First time homebuyers

mortgage guide

Exclusively for members of

The Education Community and their families

Welcome!

Bruce SelleryFounder 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 BellissimoPat 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

We know members of the education community best!

Unique, exclusive advantages for educators

About this webinar

Will I be able to get a copy of the slides after the event?

Is this webinar being taped so I and other can view it after the event?

Yes

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 $10,000.00

- High ratio mortgage tax premium (premium added to mtg.)

$418.00

-Ontario Land transfer taxes

-www.realestatelawyertoronto.com

$1,725.00

- Legal fees $1,200.00- Appraisal fees $ 300.00-Other $ 0.00

Sub-total $3,643.00

Total $13,643.00

Take control of your budget

Have options: know where your money goes.

Cash Flow Statement Example You

MONTHLY INCOME: (after tax) $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 $2,265 $

Income - Expenses $735 $

What can I afford… upfront?

My true down payment

High Ratio (5%)

$10,000 $200,000

Your monthly mortgage payment on 195,225.00 ($190,000. plus 5,225.00premium) would be*:* Based on a 25 year amortization period and a 5-year closed term at a X% mortgage rate

$1025.86

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

†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

SummerFreedom

Unique and exclusive to the education community

One of Canada’s lower cost mortgage provider

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?

• Protect what you already have

• Applying is easy

• Coverage is quick

Right mortgage

Right protection+ = Peace

of mind

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?

• Past credit history

– Beacon Score of 625+

• Current cash flow

– GDSR / TDSR

“My friend had a 20% down payment. How could his mortgage application have been declined by his bank?”

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

Based on a $200,000 mortgage (5-year fixed term / 25-year amortization period) and a 5.5% rate.

Strategy Monthly voluntary increase

Lump sum payment

Total mortgage payment

Interest saved (over the life of the mortgage)

Slow and Steady

- - $1220.79 per month

None

Speeding Up - - $305.20 weekly

$30,176.61

Accelerated +$180 per month

- $1400.79 per month

$43,612.57

Turbo Charged

- +$5,000 per year

$1220.79 per month

+ $5,000 per year

$77,073.31

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.