Tag Archive for: Down Payment

90 Days History

When applying for a mortgage it is necessary to provide 90 days history of your down payment. This is to prove that you did not borrow it or it was not obtained through illicit activity. Often clients have more than one bank account as a source for their down payment. This will require that we provide the lender with 90 days history for each account that is associated with the down payment. Also any large deposits much be throughly explained. We will need to show the sources of the large deposits and 90 day history of said deposits if required by the lender.

Once all funds can be accounted for, then and only then will the lender sign off on your down payment. Anti-money laundering rules are in place for a reason and deposits over 10K will be heavily scrutinized. … Read more

Creating your own down payment

Normally down payments can not be borrowed. However there are a few ways around this legally and ethically. So let’s first state that the down payment must be in your possession for 90 days and you must be able to provide bank statements to support that.

  1. You can borrow it from an existing line of credit. This should not be from the same source that is providing your mortgage, and you must be able to debt service for the payment.
  2. It can be gifted from a blood relative. A gift letter is required and you will then need to provide a statement showing that you are in possession of the funds.
  3. You can borrow it from your RRSP’s under the Home Buyer’s Plan. For a single applicant this amount is up to 35K and for a couple it is
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How bad do you want it?

With that you should also be saying, “what are you willing to do that nobody else is willing to do” to achieve your goal? If your goal is to be fitter. Are you watching what you eat? Are you doing your workouts? Are you getting enough sleep? Are you consistent with what needs to be done?

If your goal is to some day soon move out of your parents place and buy a place of your own. Are you putting money away from every paycheque towards your down payment? Are you monitoring your credit report? Are you looking at all your expenses for ways to save some money towards your down payment? Are you paying down your debts? Are you taking extra shifts, working overtime or starting a gig on the side to make some more cash?

Where there is … Read more