Exclusively for members of
The Education Community
and their families
First time
homebuyers
mortgage guide
Welcome!
Bruce Sellery
Founder of Moolala, a personal finance training
company focused on inspiring people to actively
manage their money. Bruce spent the last decade as
an anchor at CTV’s Business News Network, in
Toronto and New York.
Pat Bellissimo
Pat has a passion for sharing her knowledge of
successful financial strategies. An expert on
mortgages, Pat has successfully helped hundreds of
clients with mortgage solutions tailored to their
financial needs.
Educators Financial Group
• Established in 1975
• Started with mortgages
• Today
– Planning – Investing - Lending
– Assets under management: over $500 million
– 16,000+ clients (Ontario and British Columbia)
• Experienced and qualified experts
Unique, exclusive advantages for educators
We know members of the education community best!
About this webinar
Will I be able to get a copy of the slides after the
event?
Yes
Is this webinar being taped so I and other can view
it after the event?
Yes
What we’ll cover today
•
How much can I afford?
•
What type of mortgage is right for me?
•
Frequently asked questions
•
Tips on how to be mortgage free faster
•
How do we actually do it?
What is fantasy… and what is reality?
How much of a down payment do I have?
Down payment sources
Amount
Savings
$
RRSPs
$
Family gifts
$
Inheritance
$
Gratuity
$
Other
$
TOTAL
$
Is it enough?
An example
$200,000 home
- High ratio mortgage tax premium
(premium added to mtg.)
-Ontario Land transfer taxes
$10,000.00
$418.00
$1,725.00
-www.realestatelawyertoronto.com
- Legal fees
- Appraisal fees
-Other
Sub-total
Total
$1,200.00
$ 300.00
$ 0.00
$3,643.00
$13,643.00
Take control of your budget
Cash Flow Statement
MONTHLY INCOME: (after tax)
Example
You
$3,000 $
MONTHLY EXPENSES:
Mortgage
$700 $
Food
$500 $
Utilities (Cable / Internet / Gas)
$165 $
Insurance
$150 $
Other debt (Credit card / Car / Student loans)
$200 $
Entertainment
$250 $
Miscellaneous (Child support etc.)
$300 $
TOTAL
Income - Expenses
$2,265 $
$735 $
Have options: know where your money goes.
What can I afford… upfront?
My true down High Ratio
payment
(5%)
$10,000
Your monthly mortgage
payment on 195,225.00
($190,000. plus
5,225.00premium)
would be*:
$200,000
$1025.86
* Based on a 25 year amortization period and a 5-year closed term at a X% mortgage rate
Any questions?
What type of
mortgage is
right for me?
There are many things to consider
Feature
Options
Rate
Fixed – Adjustable - 50/50
Be sure to shop around for the best rate
 One of Canada’s lower cost
mortgage provider
Unique and exclusive
to the education community
Summer
Freedom
†Based on our comparison of posted rates for 5-year fixed mortgages. Not all
offerings have the same features. For illustration purposes and based on
where there has been a rate change
Call for a quote: 1-800-263-9541 - 416-752-6843
There are many things to consider
Feature
Options
Rate
Fixed – Adjustable - 50/50
Amortization
Up to 35 years: high ratio
Up to 40 years: conventional
Terms
Wide range
Payment
frequency
Semi-monthly (6)
Monthly (12)
Accelerated bi-weekly (26)
Accelerated weekly (52)
Prepayment
10%
20%
Any questions?
Frequently
Asked Questions
Why buy mortgage insurance?
Right
mortgage
+
Right
protection
=
Peace
of mind
• Protect what you already have
• Applying is easy
• Coverage is quick
www.teacherslife.com
1-866-620-LIFE (5433)
Simplify your work by partnering with
the right professionals
1. Right real estate agent
2. Home inspector
3. Lawyer / solicitor
4. Lender (and property
appraiser)
Make sure they…
Share your values
 Want to know your
priorities
Have experience
Specialize in real estate
But will I get the money?
“My friend had a 20% down payment. How could his
mortgage application have been declined by his bank?”
• Past credit history
– Beacon Score of 625+
• Current cash flow
– GDSR / TDSR
More costs to consider
• Movers
• Cosmetic (e.g. painting)
• Appliances
• Furniture
• Alarm system
We’re here to help
Leverage the expertise of our mortgage specialist to help
you identify
•What you can afford
•What type of mortgage is right for you
•How you can be mortgage free faster
Why is Educators Financial Group different?
•Exclusive to the education community
•We know educators best!
•Unique products and services tailored to educators
Any questions?
Five ways I can be mortgage free faster
1. Get the lowest rate you can
2. Pay weekly (or bi-weekly) instead of monthly
3. Increase your monthly mortgage payment
4. Make a yearly lump sum payment
5. Pay weekly, increase your payment, and make a
lump sum payment
Small changes make a big difference in the long run.
Accelerate and make lump sum payments
Strategy
Monthly
Lump sum
voluntary payment
increase
Total
mortgage
payment
Interest saved
(over the life of the
mortgage)
Slow and
Steady
-
-
$1220.79
None
Speeding Up
-
-
$305.20
$30,176.61
+$180
-
$1400.79
$43,612.57
-
+$5,000
$1220.79
$77,073.31
Accelerated
per month
Turbo
Charged
per year
per month
weekly
per month
per month
+ $5,000
per year
Based on a $200,000 mortgage (5-year fixed term / 25-year amortization period) and a 5.5% rate.
How do I actually do it?
• Book a mortgage call
416-752-6843
1-800-263-9541
• Sign up for the A-list
www.educatorsfinancialgroup.ca
Thank you!
Bruce Sellery
Pat Bellissimo
The information provided is general in nature and is provided with the understanding that it may not be relied upon as, nor considered to be, the
rendering of tax, legal, accounting or professional advice. Attendees and readers should consult a financial planner and their own accountant and/or
legal advisor for specific advice related to their circumstances. Educators Financial Group will not be held responsible or liable for any losses, costs,
damages or expenses incurred by reason of reliance as a result of the aforementioned information. The information presented was obtained from
sources that are believed to be reliable. However, Educators Financial Group can not guarantee their completeness or accuracy. Commissions,
trailing commissions, management fees and expenses may all be associated with mutual funds. Please read the simplified prospectus before
investing. Mutual funds are not guaranteed, their value changes frequently and past performance may not be repeated.