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How to make a down payment on your home purchase mortgage loan

This article will let you know the different ways you can make a down payment on your home purchase mortgage loan.

Use cash to make a down payment on your home purchase mortgage loan

The most obvious way to make a down payment on your home purchase mortgage loan is to use C-A-S-H. Yup, cash.

If you have cash in a savings account to use for a down payment, it's probably the best way to go. That way you're not having to liquidate your other assets to use as a down payment on your home purchase mortgage loan.

Or, if you have generous parents, or kids, or any other direct relatives that don't mind contributing to your down payment on your home purchase mortgage loan - you can have them write you what's called a "gift letter" - where they officially state that they are providing you with the money to make your purchase mortgage loan down payment. This is an option sometimes humans like you overlook. There seems to be a misconception that a person's down payment-amount has to come directly from their own pocket - and it just ain't true.

Use an RRSP to make a down payment on your home purchase mortgage loan

Using an RRSP to make your down payment on you your purchase mortgage loan is another option.

Sometimes you donÍt want to take your hard-earned cash out of your bank account(s) to use as a home purchase mortgage loan down payment. That can be a little sad. So you can choose to use an RRSP to make your purchase-loan down payment with. That can hurt a little less.

Another option is to make some of your down payment on your home purchase mortgage-loan in cash, and some of your down payment with an RRSP - mix and match till your heart's content!

BTW: when you use an RRSP to make a purchase mortgage-loan down payment, you'll have to give your mortgage broker 'proof' of your RRSP, which is a copy of a recent RRSP document/certificate.

As well, you won't have to 'liquidate' your RRSP before you use it as a down payment on your home purchase mortgage loan. You just have to let your mortgage broker know that you're using an RRSP as a source of down payment, and then at the closing of your purchase-loan, your lawyer and mortgage-lender will take care of all of that then.

Use a GIC to make a down payment on your home purchase mortgage loan

You can also use a GIC as a down payment. Using a GIC as a down payment on your home purchase mortgage loan is an excellent option - especially if you don't want to use any cash.

But if you want to use some cash as part of your purchase mortgage-loan down payment, and a GIC combined, be my guest!

Just so you know: when you choose to use a GIC to make a home purchase-loan down payment, you'll have to give your mortgage broker 'proof' of your GIC - which is a copy of one of your most recent "GIC certificates.'

As well, you won't have to 'liquidate' your GIC or anything before you use it as a down payment on your home purchase mortgage loan. Simply et your mortgage broker know that you're using a GIC as a source of down payment, and then at the time your purchase-loan closes, your lawyer and mortgage-lender will take care of liquidating the GIC then.

Use Mutual Funds or Stocks/Bonds as a down payment on your home purchase mortgage loan

You can also choose to use any Mutual Funds or any Stocks/Bonds as a down payment on your purchase mortgage loan for your home real estate. Nifty, huh?

It's kind of neat to use a Mutual Fund or a Stock/Bond as a down payment - you're taking "investments" that you have and using them to make a down payment on another "investment" (your home that you're purchasing). Welcome to the finance-world!

You can also you some cash for part of your home purchase mortgage loan down payment, and use Mutual Funds and/or Stocks/Bonds as another part of your down payment. Piece your mortgage-loan down payment together any way you want.

By the way: when you use a Mutual Find to make a home purchase-loan down payment - you'll have to prove to your mortgage broker that you have a Mutual Fund, simply by showing them a recent copy of one of your "Mutual Fund statements."

And when you use Stocks/Bonds for a down payment on a purchase mortgage loan, you'd prove that you actually have those Stock/s bonds by showing your mortgage broker a copy of them.

Apply for a home purchase loan now! Fill out the home mortgage application.

Find out more about down payments on home purchase loans, by contacting The Mortgage Store Online's brokers by using the home purchase contact form or by calling them at 1-866-880-2577.

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