Kelly Hudson

MORTGAGE ARCHITECTS

LET’S WORK TOGETHER TO GET YOU THE BEST MORTGAGE AVAILABLE

LET'S TALK

BRIANNA & THOMAS

Happy Clients

As first-time home buyers we had a lot of questions regarding the mortgage process and Kelly did a fantastic job in helping us understand everything.  We highly recommend Kelly to anyone looking to purchase a home!

Hi, I’m Kelly. I’m a Mortgage Broker, living in Richmond and servicing the Greater Vancouver area and beyond for the last 11+ years.


 Buying a home is both: exciting and nerve wracking.  My goal is to simplify and educate you about mortgage financing, so you make good decisions based on your situation.


 As a Mortgage Broker - I specialize in Mortgage Intelligence, educating people about mortgages, how they work and what lenders are looking for.  Everyone's home purchasing situation is different, so working with me will give you a better sense of what mortgage options are available based on the 4 strategic priorities that every mortgage needs to balance:

  • lowest cost
  • lowest payment
  • maximum flexibility
  • lowest risk

The fine print in the mortgage contract can far outweigh the rate being offered.  Most people are blinded by the rate, in their quest for a mortgage. 

  • Rates are #1 & #10 on your list, we discuss the other 8 areas of the mortgage, to ensure you find the best fit for your circumstance.

In a perfect world I would LOVE to meet people 3 months-3 years prior to them planning on purchasing a home, so I can work with them to put together a home ownership game plan.


My services for a typical mortgage are FREE (I get a finder’s fee from the lender) and I help people save money.  I LOVE my job!


My mortgage brokering services include:

  • PURCHASING your first home
  • REFINANCING for renovations, investments or debt consolidation
  • RENEWING your current mortgage
  • INVESTING in a rental/revenue property/cottage
  • REVERSE MORTGAGE for Homeowners age 55+, enabling them to access the equity in their home to let them live life on their terms. 

If you would like to discuss mortgage financing with me, please contact me!


A little about me - I've lived in Richmond for 40+ years, have 1 husband (George), love animals including my 2 rescue poochies (Sophie & Sam). For fun, I enjoy socializing, travel & baking (especially cookies and cupcakes) & I’m practically addicted to Hawkins Cheezies & Jujube’s!! 

My Process is Simple.


Get in Touch

Get in touch with me however you feel comfortable. I will answer all your questions and provide you with counsel, all without any pressure.

 Choose a Solution

Once we've had a chance to go over your financial situation, I will outline all your mortgage options, and you can make the best choice for you.

Enhance your Lifestyle

With your new mortgage in place, you can get on with living your life! I'll always be there if you have any questions in the future!

Want to get started right away? 

APPLY NOW

Download My Mortgage Toolbox


Download My Mortgage Planner using my personal install buttons so you can get exclusive access to all the premium features to help you plan your mortgage.

Renewal

Up for renewal? Here are 5 steps to follow to ensure a smooth process.

Refinance

Need to refinance? Here is a plan that you can follow.

Take the stress out of mortgage financing.


LET'S TALK

Simple mortgage advice, honestly given!

By Kelly Hudson 01 Oct, 2024
There seems to be some confusion about what it means to co-sign on a mortgage… and any time there is confusion about mortgages, it’s time to chat with Kelly Hudson, your trusted mortgage expert!! Thanks to tighter mortgage qualification rules and higher-priced real estate - particularly in the greater Vancouver and Toronto areas - it is not easy to qualify for a mortgage on your own merits. Let’s look at why you would want to have someone co-sign your mortgage and what you need to know before, during, and after the co-signing process. The ‘stress test’ has been especially “stressful” for borrowers. As of Jan. 1, 2018, all homebuyers need to qualify at the rate negotiated for their mortgage contract PLUS 2% OR the government posted rate which varies (as of Oct. 2024 5.25%), which ever is higher . If you have less than 20% down payment, you must purchase Mortgage Default Insurance and qualify at 5.25%. If you must qualify at a rate higher than what you are paying… then your money doesn’t go as far… and you qualify for a smaller mortgage. In the wise words of Mom’s & Dad’s of Canada… “if you can’t afford to buy a home now, then WAIT until you can!!” BUT wait… in some housing markets (especially Vancouver & Toronto), waiting it out could easily mean missing out, depending on how quickly property values are appreciating in the area you want to purchase. If you can’t income qualify for a mortgage with your current provable income along with GREAT credit, your lender’s going to ask for a co-signer. In order to give borrowers, the best mortgage rates, Lenders want the best borrowers!! They want someone who will pay their mortgage on time as promised with no hassles. Co-sign vs Guarantor Short version: The main difference between a guarantor and a co-signer is that the co-signer is a title holder and a guarantor is not. However, both individuals are responsible for mortgage payments being made to the lender. Someone can co-sign your mortgage and become a co-borrower , the same as a spouse or anyone else who you are buying the home with. It’s basically adding the support of another person’s income and credit history to those initially on the application. The co-signer will be put on the title of the home and lenders will consider them equally responsible for the debt should the mortgage go into default. Another option is a guarantor . If a co-signer decides to become a guarantor, then they’re backing the loan and essentially vouching for the person getting the loan that they’re going to be good for it. The guarantor is going to be responsible for the loan should the borrower go into default. Most lenders prefer a co-signer going on title. More than one person can co-sign a mortgage although it’s typically the parent(s) or a close relative of a borrower who steps up and is willing to put their neck, income, and credit bureau on the line. Ultimately, if the lender is satisfied that all parties meet the qualification requirements and can lessen the risk of their investment, they’re likely to approve your mortgage. Before signing on the dotted line Short Version: A co-signer, in essence, co-owns the home with the individual living in it and paying the mortgage. A co-signer must sign all the mortgage documents and their name will appear on the title of the property. When you co-sign on a mortgage, you become just as responsible for the mortgage loan as the primary borrower — and you can suffer serious consequences if they make late payments or default. Anyone that is willing to co-sign a mortgage must be fully vetted, just like the primary applicant(s). They will have to provide all the same documentation as the primary applicant(s). Being a co-signer makes you legally responsible for the mortgage, exactly the same as the primary applicant(s). Please note as a Co-signer your future borrowing plans will be affected Since the mortgage will also appear on your credit report, this additional debt could make it tougher for you to qualify for additional credit down the road. For example: if you dreamed of one day owning a vacation home, just know that a lender will have to consider 100% of your co-signed mortgage as part of your overall debt-to-income ratio . You are allowing your name and all your information to be used in the process of a mortgage, which is going to affect your ability to borrow anything in the future. If the Co-signer already owns a home, then they could be charged capital gains on the property they co-signed for IF the property sells for more than the purchase price (contact your accountant for tax advice). In Canada, capital gains tax is charged on the profit made from selling real estate, including homes, for more than their purchase price. However, there is an exemption for primary residences. If the home was your primary residence for the entire period of ownership, you are generally exempt from paying capital gains tax on the sale. A primary residence is where you or your family lived most of the time, and only one property per family can be designated as such per year. This gets complicated for co-signers – since they rarely live in the home they are co-signing for. For non-primary residences, (rental, investment properties, co-signed properties) capital gains tax applies to the profit made from the sale. In Canada, the CRA taxes 50% of gains up to $250,000, and 66.7% of gains over $250,000. For example, selling a rental property that you purchased for $300K and sold for $400K would result in a $100K capital gain. Typically, we’ll put the co-signer(s) on title for the home/mortgage at 1% of home ownership... then IF there were a capital gain, they would pay 1% of their share of the capital gain (contact your accountant for tax advice). If someone is a guarantor , then things can become even trickier as the guarantor isn’t on title to the home. That means that even though they are on the mortgage, they have no legal right to the home itself. If anything happens to the original borrower, where they die, or something happens, they’re not on the title of that property but they’ve signed up for the mortgage. The Guarantor doesn’t have a lot of control which can be a scary thing. In my opinion, it’s much better for a co-signer to be a co-borrower on the property, where you can be on title to the property and enjoy all the legal rights afforded to you. The Responsibilities of Being a Co-signer Co-signing can really help someone out, but it’s also a big responsibility. When you co-sign for someone, you’re putting your name and credit on the line as security for the loan/mortgage. If the person you co-sign for misses a payment, the lender or other creditor can come after you to get their money. Any late mortgage payments would also show up on your credit report, which could impact your own loan/mortgage qualification in the future. Because co-signing a loan has the potential to affect both your credit and finances, it’s extremely important to make sure you’re comfortable with the person you’re co-signing for. You both need to know what you’re getting into. I recommend Independent Legal Advice between all co-borrowers. Co-signing is NOT a life sentence. Just because you need a co-signer to get a mortgage does not mean that you will always need a co-signer. In fact, as soon as you can credit & income qualify for the mortgage on your own (without your co-signer) – you can ask your lender to remove the co-signer from title. It is a legal procedure so there will be a cost associated with the process, but doing so will remove the co-signer from your mortgage loan and release them from the responsibility of your mortgage. Removing a co-signer technically counts as changing the mortgage, so you need to ensure that the lender you chose doesn’t consider removing a co-signer (changing the covenant) as breaking your mortgage. There could be large penalties associated with doing so. For more information, check out my BLOG Mortgage Penalties – Ouch… How Much??
By Kelly Hudson 16 Sep, 2024
Imagine you're about to apply for a mortgage to buy a house, and suddenly, you realize the mortgage lender is asking for a lot of paperwork. If you've never applied for a mortgage before, it can feel overwhelming. But the good news is, this isn't because lenders or mortgage brokers want to make your life difficult! It's because buying a home is one of the biggest purchases most people will ever make, and the Canadian mortgage system is carefully regulated by the government to make sure everything goes smoothly and fairly.
By Kelly Hudson 13 Aug, 2024
Do you dream of buying your first home but worry that your credit history might stop you? Well, here’s some good news: you don’t need a perfect credit score to own a home! Let’s explore how you can still achieve your dream of homeownership, even if your credit isn’t perfect.
By Kelly Hudson 10 Jul, 2024
Understanding Mortgage Fraud Mortgage fraud is when people lie or cheat to get a mortgage loan or better loan terms than they should. This means giving false information on purpose. Different people can commit mortgage fraud, from individuals looking for loopholes to people within the mortgage industry itself. They might do this to own a home, take advantage of rising interest rates, or make a lot of money quickly. In 2023, the Canadian Anti-Fraud Centre processed more than 63,000 reports of fraud, resulting in staggering losses totalling $569 million. These figures likely underestimate the true extent of fraud, as the Anti-Fraud Centre estimates that only 5-10% of incidents are reported. While fraud can impact anyone, older Canadians are particularly vulnerable. Types of Mortgage Fraud Here are the different types of mortgage fraud, as explained by the Canada Mortgage and Housing Corporation (CHMC): Fraud for Profit: This happens when someone sells a property at a price much higher than it’s worth, tricking mortgage lenders or buyers about its true value. Fraud for Commission: Using false information to get more mortgages, increasing their commissions. Fraud for Shelter: People use fake documents or lie about their income or credit history to get bigger loans. Straw Buyer Schemes: Someone pretends to be a legitimate buyer to get a mortgage on a home they don’t plan to pay for. Real Estate Title Fraud: Thieves steal a homeowner’s identity to refinance or sell their home without them knowing, using fake IDs or forged documents. Protecting Yourself from Mortgage Fraud Here’s how to help avoid mortgage fraud: Encourage honesty in loan applications. Don’t add your name to someone else’s mortgage without a clear plan for payments. Seek independent legal advice. Conduct thorough property assessments/appraisal Check the credentials of your real estate professionals. What Mortgage Fraud Looks Like Both homebuyers and the professionals they work with can commit mortgage fraud. Common cheats include: Faking or altering paperwork. Not communicating or disclosing important information. Making verbal agreements or accepting cash fees. Lying about job status, making fake pay stubs, or lying about a property’s purpose.
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