Mortgage For Vacation & Second Home Properties
"Investing In Your Future"
A second home is often looked at as an investment property, but not always are they the same. While an investment property generates a form of income, often through a residential rental home, a commercial property, or a mixed use of both, a second home may be attained as a vacation home, a cottage, or just a second property used as a weekend retreat. With as little as 5% down and subject to qualifying, you could own your very own second home today. Ultimately, in the end, it all comes down to the art of leveraging.
Generally when it comes to secondary properties, people don’t tend to consider using the equity in their home to buy an investment property. Did you know that when purchasing a secondary property, whether that be a vacation home, a weekend retreat, or even a home for your parents or children, most lenders will allow you to borrow up to 80% of your home’s current value to fund that purchase? This is done through the process called mortgage refinancing. This will allow you to tap into your hard earned home equity to secure enough capital for a down payment on your second property.
However, this is not your only option to securing your down payment. Another option to unlocking your home equity is through a Line Of Credit or even a Home Equity Line Of Credit (HELOC). This simple process allows you to use your home as collateral while borrowing against the value of your home. A Home Equity Line of Credit (HELOC) not only serves as a revolving line of credit, allowing you access to funds as needed, but this option also helps you avoid any lender penalties when breaking your mortgage.
Before taking on a secondary property, it’s important to note that you will need to have your down payment ready (whether that is from your savings or your home equity). The process will remain the same as your first mortgage including a minimum down payment of 5%. However, if the property is a non-winterized vacation home or if It will not have year-round access, then you will be needing a 10% down payment. This includes a minimum credit score of 680 if you are putting less than 20% down and you will be subject to qualifying guidelines proving you can financially carry both mortgages.
Contact us today at Riley Boychuk Mortgages for more information.
Services offered by Burnaby Mortgage Broker
- HOME PURCHASE MORTGAGE Purchasing a home is often one of the biggest financial decisions one may make in their life.
- Refinance & Debt Consolidation Mortgage Do you want to tap into some of your hard earned home equity? Well, did you know that you can borrow up to 80% of your properties current market value!
- MORTGAGE PRE-APPROVAL A mortgage pre-approval is an initial fundamental step in the home buying process helping you secure today’s very best rate.
- MORTGAGE RENEWALS & TRANSFERS If you’re planning to renew your mortgage with your current lender, you are likely leaving opportunities to save money on the table.
- Purchase Plus Improvement Mortgages Have you just fallen in love with your forever home, but it needs work? Well, we at Riley Boychuk Mortgages have got a solution for you.
- Investment Property Mortgage You may be surprised to learn that you don’t need to be making 6 figures to own a second property.
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Mortgage For Vacation & Second Home Properties With as little as 5% down you could own your very own second home today.
- Mortgage Rate Negotiation It’s very simple, we provide each of our clients with the markets best rates, best products, and the very best service from start to finish.
- First Time Home Buyer Mortgage As a First Time Home Buyer, get started today with one of our mortgage experts and save a pile of cash.
- MORTGAGES FOR SELF EMPLOYED If you’re a business owner or self-employed, we have lending solutions for you at the markets most competitive rates.
- MORTGAGE CALCULATOR Have you ever wondered how you could save thousands of dollars on your mortgage while becoming mortgage free up to 7 years sooner?
- HOME EQUITY LOANS If you have built up equity in your home, a home equity loan will provide you a large lump sum of cash right at your fingertips.
- Home Equity Line of Credit (HELOC) Similar to home equity loans, a home equity line of credit (HELOC) uses the built-up equity in your home as a secondary source of funds...
- Private Mortgage Financing If you’ve got bad credit or more built-up debt than you would like, we have a solution for you!
- FIRST RESPONDER MORTGAGES As a valued First Responder, you are entitled to today’s very best rates with cash back incentives.
- REVERSE MORTGAGES It is said that almost 8 in 10 Canadians that are over the age of 55 report saying that they can’t solely rely on their registered savings plans...
Riley Boychuk - Mortgage Broker serves clients across Lower Mainland, & Greater Vancouver Area including Vancouver, North Vancouver , West Vancouver , Richmond , Burnaby , New Westminster , Coquitlam , Surrey, Delta , Langley, Abbotsford, Chilliwack , Squamish, Maple Ridge, Kelowna, and Mission. Also serving across Victoria, Nanaimo, Campbell River, Port Alberni, Courtenay, Langford, Oak Bay, Saanich, Vancouver Island Area, Kelowna, Penticton, Kamloops, Osoyoos, Summerland, Peachland, Oliver, Okanagan Region, Cranbrook, Salmon Arm, Nelson, Castlegar, Trail, Kootenay Region, Revelstoke, British Columbia, Tsawwassen and the surrounding areas.
