Overcoming the Challenges to Buy a Home in Winnipeg


15th Feb 2017

It’s a challenging time to buy a home in Winnipeg especially if you’re a first-time home buyer.

The federal government implemented a more stringent mortgage stress test for new mortgages in October of 2016. The new rule change requires all new mortgage applicants to pass a mortgage rate stress test for insured mortgages regardless of the amount of a down payment. The test determines whether a buyer can afford to make payments if mortgage rates rise. First-time home buyers may have a challenge to face as buying power has been reduced by nearly 20%.

There’s no reason to panic, however.  Buyers can still find the right home at the best mortgage loan rate.  It will require some hard work, patience, and proper guidance but you can navigate the murky waters of home buying successfully this year.

Get the Right Team of Professionals to Help You

Even if this isn’t the first home you’ve bought you want to have an experienced team of professionals around you.  Vertuity Mortgage has a preferred vendor program to help you gather your team of experts. We have strong ties in the real estate community and can help with all aspects of your home.  Vertuity Mortgage has relationships with top realtors, lawyers, insurance agents, movers, contractors, cable companies, furniture stores and more.  Lean on your team to make the right decisions.

Decide How You Want to Live, Not Where You’ll Live

Location is a very important factor in deciding on your new home. Where do you buy a home in Winnipeg? Which side of town you should live on? What neighborhood? Winnipeg has dozens of neighborhoods to choose from. With the market as competitive as it is and with the new buying restrictions it will be helpful to first determine how you want to live.  Is the view really that important?  Does a large yard really matter?  Do you need the third garage?  A lot of factors go into the price of the house you want to buy.  Make logical decisions about what’s important in how you want to live.  Avoid make impulse buyer decisions in today’s market.

Work Your Budget

If you’re going to buy a home in Winnipeg, you need to know what you can afford.  You’ve probably been saving money for a while.  A budget comes in handy after you’ve saved for your down payment.  Any house you are considering will change your budget.  To buy a home in Winnipeg you need to adjust your budget and make sound decisions about the budget changes.  Is it the right home for you considering your budget?

Work Closely with Your Mortgage Broker

Vertuity Mortgage understands the government’s changes to the mortgage market and knows how to work with them.  It’s not just a matter of finding you the best interest rate, it’s also a matter of buying power.  How much home can you afford given the government’s new requirements for stress testing? You need to work closely with your mortgage specialist to really understand how much home you can purchase and what your budget will look like.  Vertuity Mortgage has a wide range of mortgages to meet your needs. It has access to over 40 different lenders and typically works with 5-10 lenders to meet a client’s needs. It’s a matter of who has the best products in the industry to help the client the most.

Don’t Be Desperate

In competitive markets, it can be hard to be patient.  You visit house after house and put in offers only to get outbid.  If you’re going to buy a home in Winnipeg, you need to avoid desperation. Work with your mortgage broker and realtor to develop your long-term plan.  Don’t put a short timeline on the purchase.  Give yourself enough time to make the right decisions in a tough market.  If you set your timeline too short, you’ll tend to make rash decisions.  Work the market within the plan you set with your mortgage broker and realtor.  Keep the emotions in check as you go through the process.  You want to buy a home in Winnipeg but you want to buy the right home.

Contact Vertuity Mortgage for a personal consultation and learn how to get the best mortgage loan rates in Winnipeg.

Call Vertuity Mortgage today at (204) 888-4663