When you are a first-time homebuyer, it often feels like every next step of the process is harder than the last one. First, you have to scale the hurdle of saving enough money for the down payment on the home. Then you must get approved for the loan. Finally, you …
Rental properties differ a lot from your private residence, and they have more risk. Renters will not maintain your property as they should. That is because it doesn’t belong to them and they can vacate anytime they want. But this is not so with your private residence. As a result, …
Before a lender approves a mortgage or loan application, they weigh some important factors. The Loan to Value ratio is one of those important factors. A loan-to-value ratio basically measures the loan amount against the asset’s value. To calculate the LTV ratio, divide the loan balance by the value of …
Too many negative factors on your credit rating can make it extremely difficult to obtain a mortgage or loan. Unfortunately, once negative information lands on your credit report, it can remain on for at least seven years and be very difficult to remove. There are a few ways you can …
A commercial mortgage approval ultimately means showing that you have enough collateral to support repayment. Collateral is a borrower’s promise with property, to secure repayment of a loan. Your business, not yourself, assumes the mortgage and it can be a complex process. A business may seek out a commercial mortgage …
Lenders look for things that negatively impact your credit rating. They determine your credit risk based on your credit score as it’s the easiest way for them to determine your ability to pay back credit cards or loans. The 2 national credit bureaus used by consumers to determine their own …
The process of obtaining a residential mortgage is best done with the help of a mortgage broker. An expert simplifies a rather complicated process. The Canadian Mortgage and Housing Corporation report a more than a 20% increase in the total value of mortgage originations compared to the same period in 2019. …
Let me explain before I get too many negative comments! Currently, the term “social distancing” is everywhere. We are told from every direction, that we need to socially distance from one another. This term has always rankled me because it goes against everything that makes us human. Humans are born …
When Calculating EBITDA, you get the most comprehensive snapshot of a company’s financials. EBITDA is a valuable and comprehensive accounting technique used to determine whether a company is worth investing in. Unlike standard net income calculations that use a simple formula of revenue minus expenses, EBITDA factors in other expenses, …
When borrowing money for a commercial loan or mortgage, the first thing that a lender considers is repayment, not asset. The lender needs to know that you can service the debt. They use what’s known as a DSCR or Debt Service Coverage Ratio to determine it. The debt service coverage …
