Investment & Rental Properties

Investment and Rental Property Mortgages

  • Fixed, Variable and Adjustable Rate Mortgages Permitted 
  • Very good rates (very close to best if not best)
  • Up to 80% LTV for a 1-4 unit Rental Property
  • Extended Amortizations: up to 35-years
With the Investment Property Program, borrowers can:
  • Purchase or Refinance an investment property up to 80% LTV
  • Benefit from competitive interest rates and NO application fees
  • Enjoy the payment flexibility that comes with an extended amortization
  • Purchase an investment property in a cost-effective manner
  • Enjoy the convenience of one mortgage and one monthly payment 
Traditional - 20% Down Payment Investment Property Mortgages
  • With a minimum 20% down payment, purchasers have many options available to them when buying investment/rental property.
  • What is the cost for Mortgage Insurance? With 20% down, the mortgage is conventional and no mortgage insurance is required.
Best Rental Product
  • Basically, if you have 20% to put down, have good credit and income, you may qualify for a 30 year amortization.
Net Worth
  • The requirement for a minimum net worth varies from one lending institution to another. Most lending institutions do not have a minimum net worth, however some require that you have a minimum $100,000 net worth per rental property.
Debt Coverage Ratio
  • The requirement for debt coverage ratio varies from one lending institution to another. Some institutions will use rental off set for qualifying purposes, while other lending institutions will use 1.10% debt coverage ratio.
1.10% debt coverage ratio is arrived at by dividing the Net Operating Income by the Debt Service.
Rental off set is when a lending institution uses 70% of the rental income and off sets it against the P.I.T. Only the shortfall will be included in the Debt Ratio. If there is a rental surplus this will be added to the client’s income. Assume a rental property with P.I.T. of $1432 and rental income of $2000. We will take 70% of the $2000 income ($1400) and deduct that from P.I.T. ($1432). We will only add the $32 shortfall to the Debt Ratio.

Call us today to get started with a Mortgage Solution that fits your lifestyle,
Telephone (416)855-5952.