How to get your finances in order before buying a home

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How to get your finances in order before buying a home
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Take these steps to ensure you\u0027re truly ready to pay for a mortgage

Unless you have a ton of cash on hand, you’ll need a mortgage to buy a home.

In the case of freelancers, small-business owners or self-employed individuals, lenders want to see consistent income. They would qualify you based on the income listed on your CRA notice of assessments from the last two to three years.Article contentYour credit score is listed as a number between 300 and 900. The higher your number, the more creditworthy you are. This number matters a lot to lenders since it’s a quick way to determine how likely you are to repay loans.

The Tax-Free First Home Savings Account is being introduced in 2023 and is arguably the biggest help. Those looking to buy a home can contribute $8,000 a year to their FHSA, up to a total of $40,000. Contributions provide a tax deduction and any interest or capital gains earned are tax-free.

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