Buying your first home, upgrading to a larger space, downsizing, or investing in a retirement property can feel overwhelming—especially with so many mortgage options available. There’s no one-size-fits-all solution.
At mfactory, we guide you through a personalized mortgage journey, step by step, to help you find the perfect mortgage tailored to your unique needs.
Your journey to homeownership begins here. The first step is completing our online mortgage application.
This form gives your agent the essential details to build your budget, determine how much you can afford, and explore down payment options tailored to your situation.
Based on the information you provided in step 1, your agent will prepare a customized checklist of required documents to ensure all your mortgage options are available, helping you secure your mortgage or pre-approval.
After submitting the necessary documents, your agent will review your maximum purchase price, the required down payment, closing costs, and provide examples of mortgage payments tailored to a price range that suits you.
Searching for the perfect home is both exciting and challenging. We suggest partnering with a Real Estate Professional who can refine your search to match your specific needs.
When you’re ready to make an offer, having a pre-approved mortgage in hand gives you a competitive advantage.
Congratulations! Your purchase offer has been accepted. One important detail in the agreement is the ‘condition of financing,’ which outlines the deadline for fulfilling the mortgage requirements set by your lender.
At this stage, your agent will review your mortgage details, benefits, and payment options.
A lawyer, of your choosing, will facilitate the closing of your purchase and coordinate with Realtor®, the seller’s lawyer and any other parties involved.
The trademarks REALTOR®, REALTORS® and the REALTOR® logo are controlled by CREA and identify real estate professionals who are members of CREA.
In Canada, you’re considered a first-time home buyer if you have never owned a home before. In some programs, you may also qualify if you haven’t owned a home in the past 4 years or are starting fresh after a marital breakdown.
The difference between pre-qualification and pre-approval for a mortgage comes down to how in-depth the lender evaluates your finances and how strong the commitment is.
Basic
Comprehensive
No
Yes
No
Yes
Estimated
Verified
Helps set a budget
Makes you a serious buyer
No
Yes, Pre-Approval letter given to show sellers
Which One Should You Get?
Pre-Qualification is useful if you’re just starting to explore your options and want a general idea of your price range.
Pre-Approval is better if you’re serious about buying because it gives you more credibility with sellers and speeds up the mortgage process.
To qualify, you must prove you can afford payments at the greater of:
The Bank of Canada’s qualifying rate (currently 5.25%)
Your contract rate + 2%
This protects you from rate increases and ensures affordability.
Yes. Many buyers purchase with a spouse, family member, or co-signer to boost qualifying income. A co-signer (often a parent) helps with mortgage approval but is also responsible for the loan.
To determine how much you can afford, you’ll need to consider your taxable income, outstanding debts, and monthly expenses.
Step 1: Calculate Housing Costs
For a primary residence, lenders typically allow you to allocate up to 39% of your income toward housing expenses, including:
Step 2: Consider Debt Obligations
Next, calculate 44% of your taxable income, then subtract all monthly debt payments, such as:
The lower amount from Step 1 or Step 2 is what lenders generally use to determine how much of your income can go toward housing costs.
Step 3: Stay Financially Comfortable
While these ratios provide a guideline, it’s essential to ensure you’re comfortable with the debt level. If 39% of your income feels too high, you may want to opt for a lower percentage to avoid becoming “house poor” and still have room in your budget for other expenses and lifestyle choices.
Additionally, you must qualify for your mortgage under the federal government’s mortgage stress test regulations, ensuring you can afford payments even if interest rates rise.
By carefully assessing these factors, you can find a home price that fits your financial situation and lifestyle.
In short—yes, you should get a home inspection.
A home inspection is a professional, visual assessment of a property’s condition. Conducted by a certified home inspector, it evaluates the home’s key components, including:
After the inspection, you’ll receive a detailed written report—usually within 24 hours—outlining any issues, from minor repairs to major structural concerns.
A pre-purchase home inspection helps protect your investment by revealing potential problems that could affect your decision or negotiation strategy. It also gives you peace of mind and allows you to plan for future maintenance, reducing unexpected surprises after you move in.
When purchasing a home, you’ll need to budget for several expenses beyond the purchase price. Here’s a breakdown of key costs to consider:
Being aware of these costs helps ensure a smooth home-buying process without unexpected financial surprises.
Owning a home is a rewarding investment, but it comes with ongoing expenses.
Budgeting for these costs helps ensure financial stability and prevents unexpected financial strain.
Key Monthly Homeownership Costs include:
By understanding these costs and planning ahead, you can enjoy homeownership while staying financially prepared for both expected and unexpected expenses.
Yes! This is often called a construction mortgage or construction-to-permanent mortgage. It’s designed for buyers who are building a home and need financing in stages until the house is complete.
Here’s how it works:
Stage Payments: Instead of receiving the full mortgage upfront, the lender releases funds in stages (called “draws”) as construction milestones are completed.
Interest During Construction: You typically pay interest only on the funds that have been released, not the full mortgage amount.
Conversion to Permanent Mortgage: Once construction is finished, the mortgage converts into a standard mortgage for your long-term term.
Documentation Required: Lenders usually require a detailed construction plan, builder contracts, and proof of permits and insurance.
Tips:
Work with a mortgage broker experienced in construction financing — not all lenders offer this type of mortgage.
Budget for contingencies in case construction costs rise.
Coordinate closely with your builder and lender to ensure draws are released smoothly.
Getting Pre-Approved is as easy as 1-2-3 with our online application
