A client is purchasing a $750,000 home. What is the minimum down payment required?
Correct Answer
B) $50,000
For homes over $500,000, the minimum down payment is 5% on the first $500,000 ($25,000) plus 10% on the amount over $500,000 ($25,000 on the remaining $250,000), totaling $50,000. This graduated structure applies to homes between $500,000 and $999,999.
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A client is purchasing a $600,000 home in Alberta with a 10% down payment. What additional cost will they need to pay for mortgage default insurance?
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