What I Wish I Knew Before Getting a Mortgage (and What No One Talks About)
The Truth About Mortgages: Why Structure Matters More Than Rate
When I became a mortgage broker, I expected to spend most of my time talking about interest rates — fixed versus variable, bank specials, posted rates versus discounted. But here’s the biggest surprise I’ve uncovered since starting this journey:
Not all mortgages are created equal — and the difference has nothing to do with rates.
It has everything to do with structure.
Most Canadians believe that a mortgage is a one-way street: make your monthly payments, keep chipping away, and hope to be mortgage-free by retirement. But what if I told you there's a strategy that can help you become mortgage-free decades earlier — while also building a portfolio of income-generating investments for your future?
Let me walk you through what I wish I’d known sooner.
The Wealth-Building Secret Hiding in Plain Sight
When I was trying to balance buying a home with saving for retirement, I often felt stuck. Should I pay off the house faster? Or invest more for the future? The idea that you could do both felt out of reach.
That changed when I came across a strategy that’s been quietly used by financially savvy Canadians since the 1980s. It’s CRA-approved, completely above board, and designed to accelerate your mortgage paydown and grow your investment portfolio at the same time.
Here's how it works in a nutshell:
If you have more than 20% down, you may qualify for a readvanceable mortgage, which allows you to access the equity in your home as you pay down your principal.
You can then reinvest that equity into income-generating assets (like dividend-paying stocks, REITs, or rental real estate).
Because the funds are being used to generate income, the interest becomes tax deductible.
You can then apply your tax refunds back to the non-deductible mortgage, speeding up your repayment.
Rinse and repeat. The benefits compound over time.
What you’re doing here is converting bad debt (your non-deductible mortgage) into good debt (tax-deductible investment debt) — without spending more each month. You're just structuring it differently.
Why Most People Miss This
This isn't something the big banks explain in a 15-minute meeting. It's not a product — it's a strategy. And that’s the catch: financial institutions often focus on selling mortgages, not teaching people how to use them as a tool for wealth.
But when you understand debt differently — when you see that your mortgage doesn’t have to be a financial anchor — you realize you’re sitting on a powerful asset that can help you retire sooner and stronger.
Let’s Talk Numbers
On average, a homeowner using this strategy can pay off their mortgage 10 years earlier and accumulate significantly more in investable assets over time. That’s a game-changer for retirement planning, for helping your kids, and for building generational wealth.
You Don’t Have to Figure This Out Alone
If you’re ready to stop playing defence with your mortgage and start using it as an offensive wealth-building tool, I’d love to walk you through the options.
There’s no pressure, no jargon, just real strategies to help you build the future you deserve.
📩 Book a call with me
💡 Ask me about tax-deductible mortgage strategies
🏠 Let’s make your home work harder for you
Your Guide to Buying Your First Home
It all begins with an idea.
Being a first-time homebuyer is an exciting milestone! The dream of owning your own home brings visions of creating a cozy space for your family and building lifelong memories with friends. But let’s be real—it can also feel overwhelming. There are so many questions to answer before taking the plunge:
What will it really cost to own a home?
How do I qualify as a first-time buyer?
How much do I need for a down payment?
Should I buy a condo, a townhouse, or a detached house?
Take a deep breath! We’re here to help you navigate this journey, one step at a time.
Pros and Cons of Buying Your First Home
Before jumping into the process, it’s important to weigh the pros and cons of homeownership. After all, buying a home will likely be one of the biggest financial decisions you’ll ever make.
Pros of Buying a Home
Freedom to Make It Your Own: Want to paint the walls neon green or turn the spare room into a home gym? It’s your call! Owning your own home gives you complete creative freedom.
Building Equity: Each mortgage payment brings you closer to owning your home outright. Plus, that equity can be used for future investments or opportunities.
Income Potential: Your home can also become a source of income. Whether it’s renting out a basement suite or sharing space with a roommate, you can offset some of your costs.
Fixer-Upper Opportunities: If you’re handy, consider a “purchase plus improvement” mortgage to transform a fixer-upper into your dream home.
Cons of Buying a Home
Down Payment Challenges: Saving for a down payment can be tough, especially with Canada’s housing prices.
Unexpected Costs: Maintenance and repairs are part of homeownership. Some expenses are predictable, but surprises like a broken furnace can be costly.
Market Risks: Real estate values can fluctuate. If you need to sell during a downturn, you might not get back what you put in.
How to Make Your First Home Purchase Happen
Now that you’ve considered the pros and cons, let’s talk about how to make homeownership a reality!
Saving for Your Down Payment
In Canada, down payments start at 5%, but many lenders prefer 10-20%. The bigger your down payment, the lower your monthly mortgage payments. Tools like online mortgage calculators can help you plan.
Getting Pre-Approved
Knowing how much you can afford is key. The general rule is that housing costs shouldn’t exceed 32% of your gross monthly income. A mortgage pre-approval gives you a clear idea of your price range, so you can start house-hunting with confidence.
Government Incentives for First-Time Buyers
The Canadian government offers several programs to help first-time buyers:
Home Buyers' Plan: Withdraw from your RRSP to use toward your down payment.
First-Time Home Buyers’ Tax Credit: A $5,000 non-refundable tax credit for eligible purchases.
First-Time Home Buyers’ Incentive: Reduce your mortgage payments with a shared equity program through the government.
Choosing the Right Home
Once you’ve saved your down payment, secured pre-approval, and explored incentives, the fun begins—house hunting! Start by browsing listings on Realtor.ca or connect with a real estate agent to tour homes in person.
Condo, Townhouse, or Detached Home?
This decision often comes down to personal preference and budget. Condos may have lower upfront costs but come with maintenance fees. Townhouses and detached homes offer more space but often come with higher price tags.
Take Your Time
Even in a fast-paced market, don’t rush. Know your needs, stick to your budget, and wait for the right home to come along. Once you’ve found it, you can start planning your move. Moving concierge services and online resources can make this step a breeze.
As a first-time buyer, you don’t have to navigate this process alone. Mortgage brokers like us are here to guide you every step of the way—whether you’re comparing mortgage types or simply need answers to your questions.
Let’s make your homeownership dream a reality!