Unlocking Homeownership Potential with Secondary Suites
Unlocking Homeownership Potential with Secondary Suites
Are you in the market for a new home in Calgary, but find the mortgage approval process daunting? With the rising costs of housing, many prospective buyers are facing challenges when it comes to qualifying for a mortgage that aligns with their homeownership aspirations. However, there is an intriguing opportunity that could ease the path to homeownership while also enhancing one’s investment – secondary suites.
What is a secondary suite?
According to the City of Calgary’s website, a secondary suite is a ‘self-contained residence with two or more rooms and includes a kitchen, living, sleeping and sanitary facilities’. In Calgary, this is most often seen as a ‘basement suite’ where the homeowners live on the top floors and the basement is then rented out to another tenant.
How does a secondary suite impact mortgage qualification?
One of the key benefits to owning a home with a secondary suite is that it increases the income potential of your property. By renting out the secondary suite, homeowners can generate additional rental income, which can be used to supplement mortgage payments or cover other expenses associated with homeownership. This extra income can make a significant difference in your ability to qualify for a higher mortgage, as lenders take rental income into account when assessing your borrowing capacity. Take a look at the below numbers as an example.
As seen above, secondary suites can enhance the affordability of homeownership by reducing the overall cost burden. This opens up a wider range of housing options and increases the likelihood of securing a mortgage that meets your needs and preferences.
Lender requirements & contacts
It is important to note that each lender will have their own set of requirements when considering this such as a minimum down payment amount, or confirmation of owner occupation and more. Be sure to contact your mortgage broker or lender for qualifying details. At Cedarglen Homes, we are proud to work RBC and recommend the following contacts:
Chantelle Howell – Regional Manager, Mortgage Specialists
Chantelle.howell@rbc.com
403-604-2560
Crystal Webster – Mortgage Specialist
Crystal.webster@rbc.com
587-226-4543
Taylor Hood – Mortgage Specialist
Taylor.hood@rbc.com
587-439-6551
Rohit Sharma – Mortgage Specialist
Rohit.sharma@rbc.com
368-993-9589
In addition to financial benefits, secondary suites contribute to the overall housing supply in Calgary, helping to address the growing demand for affordable housing options. By providing affordable rental accommodation, secondary suites play a crucial role in meeting the diverse housing needs of our communities and fostering inclusive and sustainable neighborhoods.
Build a secondary suite with Cedarglen Homes
Whether you’re a first-time homebuyer looking to enter the housing market or an existing homeowner exploring ways to maximize your property’s value, consider the potential of secondary suites. At Cedarglen Homes, we understand the importance of secondary suites in today’s housing marketing. It is for this reason that we offer homebuyers the opportunity to personalize their new home to accommodate a legal secondary suite, allowing you to maximize the potential of your property. Over the last year Cedarglen Homes has helped many of our homeowners incorporate secondary suites into their new home. Most of our models can be personalized to include one bedroom or two-bedroom suites. To walk through one of our legal secondary suites you can visit one of the following showhomes:
Contact us today to learn more about our innovative home designs and start your journey to homeownership.
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