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Some lenders might be a bit flexible about credit scores, income and cash reserves, but that 75 percent maximum loan-to-value ratio is usually a “hard and fast rule,” Chenault adds. credit surprises are the last thing you want to deal with during the mortgage process.
Investment Properties in Canada Buying an investment property is a popular option for Canadians looking at different ways to invest their money. However, unlike the mortgage you took out on your principal residence, financing an investment property is a little more complex.
The problem with rental investments is that even small mistakes can be very costly! Every investment ties up a large amount of capital, often leveraged up with a mortgage – creating. that if you.
· House 2 – Investment 20% Down ( These numbers were from mlcalc.com) Purchase Price – $100,000 Downpayment – $20,000 Rent – $1000/month Escrow, Taxes (1%), and Insurance (.5%) – $1500 a year ($125 a month) Interest Rate – 4.5% Mortgage (Includes Escrow) – $506 Principle – $131 Cash Flow – $506. 69