As the cold Canadian weather sets in, the mind starts to drift to lazy weekends beside the fireplace in your favourite wool socks, taking in the view of the frozen lake while you sip on your favourite warm beverage. Or perhaps your happy day dreams have you fast-forwarding straight to warm summer evenings watching the sun set over your favourite piece of oceanside paradise. Wherever your dreams take you, just as they become really great, you’re jilted back to reality by that cranky voice saying: You’ll never be able to afford that! Ugh…reality really stinks sometimes.
Well, that’s why we’re here. To remind you that you should fully assess your options before you put your dreams on hold. If your vision is to own a vacation home or second property, don’t automatically assume you can’t do it until you talk to us. Here’s why:
- We have access to multiple lenders that will lend in rural areas/ “cottage country” – talk to us about your desired location because it will impact your financing options. Our lenders can be much more flexible than the chartered banks.
- The traditional lending mindset around vacation homes is changing: more and more lenders recognize that vacation homes provide a much-needed refuge from the daily commute and every-day grind which has led to some innovative second-property lending programs that you may be a great candidate for – we’ll review the policies that apply to you
- If you plan on renting your cottage or vacation property during all or part of the season, you’ve now turned your vacation property into an income-generating asset; this changes the approach to getting financing – talk to us about your plans, because this can positively or negatively impact your options with some lenders. We’ll save you from the pitfalls…because with lenders, you only get one chance to tell your story.
- You may be able to leverage equity from your current home(s) to put toward a vacation property purchase – we’ll review your current mortgage statement to advise you on options, penalties, and the best approach to leveraging your current asset base.
Here are a few questions to keep in mind if your day-dreaming starts to become a little more specific…Our team can explain how each of these factors plays into financing:
- How many feet of waterfront is available?
- Does the property include a dock or wharf?
- What’s the heating source?
- Is there electricity?
- What’s the water source?
- Is the property a freehold or on leased or Crown lands?
So stop day dreaming, and start planning…we’ll help you get there.
You dream it. We finance it.
The Blake Wilson Group