Accountancy Education SlidesSingapore 2024 Sustainability Reporting and Accountancy Education Slides
Singapore 2024 Sustainability Reporting and Accountancy Education Slides
 
Singapore 2024 Event The Way Forward Slides
Singapore 2024 Event The Way Forward SlidesSingapore 2024 Event The Way Forward Slides
Singapore 2024 Event The Way Forward Slides
 
Tiểu luận: PURPOSE OF BUDGETING IN SME.docx
Tiểu luận: PURPOSE OF BUDGETING IN SME.docxTiểu luận: PURPOSE OF BUDGETING IN SME.docx
Tiểu luận: PURPOSE OF BUDGETING IN SME.docx
 
足球博彩-足球博彩在哪个软件买球-足球博彩买球软件下载|【​网址​🎉ac55.net🎉​】
足球博彩-足球博彩在哪个软件买球-足球博彩买球软件下载|【​网址​🎉ac55.net🎉​】足球博彩-足球博彩在哪个软件买球-足球博彩买球软件下载|【​网址​🎉ac55.net🎉​】
足球博彩-足球博彩在哪个软件买球-足球博彩买球软件下载|【​网址​🎉ac55.net🎉​】
 
GUIA_LEGAL_CHAPTER_2_FOREIGN EXCHANGE.pdf
GUIA_LEGAL_CHAPTER_2_FOREIGN EXCHANGE.pdfGUIA_LEGAL_CHAPTER_2_FOREIGN EXCHANGE.pdf
GUIA_LEGAL_CHAPTER_2_FOREIGN EXCHANGE.pdf
 
GUIA_LEGAL_CHAPTER_13_ACCOUNTING REGULATION.pdf
GUIA_LEGAL_CHAPTER_13_ACCOUNTING REGULATION.pdfGUIA_LEGAL_CHAPTER_13_ACCOUNTING REGULATION.pdf
GUIA_LEGAL_CHAPTER_13_ACCOUNTING REGULATION.pdf
 
Banana supply chain analysis of banana and mango.
Banana supply chain analysis of banana and mango.Banana supply chain analysis of banana and mango.
Banana supply chain analysis of banana and mango.
 
一比一原版加州理工学院毕业证(Caltech毕业证书)学历如何办理
一比一原版加州理工学院毕业证(Caltech毕业证书)学历如何办理一比一原版加州理工学院毕业证(Caltech毕业证书)学历如何办理
一比一原版加州理工学院毕业证(Caltech毕业证书)学历如何办理
 
Macroeconomic-digest-of-Ukraine-0624-Eng.pdf
Macroeconomic-digest-of-Ukraine-0624-Eng.pdfMacroeconomic-digest-of-Ukraine-0624-Eng.pdf
Macroeconomic-digest-of-Ukraine-0624-Eng.pdf
 
Poonawalla Fincorp’s Strategy to Achieve Industry-Leading NPA Metrics
Poonawalla Fincorp’s Strategy to Achieve Industry-Leading NPA MetricsPoonawalla Fincorp’s Strategy to Achieve Industry-Leading NPA Metrics
Poonawalla Fincorp’s Strategy to Achieve Industry-Leading NPA Metrics
 
Indian Call Girls Noida 9873777170 Cash Payment Free Home Delivery
Indian Call Girls Noida 9873777170 Cash Payment Free Home DeliveryIndian Call Girls Noida 9873777170 Cash Payment Free Home Delivery
Indian Call Girls Noida 9873777170 Cash Payment Free Home Delivery
 
What Lessons Can New Investors Learn from Newman Leech’s Success?
What Lessons Can New Investors Learn from Newman Leech’s Success?What Lessons Can New Investors Learn from Newman Leech’s Success?
What Lessons Can New Investors Learn from Newman Leech’s Success?
 
Application Of mathematics in Finance- Time Value of Money
Application Of mathematics in Finance- Time Value of MoneyApplication Of mathematics in Finance- Time Value of Money
Application Of mathematics in Finance- Time Value of Money
 
5 Compelling Reasons to Invest in Cryptocurrency Now
5 Compelling Reasons to Invest in Cryptocurrency Now5 Compelling Reasons to Invest in Cryptocurrency Now
5 Compelling Reasons to Invest in Cryptocurrency Now
 
Independent Call Girls Visakhapatnam 8800000000 Low Rate HIgh Profile Visakha...
Independent Call Girls Visakhapatnam 8800000000 Low Rate HIgh Profile Visakha...Independent Call Girls Visakhapatnam 8800000000 Low Rate HIgh Profile Visakha...
Independent Call Girls Visakhapatnam 8800000000 Low Rate HIgh Profile Visakha...
 

Mortgage Terms You Need to Know 101

  • 1. presents TERMS YOU NEED TO KNOW - 101 TRANSLATING MORTGAGE INDUSTRY TERMS INTO EVERY DAY LANGUAGE
  • 2. A little about Geoff Lee… √ Co founder and Director of the Imani Orphan Care Foundation – www.imaniorphancare.com √ Over 22 years of real estate experience and investment √ Ranked amongst the top 3% mortgage brokers in Canada by CMP magazine √ Finalist in 2014 CMP Canadian Mortgage Awards for Best Customer Service from an independent office
  • 3. LET’S RECAP… CREDIT 101 • What a credit score is… • All you really need is 680 – 800 to get the best mortgage rate… • How the credit score is calculated… • How to fix your credit problems… MORTGAGE QUALIFICATION 101 • How to qualify for a mortgage either self-employed or employed… • Stated Income… • Gross Debt Service Ratio and Total Debt Service Ratio • Mortgage Insurance
  • 4. GIVE IT TO ME IN ENGLISH PLEASE! So what are the terms you need to know??? • High Ratio Mortgage • You are putting less than 20% down • Requires mortgage insurance • Conventional Mortgage • You are putting more than 20% down • Generally does not require mortgage insurance
  • 5. GIVE IT TO ME IN ENGLISH PLEASE! • Subject Property • What you are buying • Non Subject Property • Other properties that you own
  • 6. GIVE IT TO ME IN ENGLISH PLEASE! • LOAN to VALUE (LTV) • What you owe on your “loan” to what to what the property is valued at • SECURED and UNSECURED Lines of Credit • Secured • “Tied” to something you own – collateral • Unsecured • Not “Tied” to anything – no collateral •
  • 7. GIVE IT TO ME IN ENGLISH PLEASE! • Amortization • The length of time it takes to pay off your mortgage • Affects your monthly payment at times much more than the rate • Fixed term mortgage • Locked in for a “fixed term” you have chosen • 1 -1 0 years • Penalty if you break the “fixed term”
  • 8. GIVE IT TO ME IN ENGLISH PLEASE! • Variable Rate Mortgage (VRM) • Can be Open • No penalty if you break • Can be FIXED TERM • Penalty if you break.
  • 9. GIVE IT TO ME IN ENGLISH PLEASE! • FLEXDOWN • Using untraditional sources for your down payment • Borrowing from • Employer • Credit Cards • Unsecured Lines of Credit
  • 10. GIVE IT TO ME IN ENGLISH PLEASE! • STATED INCOME – self employed (BFS) • What you report as income to Canada Revenue Service vs what you “STATE” your income to be to the Lender. • REFINANCING • To take the money that you owe and take out a new loan to pay off.
  • 11. GIVE IT TO ME IN ENGLISH PLEASE! • RENTALS • ADDBACK (subject and non subject properties) • To take a % of the rental income from investment properties and ADD it BACK to your income • OFF SETS • Reduces the rental expense add balance back to Gross Income
  • 12. GIVE IT TO ME IN ENGLISH PLEASE! • NET RENTS (non subject properties) • Taking the 2 year reporting average from your T1 Generals (Statement of Rental Activities) • Determine if there is a surplus/loss • Input that surplus/loss into the application • Do not include any NON SUBJECT properties debt into the file
  • 13. GIVE IT TO ME IN ENGLISH PLEASE! • DEBT CALCULATION RATIOS (DCR) (subject and non subject properties) • Calculate the NON SUBJECT and SUBJECT property debt • Determine if there is a surplus/loss • Input that surplus/loss into your application • Do not include NON SUBJECT and SUBJECT properties debt into the application
  • 14. “The ONLY thing constant in life is change…” Anonymous “Lasting Quote….”
  • 15. Get in touch with us…. www.geoffleemortgage.com Twitter: @geoffleeca Linked In: http://ca.linkedin.com/in/geoffleemortgage/ Email: Geoff@geoffleemortgage.com Phone: 1.778.552.3489
  • 16. Thanks so much for attending the GLM Mortgage Group workshop – MORTGAGE QUALIFICATIOM 101. If you have any questions please call me at 778.552.3489 or email me at geoff@geoffleemortgage.com. “We specialize in getting you the fastest “YES” at the SHARPEST RATE… GUARANTEED!” - Geoff Lee