Capital outlines what you are worth. A simple formula of
Assets-Liabilities= Net Worth. Lenders want to know how much of your own money you have or are going to invest into your new property! Did you know the minimum down payment for a property to avoid CMHC insurance is 20%? But don’t worry if you don’t have that much capital, we still have a solution for you.
And finally the one you’ve all been waiting for. Credit gives the lender a preview of what your repayment history has been over a period of time with your other credit facilities (credit cards, phone bills, utilities, etc.)