Mortgage FAQs and Glossary

What types of mortgages does HSBC Bank Canada offer

I'm considering purchasing a home soon, what do I do first?

What is pre-approval?

How much can I borrow?

How much will my mortgage payment be each month?

What is a down payment and how much do I need to buy a home?

When is mortgage insurance required?

What is amortization and what is a mortgage term?

Amortization is the estimated number of years it will take to pay off your mortgage entirely. Amortization periods range up to 30 years. The longer your amortization is, the lower your mortgage payments will be, but the higher the total amount of interest you'll pay over the life of the mortgage. An amortization is made up of a number of mortgage terms.

A mortgage term is the length of time you have agreed to a certain interest rate and a specified payment schedule. A term can range from as short as 6 months to as long as 10 years. At the end of your term, also known as renewal, you can agree to a new interest rate and payment schedule, or you can pay off your mortgage.

What's the difference between a fixed rate mortgage and a variable rate mortgage?

What's the difference between a closed term mortgage and an open term mortgage?

How can I save money on my mortgage?

What is the HSBC Smart Savers Mortgage?

My mortgage is up for renewal, what do I do?

Mortgage rates are going down, what should I do?

Are there other costs I should know about, and how much are they?