Personal Finance

New mortgage question

  • Last Updated:
  • Feb 23rd, 2010 7:58 am
Deal Expert
User avatar
Aug 22, 2003
15541 posts
Niagara Falls
I think you are missing the selling fees and closing costs when saying you'll make $10k when selling the condo. Not sure what real estate fees are in Montreal but in most places in Ont you'd be looking at 4-6% of the selling price going to the real estate agent. Then factor in the lawyers fees and you're not making anything. Doesn't Quebec have a transfer tax as well? You may actually end up not having the $145k oweing to your parents! Just because you sell for $145k doesn't mean that's what you walk away with. I'm kind of wondering why you've only paid off $5k of this mortgage in a year as well..

I seriously think you need to re-think. If you and your spouse can't qualify with a bank you need to take that as a sign that it's not a good idea at this time. Aggresively pay off the mortgage that the parents hold to build some equity and then think about it in black and whilte financial terms. "Just because I want a house" isn't a good reason BTW....
Thinking seriously about the 4 S's...Sun, Sand, Surf and ... Booked for Sept in Mexico and booked Samana DR for Jan!
Jr. Member
Jan 30, 2010
105 posts
Calgary, AB
My previous post about your parents on the mortgage was with my assumption that they were living in the house too.

If not, you should try to qualify the mortgage app with just who is living there.
Deal Addict
Feb 4, 2008
3132 posts
Talk to a broker and tell them you do not want to incur the CMHC premium. They will be able to structure it so that you do not incur the extra expense.

Do your mortgage math correctly!