A special information supplementTH E G LOB E AND MA I LWEDNE SDAY , A P R I L 3 0 , 2 0 0 8 M1

C anada’s competitive andhealthy mortgage mar-ket is offering more

options than ever before, mak-ing crucial that consumers dotheir homework and choosethe product that best suitstheir personal needs.

“The most important thingfor homebuyers is to talk totheir bank before they startshopping for a home,” saysLinda Seymour, a senior vicepresident at HSBC. “Theyneed to know how much theycan spend, and identify theeasiest and best way tofinance. Today, rates are stillvery low and consumers areoften surprised by how muchmortgage financing they can

actually qualify for – but theyneed to establish a budget andfocus on payments they canafford.”

Quite often, she says,homebuyers don’t take someof the other factors into con-sideration, such as settingaside money for propertytaxes, maintenance fees andtransaction costs they’ll incurat the time of sale. That canbe particularly problematicwhen buyers are stretching toget into the home of theirdreams faster with some of thenew mortgage products.

“There are so manyoptions out there,” says PaulaRoberts, and it is crucial thatborrowers know what’s avail-

able before accepting theterms their bank offers. “Therole of a mortgage broker is tomake the borrower aware ofevery available product. Edu-cation and research will helpidentify the mortgage thatmatches their lifestyle andcomfort level.”

Recent legislative changesmean that the down paymentrequirement for a ‘convention-al’ mortgage – one that’s notinsured by Genworth Finan-cial, CMHC or another insur-er – has declined from 25 percent to 20 per cent. But that’sonly one of many recentadvances that make home-buying easier. A wider rangeof insurance options also

makes financing possible fornon-traditional buyers (such asnew immigrants and the self-employed) and buyers with lit-tle or no savings for a downpayment.

Longer amortizations canhelp keep fixed paymentsaffordable, but ultimately, theaim of every home owner is topay off their mortgage asquickly as possible to save oninterest costs.

“We encourage our clientsto choose bi-weekly or weeklypayments, because it allowsfaster repayment,” says Ms.Seymour. “It’s also importantto look at the flexibility of dif-ferent mortgages: how muchcan you actually pay down

against principal on an annualbasis without incurring apenalty? Do you have theability to convert the mort-gage from a fixed rate to avariable rate mortgage or evena line of credit? Do you havethe ability to re-advance, sothat if you pay down yourprincipal and your equityincreases in your home, youcan borrow without having topay the legal fees again?”

These options can be par-ticularly important, she says,for homebuyers who want torenovate their home. “Theoriginal mortgage can coverthe purchase price, and asequity is created, the mort-gage can be re-advanced to

pay for renovations down theroad.”

Ms. Roberts agrees thatflexibility is crucial. “Lifechanges. Particularly for firsthomebuyers, people don’tknow what to expect until ithappens. Once they’re used toowning a home, and comfort-able, they may find they canincrease their payments.”

Most importantly, says Ms.Seymour, homebuyers shouldview their mortgage as oneelement of an integrated finan-cial plan. “There needs to be adiscussion around purchasingthe home that includes long-term plans, forecasting andgetting some advice on theirfinancial planning overall.”

E ffective debt manage-ment is the foundationof any financial plan.

New equity mortgage plansprovide an efficient and lower-interest way to contribute toyour RRSP, buy a car orinvest in income property.

Q. What makes a mortgage equityplan different than a traditionalmortgage?A. Until recently, accessingthe equity in your homerequired paying off your exist-ing mortgage, paying dis-charge costs and then startingthe process over again; apply-ing for another mortgage andpaying registration costs. Ifyou needed a line of credit, itwas separate from your mort-gage – and, again, if the limitsneeded to be changed, it was ahassle.

With the new equity mort-gage plans, you can now applyonce and have access to equityup to your approved limit.Your available credit increasesas your mortgage is paiddown, so you have access tofunds when you need themmost – without hassle. Mort-gages are the most economicalway to borrow, so if you have

equity in your home and needto borrow (as little as $25,000)a mortgage equity plan couldbe the right solution.

Q. What are some of the benefits?A. You could save significantlyin interest charges, andimprove your monthly cashflow, by securing an equitymortgage plan against yourhome. You also have theoption of tracking your differ-ent borrowing needs in multi-ple lines of credit or mort-gages. As you pay down theamount you owe, your avail-able credit automaticallyincreases. This saves potentialfuture re-registration costs.

Q. How can equity mortgage planborrowers ensure they’re choosingthe best interest rate option?

A. Knowledgeable investorschoose diversified portfolios toprotect against volatility wheninvesting money – the sameprinciple applies with yourmortgage. You can protectyourself from market fluctua-tions by dividing up yourmortgage with different termsand maturity dates – so thatyou end up with a strategy thatcould save you thousands ofdollars. A common strategy isto split your mortgage intovariable rate and fixed terms,thereby reducing or hedgingyour interest rate costs.

Q. What are some of the wayshomeowners can use their mort-gage to increase their overall networth?A. Depending on your strate-gies, a mortgage isn’t a badthing. We can help clientsmanage their equity to investand grow their net worth forretirement. For example, whenyou make a monthly paymentof $1,200, $300 of that may benew equity. With line of creditincreasing as you pay downthe mortgage, you have accessto this new equity. You couldborrow that amount back,invest in solid investments,

and enjoy the benefits of a 100per cent tax deduction on theinterest expense on that line ofcredit. Repeat each monthuntil your entire mortgage istax deductible – and you’llalso have grown your networth to include a retirementinvestment portfolio.

Q. Can equity mortgages helpbuyers who wish to buy incomeproperties or buy a home withfriends or family members?A. With many urban homesnow converted into separatesuites, buying with family orfriends can be a great option.The title of the propertywould still be registered to allbuyers, but the mortgages areassigned to each buyer sepa-rately. Each buyer then hasthe ability to tailor the mort-gage to his or her own needsand goals. You can also usethe equity in one home to pur-chase another.

Whatever you do, checkwith your accountant on yourspecific needs, and for taxstrategies to help grow youroverall net worth.

To learn more, e-mailMaryann.pohl@rbc.com.

F or the eco-conscious, orhomebuyers who simplywant to save on future

energy costs, green mortgagescan offer the best of two worlds– savings now and savings later.These new products generallyoffer a combination of rebatesor interest savings on energy-efficient homes and upgrades.

Combined with GenworthFinancial or CMHC premiumincentives for energy-efficienthomes, these new options canturn the ‘green’ of energy effi-ciency into the ‘green’ of morecash in your pocket.

The TD green mortgage,for example, offers a rate dis-count of one per cent off theposted interest rate on a five-year, fixed-rate mortgage orline of credit; a cash rebate of

up to one per cent of the mort-gage or fixed-rate portion ofthe line of credit for upgradesto ENERGY STAR qualifiedproducts such as appliances,heating and windows; and a$100 donation to the TDFriends of the EnvironmentFoundation.

“This can benefit both newhomebuyers and people whoare renewing their existingmortgage, and can providefunds for upgrades or even todo a home energy audit.We’ve found there is a signifi-cant amount of interest amongcustomers in greening theirhomes, particularly if it resultsin energy saving,” says ChrisWisniewski, group productmanager, Real Estate SecuredLending, TD Canada Trust.

Green mortgagesreward energy efficiency

New mortgages offer means to boost investment optionsQ&A with RBC mortgage specialist MaryAnn Pohl

M2AMP President & CEO of the Canadian Association of Accredited MortgageProfessionals JIM MURPHY outlines important considerations for borrowers.

M6New products open doors for entrepreneurs,new Canadians.

M4Longer amortizations mean lowerpayments – but are they right for you?INSIDE

While the fallout from subprime lending continues to take itstoll in the U.S., Canada’s mortgage market is competitiveand healthy. But with terms varying from lender tolender, and new 40-year amortizations, lower downpayments and other options available, it’s morecrucial than ever to choose the right product for you.

Options for eco-conscious

Mortgages –the right terms

Name: Daniel MartinOccupation:Mortgage Professional

An Accredited Mortgage Professional (AMP)is committed to finding mortgage products andservices that best suit your needs.

You'll feel confident when dealing with anAMP who has met a high standard of ethicsand is committed to ongoing professionaldevelopment.

To find an AMP in your area, visit www.caamp.org

www.caamp.orgCanadian Association of Accredited Mortgage ProfessionalsAssociation Canadienne des Conseillers Hypothécaires AccréditésStatus: Accredited

This repor t was produced by RandallAnthony Communications Inc. (www.randallanthony.com) in conjunction with the adver tis ing depar tment of The Globe and Mail. R ichard Deacon, National Business Development Manager, rdeacon@globeandmail.com.

A special information supplementTH E G LOB E AND MA I L

WEDNE SDAY , A P R I L 3 0 , 2 0 0 8M2

Mortgages – the right terms

By Jim Murphy,AMP President & CEOCanadian Association ofAccredited MortgageProfessionals (CAAMP)

A mortgage is often thelargest financial com-mitment that an indi-

vidual or partners will make intheir lifetime. It affects notonly personal finances, but theoverall tradeoffs made to livein a certain home or in a cer-tain neighbourhood. Whilethese lifestyle decisions arepersonal, there is also generalmortgage advice to considerwhen taking out a mortgage.This includes:• Determine the distributionchannel that you wish tosecure your mortgage from.There are retail channelsthat include bank branchesand credit unions, mortgagespecialists at the financial

institutions and the mort-gage brokerage channel.

• Research and informationgathering is extremelyimportant when finalizingthe best mortgage. Visit dif-ferent mortgage lender andbroker websites for informa-tion. Also visit the CanadianAssociation of AccreditedMortgage Professionals(CAAMP) website atwww.caamp.org and our

new consumer websitewww.mortgageconsumer.ca.You will find informationthat includes a definition ofmortgage terms, mortgagecalculators to determineyour payments and a sectionentitled Mortgage 101 thathelps you navigate the mort-gage process. Always asklots of questions of yourmortgage professional. It isimportant that borrowersfeel comfortable with theproduct they are beingoffered.

• The mortgage industry inCanada has changed enor-mously in the last 10 years.There are more lenders,more mortgage insurers andmore brokers. In short, thereis more of everything includ-ing the number of differentmortgage products available.These products are designedto meet different needs anddifferent circumstances.Make sure the one youselect is best suited for youand your needs.

• An early decision to makeinvolves deciding whetheryou want a fixed mortgage,the five-year term being themost common in Canada, ora variable mortgage whereyour payments are tied to abenchmark rate. When ratesdecline, you pay off more ofyour principal, and whenthey rise, you pay more ininterest. It is really a ques-tion of what you feel mostcomfortable with. There arealso combination mortgagesthat are part fixed and partvariable.

• Another key feature of mort-gages is your prepayment

privileges. This is not to beunderestimated – if you arefortunate to receive a pro-motion at work or an inheri-tance, you may be able topay down your mortgageprincipal much sooner.Know what the terms andconditions are of your mort-gage and what, if any, penal-ties there are for lump sumpayments.

• A relatively new mortgageproduct is a longer amortiza-tion period. In the past,most mortgages, especiallynew ones, were amortizedover 25 years. Today thereare also 30-, 35- and 40-yearamortizations available. Youpay more in interest overthe term of the mortgage,but your monthly or weeklypayments are less. Again,ask questions and be com-

fortable with your decision.Recent research undertakenby CAAMP shows that in2007, fully 37 per cent of allmortgages taken out inCanada had amortizationperiods of longer than 25years.

• If you attain your mortgagefrom a federally regulatedfinancial institution, a bankor a trust company and putless than 20 per cent downon the purchase price, youwill require mortgage insur-ance. Depending on yourdown payment, mortgageinsurance can add a furtherone to three percentagepoints on your mortgage.When finalizing your mort-gage amount, you shouldalso be aware of additionalclosing costs such as landtransfer taxes, appraisals,

home inspections and legalcosts. These can add thou-sands of dollars to your pur-chase price and potentiallyyour mortgage.

• Use the services of anAccredited Mortgage Profes-sional (AMP). The AMP isCanada’s national mortgagedesignation. AMPs havetaken extra training includ-ing ethics courses, adhere tobest practices and must takecontinuing education cours-es each year to maintain thedesignation. An AMP is asign of professionalism.These are some issues to

consider when finalizing yourmortgage. They will help youmake the right decision, butthey will also provide peaceof mind when finalizing themost important financial deci-sion in your lifetime.

What you need to know about your mortgage

There are many things to consider before signing a mortgage agreement. For example, pre-payment privileges vary and canmake a big difference in the event that a homeowner comes intomoney and can pay down themortgage faster. Certain fees and penalties, however, could be a dis-incentive. Borrowers should understand such terms and conditions of the mortgage agreement.PHOTO: ISTOCKPHOTO.COM

New mortgage options

• Pay no mortgage insurance premium with a down paymentof 20 per cent of the purchase price.

• Amortize your mortgage over 40 or 30 years.

• New insurance options allow for no down payment forbuyers with excellent credit and high, reliable incomes; threeper cent down payment insurance options are available for awider range of buyers.

• Mortgage insurance premiums are lower: premiums nowrange from 1.75 per cent to 3.1 per cent of the loan value.(The total premium is normally added to your mortgage.)

• Low down payment mortgage insurance is now available forthe self-employed and employees who work on commission.

• Lenders may now accept total debt loads of up to44 per cent.

Look before taking the leap

Homeownership on your terms.

©2008 Genworth Financial, Inc.

Join the growing number of Canadians like you who have bought their homes with mortgage insurance from Genworth Financial Canada.

Understanding your financial situation and finding the right mortgage option for you is the key to getting you into homeownership.

Ask your mortgage professional for a Genworth-insured mortgage or to explore your home buying options visit www.homeownership.ca

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WEDNE SDAY , A P R I L 3 0 , 2 0 0 8M4

Mortgages – the right terms

W hether your goal is tobuild wealth or buy abit of paradise, your

home equity can provide pow-erful leverage.

When Leila Hansen andEva McCoach found theycouldn’t get the price theywanted for their downtowncondo after their common-lawrelationship came to an end 12years ago, they decided tobecome co-property managersinstead. And with Vancouvercondominiums increasing invalue by more than 45 percent in the last three yearsalone, it’s proven to be a smartmove.

Last year, Ms. Hansendecided to leverage the equityshe’d built in her suburbanhouse, selling it to buy onecondo to live in and a secondto rent. “I was concerned aboutmy environmental footprint,”she says, “and I felt I could bedoing more with my equity.”While condo values aren’texpected to increase at the ratethey have in the last five years,she is confident that over time,she will be just as pleased withthe outcome of this latestinvestment. In the meantime,the rent on her investment

properties comes close to cov-ering those mortgages.

According to Vancouverrealtor, Patrick Melanson, Ms.Hansen is in excellent compa-ny. “It’s difficult to make thesame kind of money in thestock market without gambling– the vast majority of peoplewho build substantial wealthdo so in real estate. The equityyou’ve built in your home isn’tdoing anything for you there –but by applying it to a vaca-tion or investment property,you can begin to accumulatewealth.”

The key to getting it right,he says, is to focus on resalevalue. “Find a place that’sgoing to be easy to sell downthe road no matter where themarket is at. For example, itshouldn’t be on a busy street,it should be as large as youcan afford, and it should havestreet appeal or be in anappealing building. Everythinginside can be fixed up – butyou need the outside to be asstrong as possible. In general,it should appeal to a massaudience.”

Even first-time homebuy-ers can get into the action, saysMr. Melanson, with new mort-

gage options that allow forlower down payments. “Put alittle down on your first placeand then work to save up adown payment for a rentalproperty as well.”

Vacation properties showparticular promise because ofthe baby boom demographic,he says. “Now is a great timeto buy, as in the next 20 years,even more boomers and thegeneration behind them willwant a second or retirementhome. Buy waterfront if youcan afford it, no matter whereit is, even if it is a condo.When people go on vacation,if they’re using it as a rental –it’s always better to be on thewater.”

One of the only pitfalls toguard against, he says, is stray-ing too far from urban areas.“A six-hour drive is to beavoided.”

He recommends that peo-ple consider buying theirretirement home 15 to 20years before it is time to actu-ally retire, and renting it outuntil they’re ready to move in.“That rental would traditional-ly cover the costs of the home,especially if it’s by the water.The demand is so high.”

Home equity can fuel second-home goals

Mortgages can help unlock equity held in real estate and enable homeowners to invest in otherproperties. “The vast majority of people who build substantial wealth do so in real estate,” says Van-couver realtor Patrick Melanson. PHOTO: ISTOCKPHOTO.COM

T o understand the impactof amortizing mortgagesover 40 years rather

than 25, it’s important to dif-ferentiate between your mort-gage term – the length of timefor which your lender agreesto lend you the money – andthe amortization period, or thenumber of years used to calcu-late your payments. In theory,with a three-year mortgageterm, you could choose a 40-year amortization on your firstthree-year term, a 25-yearamortization on your second,and a 15-year amortization foryour third term. It is this flexi-bility that can make the newoptions particularly attractivefor some buyers – and inap-propriate for others.

Peter Vukanovich, presi-dent of Genworth FinancialCanada, the first mortgageinsurer to provide the 40-yearoption, says, “Toward the endof 2006, we started to see first-time homebuyers realizing thataccess to housing was becom-ing less affordable. The 40-year amortization option,when done responsibly, helpsprovide a solution to this prob-lem.”

The key to using the newproduct responsibly, he says, isto be sure it is affordable.“This reduces initial monthlypayments so that buyers havethe opportunity to get into thehome now. Later on, they cantake advantage of pre-paymentprivileges and/or moving toweekly or bi-weekly paymentcycles, to reduce the amortiza-tion period back to a morenormal period. This is not aproduct for people who havepoor credit, low incomes orare carrying a lot of debtalready.”

Other good candidates,says Mr. Vukanovich, includeyounger borrowers with lowerincomes but significant earningpotential ahead of them, peo-ple new to Canada or immi-grants who are in the processof establishing credit but havesubstantial wealth currentlybeing used for other purposes.“It also works well for peoplewho anticipate high short-termexpenses. You might purchasea fixer-upper and renovate it.While you’re renovating, youtake the lower payment; oncerenovations are complete, yourefinance the mortgage with ashorter amortization.”

Longeramortizationsmean lowerpayments –but are theyright for you?

Vacation properties, rentals

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*Offer valid only on new CIBC Better Than Posted Mortgage with a 5,7 or 10-year term,CIBC Variable Flex Mortgage and/or CIBC Home Power line of credit (HPLOC). Obtain 1or 2 product(s) and be eligible for Searsmerchandise valued at approx.$600/$1,200, respectively (the “Offer”). Mortgage must be $125,000 minimum (new funds only; excludes renewals) and must be advanced by Oct. 31/08. HPLOC must be activated byOct. 31/08 and must have average minimum principal balance of $30,000 over the 3-month period following month of activation. Existing HPLOC customers are excluded from Offer. Limit 1 Offer per property. Offerends June 30/08 and cannot be combined with any other offer. Other conditions and restrictions apply; for full Offer details, ask in branch or visit www.cibc.com/homepowerplan. All applicants and properties mustsatisfy CIBC lending criteria. Mortgages provided by CIBC Mortgages Inc. Image is for illustration purposes only. ®Registered trademark of CIBC. “CIBC For what matters.” is a TM of CIBC. TMTrademark of CIBC.

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A special information supplementTH E G LOB E AND MA I LWEDNE SDAY , A P R I L 3 0 , 2 0 0 8 M5

Mortgages – the right terms

M aking the right deci-sions will ensure yourfirst home adds to

both your quality of life andyour financial well-being.

Buying a first home is oneof life’s most important mile-stones, and doing it right canmean improved quality of lifeand the opportunity to createtax-free wealth. But to guardagainst the many pitfalls, it’sessential to seek professionaladvice.

“We’re still at historicallylow interest rates, and we’re ina declining rate environmentrate now,” says Joan Dal Bian-co, vice president Real EstateSecured Lending, TD CanadaTrust. “Compared to rent, it isquite feasible to get into thehousing market.”

To be sure you are com-fortable with affordability andrisk tolerance, she says that it

is best to talk to professionalswho can guide you throughthe qualifying requirementsand alert you to additionalcosts that may arise. “Buying afirst home is a big life event,and people don’t think of it asjust a transaction. It’s a veryemotional time, and they wantto be able to get the dealdone. It’s important for first-time homebuyers to knowwhat they’re willing to paybefore they get emotionallyattached to a home.

“You don’t want to overex-tend yourself to the degreeyou can’t afford to do any ofthe things you want to doonce you get in,” says Ms. DalBianco.

Most people are aware ofthe importance of having anexperienced realtor on theirside – particularly if they’reinexperienced buyers – but

mortgage brokers can alsoprovide an invaluable per-spective. “A broker will helpclients assess their needs andprovide pre-approval fromone of the many lenders in the

marketplace, so buyers areaware of their buying capaci-ty,” says Lisa Luinenburg,president of Mortgage CentreCanada.

This is also the time, she

says, to ask questions aboutthe many new mortgage prod-ucts in the market today,many of them specificallydesigned to help the first-timebuyer. “Parents and friendsmay not have had access tothe very latest products. Thechallenge for first timers is tobecome aware of all the choic-es, understand the benefits,and understand their personalneeds to make an informeddecision. Buying a home canbe scary, so they may alsoneed coaching and encourage-ment along the way.”

New products such asextended amortizations and100 per cent financing canhelp make a home moreaffordable initially, but need tobe handled with care. “Makinga loan last longer means yourtotal interest costs will be high-er, so this option has to be

considered carefully. Increas-ingly, you see more first timerstake 40-year amortizations, butset up their payments based ona 25-year amortization. Thisavoids higher interest costs,but provides the option ofreverting to the lower 40-yearpayment level if somethingunexpected happens,” saysMs. Luinenberg.

Budgeting for expensessuch as legal fees and transfertaxes is often overlooked byfirst-time buyers, she says, andmortgage products that pro-vide cash back can help coverthe amount paid out at thetime of purchase in cash. “Ifused responsibly, cash backscan also help cover renova-tions, redecorating and newfurniture – they’re just onemore strategy that can helpput home ownership withinreach.”

A first home can create tax-free wealth

Buying a home canmean improved quality of life and an opportu-nity to create tax-free wealth. To guard against pitfalls, however, itis essential to seek professional advice. PHOTO: ISTOCKPHOTO.COM

Sound guidance is key

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WEDNE SDAY , A P R I L 3 0 , 2 0 0 8M6

Mortgages – the right terms

S mall business owners,self-employed profes-sionals and new Canadi-

ans are important contributorsto our national economy – butuntil recently, it wasn’t alwayseasy for them to qualify for

mortgages. Fortunately, that’sno longer the case.

“There are more optionsthan there were five yearsago,” says Andrew Moor,president and CEO of Equi-table Trust. “We’ve seen

changing patterns of employ-ment and the market hasevolved to meet that shift. Ifyou look back eight or 10years ago, most people had ajob and a regular paycheque.We’ve seen a dramatic move

to outside employment. Mort-gage lenders generally arenow much happier looking atthese kinds of situations.”

New Canadians comprisea substantial component ofthis market, says Mr. Moor,

because they don’t have estab-lished credit records in Cana-da, as do the self-employed.“They may be landscapers orcontractors or commissionedsales people – unless they’vebeen very well established for

a long time, they probablydon’t have the documentationthe bank would like to see.”

While that has traditional-ly been a deterrent to homeownership, lenders are takinga new look. “When you thinkabout it, from a lender’s man-agement perspective,” saysMr. Moor, “someone who isself-reliant, through self-employment, may be a betterrisk than somebody who has ajob. If they lose that job, itmay be difficult for them tosecure another, due to chang-ing technology or whatever –but a self-employed personhas demonstrated the abilityto secure new contracts orsources of income.”

Lenders are taking a differ-ent approach to measuringself-employment income, saysCara Savege, a senior mort-gage broker with Invis. “Typi-cally, self-employed individu-als draw the lowest amount ofincome possible from theircompanies to avoid tax, butthe lenders would consideronly what was claimed per-sonally.”

New programs called ‘self-employed, stated income’allow borrowers to state theirincome, she says. “If it is rea-sonable based on your profes-sion, you won’t be asked toprove that income in mostcases. Lenders do have othercriteria: a down payment has

to come from your ownresources because, if you areable to save money, it is anindication there is sufficientincome. You have to have afairly high credit score, whichis another indicator of cashflow – and you can’t owe anyincome tax.”

With ‘stated income’ mort-gages, says Ms. Savege, it’seven more important toensure your payments areaffordable. “You need to becomfortable with the payment.If your income fluctuates, gearyour payments toward theskinny years. Pinpoint yourpayment close to what you’renow paying for shelter – youdon’t want to have to dramati-cally change your lifestyle. I’malways concerned when some-one says they’re paying $2,000in rent but they feel they canpay $4,000 on their mort-gage.”

To keep fixed paymentslow while minimizing interestover the life of the mortgage,Ms. Savege recommendschoosing a 40-year amortiza-tion and a mortgage with flex-ible repayment options. “Mostpeople have an extra $100, anextra $1,000 – it’s important tobe able to apply that to yourmortgage right away. Yourbroker can help you find amortgage that allows you toprepay your mortgage whenyou have the money, to themaximum of the 15 per centto 25 per cent that is allowed.”

People who have had poorexperiences applying for mort-gages in the past should talk toa mortgage broker who hasexperience in unconventionalmortgage lending, she says.“The market has becomemuch more favourable to theself-employed sector.”

New mortgage options open doorsProducts tailored to entrepreneurs, new Canadians

Peoplewhomayhave hadpoorexperiences applying for mort-gages in the past are advised totalk to a mortgage broker whohas experience in unconven-tional mortgage lending. Newproducts have opened thedoors to a broader array ofqualified borrowers.PHOTO: ISTOCKPHOTO.COM

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Limited time offer1

Visit a branch, call 1-866-819-3257or go to tdcanadatrust.com/mortgage

*Recognized for Excellence in Overall Quality of Customer Service among The Big 5 Banks according to the Synovate Customer Service Index, September 2005/2006 and August 2007. 1. The mortgage must be applied for by June 30 and funded by August 29, 2008.Mortgage renewals must be signed and submitted to TD Canada Trust by June 30, 2008. TD Canada Trust reserves the right to cancel, extend or withdraw this offer at any time without notice. 2. Some conditions apply. Applies to residential properties only. Cash back amountis up to a maximum of $50,000. This offer cannot be combined with any other offer or rate discount. A pro-rated amount of the cash back must be repaid to the Bank in the event that the mortgage is discharged prior to maturity. This offer is not available on the100% Homebuyer Mortgage.