Eva and Jorge just received the call from their real estate agent that their offer of $350,000 was accepted on a Montreal condo! Money will be tight since it took all their savings for a 10% down payment. They are trying to monitor their costs to avoid any surprises. The Canada Mortgage Housing Corporation (CMHC) mortgage loan insurance premium is 3.10% of the mortgage amount which they have decided to pay at the time of closing instead of adding it to their monthly mortgage. Other fees include a $650 bank appraisal fee, a $800 home inspection fee, $1,800 notary fees, land transfer tax (also known as the "Welcome tax" or "Transfer duties" - see table below) and $850 for title insurance and homeowner's insurance of $1,000. 

  

https://montreal.ca/en/articles/how-property-transfer-duties-are-calculated-9279

 

1. How much will Eva and Jorge need to cover at closing including the down payment? 
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3. Eva and Jorge's bank just called as they calculated their Gross Debt Service (GDS) ratio as 32%, how much will the monthly mortgage payment be based on this ratio? Eva's gross annual income is $120,000 while Jorge's is $115,200. The monthly heating would be $475, condo fees of $800 per month, and annual property taxes would be $3,600 along with monthly debt payments of $1,755.

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Montréal In Montréal, the value brackets from January 1 to December 31, 2023, are as follows: Tax base value Up to $55,200 $55,200 to $276,200 $276,200 to $552,300 $552,300 to $1,104,700 $1,104,700 to $2,136,500 Menu Rate 0.5% 1% 1.5% 2% 2.5% Montréal In Montréal, the value brackets from January 1 to December 31, 2023, are as follows: Tax base value Up to $55,200 $55,200 to $276,200 $276,200 to $552,300 $552,300 to $1,104,700 $1,104,700 to $2,136,500 Menu Rate 0.5% 1% 1.5% 2% 2.5%