Mortgage Services — Lil Archie’s Guide to Home Financing
Lil Archie is here to help make mortgages easier to understand. He’s my little sidekick who keeps things simple, clear, and easy to follow — so you always know where you stand.
Mortgage Types
Fixed-rate: Your rate stays the same for your term, so payments are predictable.
Variable-rate: Your rate can move with the market, so payments may change.
Term vs. Amortization
Term: How long your mortgage rate and conditions are locked in (usually 1–5 years).
Amortization: Total time to fully pay off your mortgage (typically 25–30 years).
Mortgage Insurance
If your down payment is under 20%, mortgage default insurance is required. It protects the lender and is added to your mortgage or paid as a premium.
Pre-Approval
A pre-approval reviews your income, credit, and debts to set your budget and show sellers you’re serious.
Down Payment
Your upfront contribution toward the home.
Minimums:
5% on the first $500,000
10% on the portion above $500,000
Sources: Savings, gifts, RRSPs, FHSA, sale of a home, and some borrowed options.
New to Canada
You may still qualify for a mortgage even without long Canadian credit history.
Lenders may consider:
Immigration documents and residency status
International credit history (if available)
Stable employment and income
Newcomer mortgage programs with flexible options
Refinance
Replace your current mortgage to better fit your goals.
You might refinance to:
Lower your interest rate
Switch fixed or variable
Change amortization
Consolidate debt
Access home equity
Keep in mind:
Property value affects how much you can access
Fees may include appraisal, legal, or penalties
Compare savings vs. cost before moving forward.
Switch / Transfer
Move your mortgage to a better fit.
Switch lenders: Move to a different lender for better rates.
Transfer within lender: Move your mortgage to a new property or product.
Portable mortgage: Take your mortgage with you when you move.
Always check for fees or penalties before making a change.