5 Reasons Why You Should Consider Investing in a Small(er) Home

James DeVuyst • May 16, 2019

The larger home is not always the better home. Yes, there still exists a large group of individuals who enjoy owning a grand estate, complete with all the modern conveniences, in addition to everything you could ever want; and of course, there’s nothing inherently wrong with this. But for an increasing segment of society, downsizing is the new “in”; the new “chique” if you will. These folks have talked the talk and walked the walk; and at some point they decided it was time for a change.

These homestead rebels are bucking the trend while showing the rest of us the “pros” of living a simplified life, house included. The following are 5 reasons why downsizing might just actually be upsizing:

Less Pressure on the Pocketbook

Not surprisingly: The purchase price of a small house is less than that of a large house (within a similar area, of course). Now, I know that this fact isn’t news to anyone, but it still bears repeating. Why you ask? Because a large portion of society seems to be constantly on the edge of financial trouble; constantly working to fend off the bank and pay all the bills on time. This lifestyle is not only stressful, it’s exhausting.

The solution? If possible, scale down.

Additionally, a small house is less expensive when it comes to the cost of living. Think about it: to heat a 2000 square foot home requires a certain amount of dollars. Additionally, the larger rooms will demand more of your hard earned money when it comes time to upgrade. Need new windows? New doors? New kitchen cabinets? All of these things will cost you more (based on volume alone) than a house which is even marginally smaller.

Less Maintenance

In car sales, the base model is always the economically prudent choice. Of course, the luxury model contains a host of upgrades. But, these upgrades inevitably break and require fixing, while the base model continues on, uninhibited by such things. The base model is solid. When it comes to pure performance, it does everything that the luxury model can do, and it’s very much the more affordable option. So, which model do you choose? If you’re like a growing number of Canadians, those who want to see their dollar go further, you choose the base model.

Similarly, a small home may not have all the “bells and whistles” of a large home, but the baseline performance should be there, along with fewer maintenance costs, fewer breakdowns, and fewer headaches.

Smaller (Environmental) Footprint

The simple fact remains: smaller homes are more environmentally friendly than larger homes. This makes practical sense on every level. When we learn to live with less, we end up using less, we end up wasting less, and we end up polluting less. Additionally, if there are less square footage to heat, then we use less power. If there are fewer rooms to illuminate, we use fewer bulbs, and if there are fewer washroom tubs to fill and toilets to flush, we use less water.

All of this leads to a smaller environmental footprint, which is a pretty big deal.

Encourages Minimalism

Small(er) living spaces force us to think about that which is important to us. Do we need all of this stuff? Can we do without the clutter? I think we absolutely can, but only when we’re faced with these types of situations are we confronted with these (potentially) freeing thoughts. The reality of a small living space encourages a healthy sort of purge; the sort of purge where, at its peak, you realize that you own your things; that your things don’t own you.

Easier to Sell (Price Point)

Finally, the truth remains, a well maintained affordable house is a desirable house. Plain and simple.

Questions about home ownership? Wondering about the process of applying for a mortgage? Need direction? Contact me , and let me walk you through your options. You won’t be disappointed.

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Fixed vs. Variable Mortgage Rates in Canada

By James De Vuyst • October 23, 2025

Fixed vs. Variable Rate Mortgages: Which One Fits Your Life? Whether you’re buying your first home, refinancing your current mortgage, or approaching renewal, one big decision stands in your way: fixed or variable rate? It’s a question many homeowners wrestle with—and the right answer depends on your goals, lifestyle, and risk tolerance. Let’s break down the key differences so you can move forward with confidence. Fixed Rate: Stability & Predictability A fixed-rate mortgage offers one major advantage: peace of mind . Your interest rate stays the same for the entire term—usually five years—regardless of what happens in the broader economy. Pros: Your monthly payment never changes during the term. Ideal if you value budgeting certainty. Shields you from rate increases. Cons: Fixed rates are usually higher than variable rates at the outset. Penalties for breaking your mortgage early can be steep , thanks to something called the Interest Rate Differential (IRD) —a complex and often costly formula used by lenders. In fact, IRD penalties have been known to reach up to 4.5% of your mortgage balance in some cases. That’s a lot to pay if you need to move, refinance, or restructure your mortgage before the end of your term. Variable Rate: Flexibility & Potential Savings With a variable-rate mortgage , your interest rate moves with the market—specifically, it adjusts based on changes to the lender’s prime rate. For example, if your mortgage is set at Prime minus 0.50% and prime is 6.00% , your rate would be 5.50% . If prime increases or decreases, your mortgage rate will change too. Pros: Typically starts out lower than a fixed rate. Penalties are simpler and smaller —usually just three months’ interest (often 2–2.5 mortgage payments). Historically, many Canadians have paid less overall interest with a variable mortgage. Cons: Your payment could increase if rates rise. Not ideal if rate fluctuations keep you up at night. The Penalty Factor: Why It Matters More Than You Think One of the biggest surprises for homeowners is the cost of breaking a mortgage early —something nearly 6 out of 10 Canadians do before their term ends. Fixed Rate = Unpredictable, potentially high penalty (IRD) Variable Rate = Predictable, usually lower penalty (3 months’ interest) Even if you don’t plan to break your mortgage, life happens—career changes, family needs, or new opportunities could shift your path. So, Which One is Best? There’s no one-size-fits-all answer. A fixed rate might be perfect for someone who wants stable budgeting and plans to stay put for years. A variable rate might work better for someone who’s financially flexible and open to market changes—or who may need to exit their mortgage early. Ultimately, the best mortgage is the one that fits your goals and your reality —not just what the bank recommends. Let's Find the Right Fit Choosing between fixed and variable isn’t just about numbers—it’s about understanding your needs, your future plans, and how much financial flexibility you want. Let’s sit down and walk through your options together. I’ll help you make an informed, confident choice—no guesswork required.

Home Reno Dreams? Let’s Talk Mortgage Financing

By James De Vuyst • October 9, 2025

How to Use Your Mortgage to Finance Home Renovations Home renovations can be exciting—but they can also be expensive. Whether you're upgrading your kitchen, finishing the basement, or tackling a much-needed repair, the cost of materials and labour adds up quickly. If you don’t have all the cash on hand, don’t worry. There are smart ways to use mortgage financing to fund your renovation plans without derailing your financial stability. Here are three mortgage-related strategies that can help: 1. Refinancing Your Mortgage If you're already a homeowner, one of the most straightforward ways to access funds for renovations is through a mortgage refinance. This involves breaking your current mortgage and replacing it with a new one that includes the amount you need for your renovations. Key benefits: You can access up to 80% of your home’s appraised value , assuming you qualify. It may be possible to lower your interest rate or reduce your monthly payments. Timing tip: If your mortgage is up for renewal soon, refinancing at that time can help you avoid prepayment penalties. Even mid-term refinancing could make financial sense, depending on your existing rate and your renovation goals. 2. Home Equity Line of Credit (HELOC) If you have significant equity in your home, a Home Equity Line of Credit (HELOC) can offer flexible funding for renovations. A HELOC is a revolving credit line secured against your home, typically at a lower interest rate than unsecured borrowing. Why consider a HELOC? You only pay interest on the amount you use. You can access funds as needed, which is ideal for staged or ongoing renovations. You maintain the terms of your existing mortgage if you don’t want to refinance. Unlike a traditional loan, a HELOC allows you to borrow, repay, and borrow again—similar to how a credit card works, but with much lower rates. 3. Purchase Plus Improvements Mortgage If you're in the market for a new home and find a property that needs some work, a "Purchase Plus Improvements" mortgage could be a great option. This allows you to include renovation costs in your initial mortgage. How it works: The renovation funds are advanced based on a quote and are held in trust until the work is complete. The renovations must add value to the property and meet lender requirements. This type of mortgage lets you start with a home that might be more affordable upfront and customize it to your taste—all while building equity from day one. Final Thoughts Your home is likely your biggest investment, and upgrading it wisely can enhance both your comfort and its value. Mortgage financing can be a powerful tool to fund renovations without tapping into high-interest debt. The right solution depends on your unique financial situation, goals, and timing. Let’s chat about your options, run the numbers, and create a plan that works for you. 📞 Ready to renovate? Connect anytime to get started!

First-Time Buyer? Here’s How to Tell If You’re Ready

By James De Vuyst • September 25, 2025

Ready to Buy Your First Home? Here’s How to Know for Sure Buying your first home is exciting—but it’s also a major financial decision. So how can you tell if you’re truly ready to take that leap into homeownership? Whether you’re confident or still unsure, these four signs are solid indicators that you’re on the right path: 1. You’ve Got Your Down Payment and Closing Costs in Place To purchase a home in Canada, you’ll need at least 5% of the purchase price as a down payment. In addition, plan for around 1.5% to 2% of the home’s value to cover closing costs like legal fees, insurance, and adjustments. If you’ve managed to save this on your own, that’s a great sign of financial discipline. If you're receiving help from a family member through a gifted down payment , that works too—as long as the paperwork is in order. Either way, having these funds ready shows you’re prepared for the upfront costs of homeownership. 2. Your Credit Profile Tells a Good Story Lenders want to know how you manage debt. Before they approve you for a mortgage, they’ll review your credit history. What they typically like to see: At least two active credit accounts (trade lines) , like a credit card or loan Each with a minimum limit of $2,000 Open and active for at least 2 years Even if your credit isn’t perfect, don’t panic. There may still be options, such as using a co-signer or working on a credit improvement plan with a mortgage expert. 3. Your Income Can Support Homeownership—Comfortably A steady income is essential, but not all income is treated equally. If you’re full-time and past probation , you’re in a strong position. If you’re self-employed, on contract, or rely on variable income like tips or commissions, you’ll generally need a two-year history to qualify. A general rule: housing costs (mortgage, taxes, utilities) should stay under 35% of your gross monthly income . That leaves plenty of room for other living expenses, savings, and—yes—some fun too. 4. You’ve Talked to a Mortgage Professional Let’s be real—there’s a lot of info out there about buying a home. Google searches and TikToks can only take you so far. If you're serious about buying, speaking with a mortgage professional is the most effective next step. Why? Because you'll: Get pre-approved (and know what price range you're working with) Understand your loan options and the qualification process Build a game plan that suits your timeline and financial goals The Bottom Line: Being “ready” to buy a home isn’t just about how much you want it—it’s about being financially prepared, credit-ready, and backed by expert advice. If you’re thinking about homeownership, let’s chat. I’d love to help you understand your options, crunch the numbers, and build a plan that gets you confidently across the finish line—keys in hand.