Q1. Can we make changes to the mortgage application, such as length of term, repayment frequency, etc. once the application has been submitted?

Yes. Your ideal mortgage formula has probably already been created, but if you want to consider a change - let's review the possible benefits.

Q2. What is an IAD or Interest Adjustment Date?

If your mortgage is due to close in the middle of the month, but your regular payments are set for the start of the month, your first mortgage payment could be delayed for several weeks. To cover this, a date is set as the IAD and an amount is collected on closing to cover this Interest Adjustment Date period. Talk to your Mortgage Specialist about the possible Interest Adjustment Date for your purchase.

Q3. What is the difference between High Ratio Mortgage Insurance and Mortgage Life Insurance?

High Ratio Insurance is a government legislated mechanism to protect deposit-taking institutions for loans over 75% of the lesser of a property's appraised value or sale price. In Canada the insurance premium is paid to either of 2 approved insurers. Mortgage Life Insurance protects the estate or co-owner of an insured homeowner.

Q4. When the mortgage lender pays the Property Taxes, how are payments calculated?

The estimated amount of your Property Taxes can be added to the mortgage payment and paid on your behalf at the appropriate times. Depending on the balance in your tax account, it may be necessary to increase or decrease the amount of monthly payments to reflect the timing of Property Tax payments.