Purchasing a home is the biggest financial endeavor most Canadians will ever embark on. It can be a scary and stressful experience given the huge financial commitment and securing a mortgage with a competitive rate is one of the most important factors in the entire process. Understanding how the mortgage process works is an essential part of purchasing a home; you are committing to a huge sum of money that you will be repaying for up to 25-30 years in some cases, so you want to ensure you are paying the lowest interest rate possible.
Frequently asked questions
Yes, you can use Questmortgage as a first-time homebuyer. In addition to using Questmortgage to secure the mortgage on your first home, first-time buyers in Canada can also take advantage of Canada’s Home Buyers’ Plan (HBP). The HBP allows first-time buyers to withdraw up to $35,000 (tax-free!) from your RRSPs to put towards the down payment of a new home. Once you purchase your home, you then have up to 15 years to pay yourself back the funds without any penalties. Combine the HBP with a low-interest mortgage from Questmortgage and you’ll be on your way towards smartly financing your first home.
While Questmortgage is a new service, it is part of the long-running Questrade Financial Group, and it is indeed a legit and secure way to apply for a mortgage. Part of the IIROC and CIPF, the company is regulated the same way the major banks are, even though QuestMortgage is an online-only service. One crucial factor to consider with an online-only service like QuestMortgage is the fact that you can’t simply walk into a local branch with any questions. If you are fairly tech-savvy and don’t mind communicating with customer service strictly online or by phone, Questmortgage may be a viable option for you.
QuestMortgage is owned by Questrade Financial Group. Founded in 1999 in Toronto, Ontario, Questrade Financial Group is a Canadian-owned discount brokerage firm. Alongside Questmortgage, Questrade Financial Group also offers self-directed investing as well as curated portfolios via the company’s Questwealth division. While Questrade Financial Group is not affiliated with any of the major banks, the service still offers robust protection to its clients; the company is part of the Investment Industry Regulatory Organization of Canada (IIROC) and is a member of the Canadian Investor Protection Fund (CIPF). The service is run by Community Trust Company (CTC), a direct-to-customer service founded in 1975 and acquired by Questrade in 2019