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Our glossary has some 400 terms commonly
(and not so commonly) used words and terms in the industry. Choose
a LETTER below for terms beginning with the letter.
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Mortgage Tools Glossary
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A description of terms and details of parameters used
with the Canada Mortgage calculators.
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Condo Fees |
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How utilized in calculating
required incomes |
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Down Payments |
Parameters used for
Canada Mortgage conventional financing calculator. |
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DS Ratios |
Understanding Debt
Service Ratios |
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Insurance Fees |
for High Ratio Mortgages |
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Household Income |
Determining qualifying
income levels |
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% Interest |
The default mortgage
interest rates for our calculators |
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Investment |
Investment Mortgages |
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Loan / Value |
Loan to Value Ratio |
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Property Tax |
Property Tax usage
in Canada Mortgage Calculators |
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Rate Survey |
Canada Mortgage's
interest rate survey |
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DOWN PAYMENT |
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| | Conventional Financing |
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| The conventional mortgage calculator
default percentage down payment is set to a Loan to Value Ratio (LVR)
of 75% financing for the first $350,000 of property value
and 65% financing thereafter. The % downpayment shown reflects this
calculation for homes over $350,000. |
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To over ride this default enter your own % down Payment.
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Example
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VALUE |
LOAN |
| Purchase Price |
$500,000 |
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| 75% of first |
$ 350,000 |
= $ 262,500 |
| 65% of next |
$ 150,000 |
= $ 97,500 |
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| Totals |
$ 500,000 |
$ 360,000 |
| The LVR is |
$ 360,000 / $ 500,000 |
= 72 % |
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