Frequently asked questions

First time, or just brushing up on the basics? We're here to help point you in the right direction

What is Blink Mortgage?

Blink is a digital mortgage broker that operates throughout Canada and uses technology to simplify the mortgage process, matching customers to the best rates possible, all while eliminating unnecessary costs and penalties.

Where is Blink located?

Blink Mortgage is a digital mortgage broker that offers solutions throughout Canada, headquartered in Calgary, AB.

How do mortgage brokers get paid?

Mortgage brokers are paid by lenders after connecting them to a borrower. It is for this reason that it is always more advantageous for borrowers to use a mortgage broker instead of working directly with a bank. We work for the borrower to ensure that they are connected to lenders as efficiently as possible, whereas banks use breakage penalties to gouge borrowers for every dollar they can!

How do I know how much I can afford?

Basic affordability is determined by these factors: income, down payment savings, credit, and expenses (credit card, loans, monthly car payments etc.).

Traditionally, it's a long and confusing process to figure out how much you can afford, so we created a simple tool to help borrowers get a general idea of what they can purchase in two minutes. It's way more accurate and way more reliable than trying to do the entire calculation yourself.

How much do I need for down payment?

The simple answer is you need a minimum of 5% for a first time home purchase if the price is less than $500,000 however a minimum down payment for a rental property is 20%.

  • For the first $500,000, you will need 5%
  • For any amount over $500,000, for a primary residence, you'll need 10%. So for a $700,000 home, you will need $45,000 for your down payment.

If you’re close to these amounts, we can sometimes work through creative solutions to get you there!

Having immediate family members gift you the down payment is also acceptable.

How much do I need to set aside for closing costs?

You will need to set aside some additional funds to complete your mortgage. These include legal costs, property transfer tax costs (depending on your location) and appraisal costs (if required). You may also want to complete a home inspection if you are buying a property as well.

If you're wanting a detailed number, we give you personalized, simple tool to use after you're pre-approved that breaks down closing costs.

What kind of approval do I need before shopping for a home?

You technically don’t need any kind of approval to shop around. However, most realtors like to know that their clients aren't wasting their time, and can afford the house they’re looking at.

Important concepts to understand about “approvals”:

“Pre-approval” and “pre-qualification” mean the same thing. The terms are used to let you and a realtor know that a professional has reviewed your application, and determined you probably can afford up to a certain amount when home shopping.

Does a pre-approval or pre-qualification, guarantee I will get a full approval for a mortgage when I decide to buy?

No! This is a common misconception to home buyers. Here are a few common reasons why a pre-approval can fall through:

Something was mis-reported on your mortgage application. For example, when you start to verify your application with documentation (document verification is necessary for a full approval), the Pay Stub you submit could have a lower amount than the original amount entered on your application (this is a very common mistake, which is why we suggest loading your documents for review asap after your application).

The lender also needs to approve the home you’re buying, and can sometimes say, “this is not a good investment,” causing the full pre-approval amount to not be approved. Think about it this way, when the lender loans you money, they want to make sure that money is going into a good investment. If the bank determines the price of the home you’re looking at is actually lower than what you’re wanting to purchase your home for, the lender may only approve for you to borrow what they think the home is worth (the price discovery for a property is called by the lender is called an “appraisal”). In this scenario, you can add to this mortgage amount and still purchase the home, but most people don’t have the extra cash.

When I find a home, what’s the next step?

You’ll put in a “purchase offer” to buy the home! The offer letter will be crafted by your Realtor, and will be lower or equal to the max purchase amount listed on your pre-approval.

I’ve made my offer on a home, what's next?

A good realtor lets the mortgage professional know that a purchase offer has been submitted. At Blink, this is when we get really excited for you! The moment the offer is accepted, Blink begins takes all the information (sq. footage, heat, location, purchase price) and submits it to the lender, along with the application and documents you completed earlier!

The goal is to receive a full approval back from the lender before the deadline. This deadline is called the condition of financing date, and is set by you and the seller’s realtor during negotiation.

After we submit everything to the lender for full approval, it’s extremely important to be responsive to Blink. We use industry experts and algorithms to predict all the documents you need before you put in an offer, but even then the lender will sometimes ask for more!

How do I shop around for the right mortgage rate and product for me? And when?

Great question. Most home buyers aren’t savvy enough to shop for a few options, and end up taking the first one. They don’t understand that all mortgage options are not equal. Just because something has the lowest rate, doesn’t mean that it’s going to be the best option… the low rate could save you $800 over a five year term, but breaking the mortgage could mean a $14,000 penalty!

At Blink, we scan the lenders and products across the market and choose 5 to compare with you side-by-side.

Our lender comparison report is extremely unique in the industry. We show you the penalty, rate, monthly payment, and fine print differences, AND explain how they will affect your situation (without using jargon). Most people who go through our process say this is the best part.

We recommend reviewing the lender comparison report after you’ve gotten a pre-approval, but before you’ve found a home. If you’ve already found a home when you come to us, we’ll work in a time to go over the report before the deal is done.

Not into phone calls? Let us know, we’re happy to share a 10 minute video reviewing the report that you can review on your own time.

Blink is awesome, what can I do to help?

Thanks, we love you too. Please share this page with your friends and leave a review when you get a chance!

How do I find out what my property is worth?

Home values are hard to precisely estimate without having a realtor or appraiser look at your home. For more general estimates, you can look at how much similar houses for in your area are selling for.

What's the difference between traditional vs. digital mortgage brokers?

This is one of our absolute favourite questions:

Before technology revolutionized the mortgage process, borrowers were required to visit an office, speak with a mortgage advisor, and fill out mountains of paperwork to fill out their applications. This system is both time consuming and costly to the borrower because of the massive overhead required to run a traditional mortgage brokerage.

Digital mortgage brokers simplify the process by using innovative technology to connect borrowers to lenders as efficiently as possible. There are a number of clear advantages with using a digital mortgage broker:

  1. Apply for your mortgage from the comfort of your couch
  2. Our process is designed to be simple so you can buy your first home with ease
  3. We eliminate jargon so you can feel informed and confident while you shop
  4. Our lifetime mortgage monitoring lets you know when an even better rate is available to you after lock in your mortgage.
What happens once I complete my initial application?

After you complete your initial application, our mortgage experts will contact you in a timely manner (usually within a couple hours) to let you know if you're pre-approved. This pre-approval will be pending document verification.

How do I find out my credit score?

The best way to find out your credit score is by contacting Equifax Canada. Alternatively, you can use a free service called Credit Karma.

Is there a requirement on the type of file I upload for document confirmation?

As long as the file is legible and contains the information we need we accept all file types in our application process.

If we have any issues with the files you upload, we will contact you to ensure that we can move forward with your mortgage as efficiently as possible.

I've been pre-approved, and my documents have been approved, now what?

Fantastic news! You have a strong pre-approval and should feel confident when shopping for your home. Your next step is to find your dream home and make an offer.

Does Blink offer mortgagees in my province?

Blink offers mortgage services everywhere in Canada with the exception of Quebec.

Does Blink offer loans on commercial properties?

No, Blink does not offer loans on commercial properties. We specialize in offering the best residential mortgage rates available.

Does Blink refinance homes held in LLCs?

No, Blink does not refinance homes held in LLCs. We specialize in offering the best residential mortgage rates available.

The difference between “fixed” and “adjustable” mortgage rates?

Fixed rate mortgages will not change throughout the term of the loan whereas adjustable rates change with the market depending on the key interest rate set by the Bank of Canada.

The advantage of fixed rate mortgages are the ability to predict all future payments on your loan. The main advantage of a fixed rate mortgage is, if rates do go down, you will traditionally be stuck paying a higher rate or be forced to pay a breakage penalty. Blink's "Freedom Mortgage" program eliminates breakage penalties so you can always have the most optimized rate possible.

Will I have a point of contact at Blink?

Once you begin using Blink's easy pre-approval process, our mortgage experts will assist you through any difficulties you may encounter in your home-buying journey.

Please let us know your preferred method of contact. We love putting the power in your hands to decide wether text, phone calls, or video shares are best for you.

What is the difference between a home inspection and an appraisal?

A home inspection is intended to educate the buyer about the condition of the home whereas a home appraisal is used to determine the value of the property.

Typically home inspection is meant to determine if everything is functioning as expected within the home. This process may include inspection of a home's air conditioning system, roof, doors, attic, walls, ceilings, floors, windows, insulation, appliances, heating system, and other areas relating to the function and livability of your home.

The value of home appraisal is generally influenced by recent sales of similar properties in the area and by trends in the housing market. Items that may negatively impact a home's appraisal are areas that require repairs such as an unfinished basement.

How will my mortgage be monitored after I buy my home?

Our mortgage experts have an advanced monitoring system that allows you to check when better offers are available and for Blink to broadcast when we believe we can service you better. You will receive monthly reports that show you an estimated home value, principal vs. interest, and opportunities we've found to refinance.

What if I don't want my credit pulled until I know I'll be approved?

The reason we pull your credit when pre-approving you for your mortgage is to guarantee that your credentials are correct when you are in the process of buying your home.

To understand exactly how we can best service your mortgage needs, please complete and submit your application online through our web portal.****

Often times what banks call pre-approval is simply a rubber stamp that can be rejected once you are ready to put in an offer on a home. This is why Blink pulls your credit once and compares your offers from multiple lenders, to secure your optimal mortgage possible. If you're serious about home buying and the bank working with you hasn't pulled your credit, then there's risk things could fall apart.

What does Blink do with my data?

Blink uses your data to search for the best possible lender to offer you the optimal mortgage rate, all while ensuring total security of your information.

What makes Blink Mortgage unique?

Traditional mortgage brokers and banks cost borrowers more through increased overhead costs due to lack of innovation and breakage penalties that force you borrowers commit to a non ideal rate.

Blink optimizes efficiency through technology and eliminates unnecessary penalties while providing an unbeatable customer experience. By matching customers to multiple excellent rates, borrowers can feel positive they made the best choice with their mortgage.

The home buying process is painful for most people — Blink simplifies the steps with an online mortgage experience, freeing you up to buy your home.

Will getting pre-approved with Blink negatively affect my credit score?

We at Blink strongly advise researching exactly what can affect your credit score.

Having your credit pulled multiple times in short succession, applying for multiple credit cards, maintaining high balances, and missing payments are all great examples of practices that negatively impact credit scores.

During our pre-approval process we only pull your credit once, and compare offers from multiple lenders so we can rate shop for you to help secure the best mortgage rate possible, ensuring minimal impact to your credit score.

At Blink we want to teach financial literacy and guide potential homeowners towards their goals, step-by-step.

What type of properties can we approve?

Blink specializes in offering the best residential mortgage rates available.

Does Blink provide mortgages for mobile homes on leased lands?

No, Blink does not currently approve mortgages for mobile homes on leased lands. We specialize in offering the best residential mortgage rates available while eliminating unnecessary costs and penalties.

Does Blink approve mortgages on homes being built by potential borrowers building?

Yes, Blink can approve mortgages on building projects conducted through a reputable builder, as long as the loan is on a residential property.

Does Blink approve mortgages on commercial properties?

No, Blink does not currently approve mortgages on commercial properties. We specialize in offering the best residential mortgage rates available while eliminating unnecessary costs and penalties.

Who will be helping me while I work for Blink?

At Blink, exceptional customer service is an extremely important component of what makes us successful. Our team of mortgage experts will ensure that your needs are being met every step of the way.

If you have any questions feel free to contact us and we will be happy to assist you.

If Blink offers rates from lenders that are funded by banks, why would I use an intermediary when I can go direct to the bank?

Though it seems convenient to go directly through your bank, there are a number of extra costs and penalties that Blink eliminates through our unique, customer-focused business model.

Proceeding with your bank can seem extremely attractive as they advertise low interest rates to distract you from their terms and policies which charge you more throughout the course of your loan.

Banks send inflated rates when requesting renewals, which are often signed because of simplicity, resulting in elevated costs for the borrower.

Blink mortgage allows you to compare your offers available from multiple lenders to ensure that borrowers are receiving the best rate possible for their situations.

Who are the lenders that Blink connects me with?

Blink uses the results from your pre-approval process to shop for the best options possible so you can compare your offers when making decisions about your mortgage.

Our lenders include banks that you may know as well as other premium lenders that borrowers do not see without using a mortgage broker. Blink's "compare my offers" tool allows borrowers to find the offer that best suits them, ensuring the best mortgage experience possible.

How does Blink make money?

When Blink connects you to a lender we collect a referral fee for our services from the lender, at no extra charge to our borrowers. Because we legally (and preferably) work for borrowers, it is in our best interest to process mortgages as efficiently as possible, meaning that borrowers see outstanding benefits in working with Blink.

What is the difference between Blink's pre-approval and my bank's? How do I get one?

Often times what banks call pre-approval is simply a rubber stamp that can be rejected once you are ready to put in an offer on a home. This is why Blink pulls your credit once and compare your offers from multiple lenders, to secure your optimal mortgage possible.

By completing the application process, our mortgage experts will use your results to determine pre-approval for a mortgage.

I have a payment coming up with my previous mortgage company. Should I make the payment?

ALWAYS pay outstanding mortgage payments to insure that your credit is as good as possible.

Missing mortgage payments will result in serious depreciation of your credit score!

Why do I need an appraisal?

A home appraisal is used to determine the value of a property whereas a home inspection is meant to determine if everything is functioning as expected within the home to educate the buyer about the condition of the property. The value of home appraisal is generally influenced by recent sales of similar properties in the area and by trends in the housing market. Items that may negatively impact a home's appraisal are areas that require repairs such as an unfinished basement.

You will need to complete a home appraisal if the lender believes that the purchase price of a property is significantly different from the value of the real estate.

What is an MLS Listing?

MLS or Multiple Listing Service are tools used by real estate brokerages to organize and categorize homes that are for sale, recently sold, and any important associated history of the property. Mortgage brokers and real estate agents use MLS listings to quickly and efficiently review a snapshot of the property to better understand the loan that is necessary to properly fulfill the borrower’s and lender’s needs.

What is homeowner default insurance (CMHC insurance)?

Mortgage default insurance, also known as CMHC insurance protects lenders in the event a borrower stops making payments and/or defaults on their mortgage loan entirely.

Assuming your home purchase was with less than a 20% down payment, you will be required to buy CMHC insurance as a part of your mortgage.

CMHC insurance is added to your total mortgage and is not a direct cash expense however PST on the CMHC insurance must be paid at the time of close where applicable.

What is a purchase offer?

A purchase offer is a document that makes an offer to buy a property. This document may be amended many times during the negotiation process and once signed by all parties becomes a legally binding contract.

Does Blink support co-signers / co-applicants in the borrower web portal?

Yes we do! If you wish to proceed with a co-signer please proceed to adding them as another borrower on their application.