Purchase Mortgages
Securing the right mortgage is one of the most important steps in purchasing your dream home. At Better Mortgages, we are
here to guide you every step of the way. Whether you’re a first-time buyer or a seasoned homeowner, our experienced
mortgage agents and brokers offer personalized solutions designed to meet your unique needs and financial goals.
Led by a team of industry leaders with a combined career involvement in over $9.6 billion in mortgage transactions,
Better Mortgages is committed to providing trusted advice and expert service to help you achieve your homeownership goals.
Understanding Your Mortgage Options
When purchasing a home, mortgages in Canada generally fall into two main categories:
INSURED MORTGAGE
5%–19.99% Down Payment
Max Property Value: $1,500,000
30-Year Amortization for First-Time
Buyers or New Construction
Default Insurance Premium Added to Mortgage
CONVENTIONAL MORTGAGE
20%+ Down Payment (or Equity)
No Maximum Property Value
30-Year Amortization for Any Applicant
No Default Insurance Premium
Insured Mortgages
Making Homeownership Accessible
If your down payment is less than 20% of the purchase price, your mortgage will be classified as insured.
This means your lender will require Mortgage Default Insurance (MDI) provided by CMHC, Sagen, or Canada Guaranty.
While this insurance adds a premium to your mortgage, it opens the door to homeownership for many Canadians.
Key Benefits of Insured Mortgages
Key Benefits of
Insured Mortgages
Lower Down
Payment Requirements
Purchase your home with as little as 5% down, making it a great option for first-time buyers and those entering the market.
Most Competitive
Interest Rates
Thanks to reduced risk for lenders, insured mortgages often come with the lowest available interest rates.
Flexible
Terms
Choose repayment options that align with your budget and goals.
Easier
Qualification
Mortgage insurance reduces lender risk, increasing your chances of approval.
Mortgage Insurance Premiums
The cost of mortgage insurance is calculated as a percentage of
your mortgage amount, based on your down payment:
15%–19.99% Down Payment:
10%–14.99% Down Payment:
5%–9.99% Down Payment:
2.80% Premium
3.10% Premium
4.00% Premium
15%–19.99% Down Payment:
2.80% Premium
10%–14.99% Down Payment:
3.10% Premium
5%–9.99% Down Payment:
4.00% Premium
*These premiums apply to insured mortgages with a 25-year amortization.
For insured mortgages with a 30-year amortization, premiums are slightly higher.
Conventional Mortgages
Greater Flexibility and Savings
If you have a down payment of 20% or more, a conventional mortgage may be the right choice for you. These mortgages
do not require default insurance, giving you greater flexibility and potentially lower costs over the life of your loan.
Key Benefits of Conventional Mortgages
No Insurance Costs
Save money by avoiding default
insurance premiums.
Higher Price Flexibility
Unlike insured mortgages, conventional
loans have no maximum
property value limit.
Flexible Underwriting
Lenders can take a more personalized
approach when assessing your application,
often approving higher debt service ratios.
Extended Amortization Options
Amortizations of up to 30 years are available, which can lower your monthly payments.
Equity Building
By putting down a larger initial payment, you start with more equity, giving you financial stability and future flexibility.
Extended
Amortization Options
Amortizations of up to 30 years are available, which can lower your monthly payments.
Equity Building
By putting down a larger initial payment, you start with more equity, giving you financial stability and future flexibility.
Let Us Guide You Home
Choosing the right mortgage is about more than just numbers—it’s about trust, expertise, and personalized service.
Contact Better Mortgages today to learn how we can help you take the first step toward your dream home.