Conventional home loans are traditional mortgage products that are not backed by government programs. Typically, they require a down payment of at least 20% of the home’s purchase price to avoid private mortgage insurance (PMI). These loans can have fixed or variable interest rates, allowing borrowers to choose a loan structure that best fits their financial situation.

For buyers who cannot make a 20% down payment, high-ratio mortgages are a viable option. These loans require mortgage insurance, which protects the lender in case the borrower defaults. High-ratio mortgages can be obtained with down payments as low as 5%, making them an attractive option for first-time homebuyers in Regina looking to enter the housing market.

In Canada, several government programs assist homebuyers, making loans more accessible. The Canada Mortgage and Housing Corporation (CMHC) provides mortgage insurance for high-ratio loans, allowing lenders to offer financing to those with smaller down payments. Additionally, the First-Time Home Buyer Incentive helps eligible buyers by providing shared equity loans to ease the financial burden of purchasing a home.

Home loans in Regina can be categorized as fixed-rate or variable-rate mortgages. Fixed-rate mortgages have an interest rate that remains constant throughout the loan term, providing stability in monthly payments. In contrast, variable-rate mortgages may fluctuate based on market conditions, potentially leading to lower initial payments but greater uncertainty over time.

For existing homeowners, home equity loans or lines of credit can be useful financing options. These products allow homeowners to borrow against the equity they have built in their homes, making them ideal for funding renovations, consolidating debt, or covering significant expenses.