Question 1

What is the minimum down payment in Alberta?

Accepted Answer

In Canada, the minimum down payment depends on the purchase price. For homes up to $500,000, you need at least 5% down. For homes between $500,000 and $999,999, you need 5% on the first $500,000 and 10% on the remaining amount. For homes $1 million or more, the minimum is 20%. Keep in mind that down payments under 20% require mortgage default insurance (CMHC, Sagen, or Canada Guaranty).

Question 2

Can I get a mortgage if I am self-employed?

Accepted Answer

Absolutely! Self-employed individuals can qualify for mortgages, though the process may differ slightly from traditional employment. We work with lenders who specialize in self-employed mortgages and offer programs that consider your business income, bank statements, and overall financial picture. Alternative documentation options are available when traditional income verification doesn't reflect your true earning potential.

Question 3

What is a private mortgage?

Accepted Answer

A private mortgage is a loan from private investors or companies rather than traditional banks or credit unions. Private mortgages are often used when borrowers don't qualify for conventional financing due to credit issues, income verification challenges, or property type restrictions. While interest rates are typically higher, private mortgages provide flexible solutions and can serve as a bridge to traditional financing.

Question 4

How does bridge financing work?

Accepted Answer

Bridge financing is a short-term loan that covers the gap between purchasing a new home and selling your current one. If you buy a new home before your existing home sells, a bridge loan provides the funds needed for the down payment and closing costs. The loan is repaid when your current home sells. Bridge financing typically covers periods of a few days to several months.

Question 5

What is a construction loan?

Accepted Answer

A construction loan is a short-term financing option used to fund the building of a new home or major renovation. Unlike traditional mortgages, construction loans are disbursed in stages (draws) as construction progresses. Once construction is complete, the loan typically converts to a standard mortgage or is paid off through separate permanent financing.

Question 6

Can I get a mortgage with bad credit?

Accepted Answer

Yes, mortgage options exist for borrowers with credit challenges. While prime lenders may decline applications with lower credit scores, alternative lenders and private mortgage options can help. We specialize in finding solutions for every credit situation, often using these mortgages as a stepping stone to rebuild credit and qualify for better rates in the future.

Question 7

What is the difference between refinancing and renewing?

Accepted Answer

Renewing a mortgage means signing a new term agreement with your current lender when your existing term ends, often at current market rates. Refinancing involves replacing your existing mortgage with a new one — potentially with a different lender — and may involve changing your loan amount, accessing equity, or consolidating debt. Refinancing offers more flexibility but may involve penalties if done mid-term.

Question 8

How long does mortgage approval take?

Accepted Answer

The mortgage approval timeline varies depending on the complexity of your application. Pre-approvals can often be completed within 24-48 hours. Full mortgage approvals typically take 3-7 business days for straightforward applications. More complex situations involving self-employment, private mortgages, or unique properties may take longer. We work efficiently to expedite the process while ensuring the best outcome.

Question 9

What areas does Axia Mortgage serve?

Accepted Answer

We proudly serve all of Alberta, with particular expertise in Calgary, Edmonton, Red Deer, Lethbridge, and surrounding communities. Whether you're in a major city or a smaller Alberta community, we provide the same level of dedicated service and access to competitive mortgage solutions.

Question 10

How do I get started with Axia Mortgage?

Accepted Answer

Getting started is easy! You can fill out our online application form, call us directly at 587-209-3939, or email ahmed@axiamortgage.ca. We'll schedule a consultation to discuss your goals, review your situation, and outline your mortgage options. There's no obligation, and we're here to answer all your questions.

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