When you’re searching for a mortgage of any type you are more than likely well aware that you are going to have to meet specific requirements and do certain things in order to get everything together that you will need to apply for one. The main problem with mortgages is not only are they confusing to get through by yourself but it is also difficult to figure out what you need to get one.
When you’re looking into Reverse Mortgage Requirements in Canada then you know that you have to be over a certain age, currently on the title of the house, and that the property has to be in Canada. All in all, Reverse Mortgage Requirements in Canada aren’t actually all that complicated to the reverse mortgage requirements in some other countries.
The main Mortgage Requirements in Canada involve being over the age of 60, owning property in Canada, and being on that property’s title. There are also many restrictions that you need to keep in mind when you’re looking into the reverse mortgage requirements. The property has to be the main residence of the person who is looking to get a reverse mortgage. Additionally, the debt of the person who is attempting to get a mortgage can not be over 40% of the property’s total value. Generally, 40% is the maximum mortgage that can be lent though this obviously also depends on other factors like your age, the location of the property, and what the value of the property is. Additionally, the minimum amount that the original mortgage can be has to be no less than $20,000.00. Finally, at least one of the people who own the property must occupy it in order to be able to qualify.
While it is obvious that there are going to be many more rules that you have to sort through in order to fully understand it in Canada as they relate to you, at least now you have a better understanding of whether or not you should even go through the trouble of looking into it in the first place. Generally your bank will be able to tell you more and there are several other resources available to you should you wish to further research them on your own.