Licensed people and brokerages
The mortgage and real estate team Todd Schofield, Dylan Schofield, and Ashley Schofield
Mortgage services: Rock Capital Mortgage, Brokerage — FSRA licence #10556
Real estate services: Sutton-Choice Real Estate Inc., Real Estate Brokerage
- Todd Schofield — Mortgage Broker and Real Estate Agent.
- Dylan Schofield — Mortgage Agent Level 2 and Real Estate Agent.
- Ashley Schofield — Mortgage Agent Level 1; Mortgage services only; not a real estate representative..
Purchase Plus Improvements
Purchase Plus Improvements Mortgages in North Bay and Ontario
Plan a home purchase that includes documented improvements, realistic costs, contractor questions and lender-controlled progress requirements.
A purchase-plus-improvements plan connects a home purchase with work that has not yet been completed. The financing conversation therefore has two subjects: whether the borrower and property qualify, and whether the proposed improvements can be documented, valued, completed and verified under the lender’s process. A renovation idea is not automatically an approved budget.
CMHC describes CMHC Improvement as allowing the purchase of an existing residential property with improvements. The actual mortgage product, lender, property, work, draw process and borrower conditions control. Purchase-plus-improvements is not a construction mortgage or a promise to finance a ground-up build; any construction enquiry belongs to a separate lender or specifically confirmed referral route. This page is educational preparation, not a quote, contractor recommendation, building approval or promise that funds will be advanced.
Name the purchase and the improvements separately
Describe the home as it exists today and the work proposed after closing. Separate required repairs from preference upgrades, and separate a fixed scope from a future idea. The lender may need plans, specifications, quotes, permits, appraisal information and a process for confirming completion before the financing can be finalized.
Sources: Canada Mortgage and Housing Corporation; Canada Mortgage and Housing Corporation; Financial Consumer Agency of Canada
| Work category | Questions | Confirm with |
|---|---|---|
| Health or safety repair | Is it urgent, permitted and supported by a qualified quote? | Contractor, municipality, inspector and lender |
| Structural or envelope work | Are plans, engineering, inspections or staged work needed? | Qualified professional, municipality and lender |
| Energy improvement | What equipment, standard, rebate or verification applies? | Contractor, program administrator and lender |
| Finish upgrade | Does the cost create value or only preference? | Borrower, appraiser and lender |
| Addition or secondary space | Is the use lawful and what approvals are required? | Municipality, designer, lawyer, insurer and lender |
Sources: Canada Mortgage and Housing Corporation; Canada Mortgage and Housing Corporation
A lender’s improvement process is not a substitute for a building permit, inspection, contractor agreement, insurance confirmation or legal advice. Keep those responsibilities visible rather than describing them as one mortgage condition.
Sources: Canada Mortgage and Housing Corporation; Office of Consumer Affairs, Innovation, Science and Economic Development Canada
Independently compiled improvements checklist
Sources: Canada Mortgage and Housing Corporation; Financial Consumer Agency of Canada; Office of Consumer Affairs, Innovation, Science and Economic Development Canada
Prepare before making an offer
- Describe the existing property condition and the proposed work in plain language.
- Obtain a realistic scope, written quotes, allowances, exclusions and a contingency.
- Confirm the contractor’s identity, insurance, references, schedule and payment terms.
- Ask the municipality about zoning, permits, inspections, secondary units and occupancy.
- Ask the lender how the improvement product handles appraisal, advances, receipts and verification.
- Separate purchase price, closing costs, improvement budget, contingency and household reserve.
- Prepare income, debt, credit, asset and down-payment records for the mortgage review.
- Decide where the household will live and how payments work while the property is under construction.
- Check whether the insurer will cover the home during vacancy, demolition, construction and occupancy changes.
- Write a backup plan for cost overruns, delayed work, lower appraisal value or a declined improvement.
Sources: Canada Mortgage and Housing Corporation; Financial Consumer Agency of Canada; Office of Consumer Affairs, Innovation, Science and Economic Development Canada
Use secure delivery for income and identification records. Keep contractor and property documents in a separate project file, but make sure the address, scope, amounts and timing agree across the offer, lender file, insurance file and legal file.
Sources: Financial Consumer Agency of Canada
Ask how the lender controls the improvement funds
Purchase-plus-improvements financing can involve lender-specific requirements for the proposed work, valuation, timing, documentation and verification. Ask whether funds are advanced at closing, held back, released in stages or handled another way; do not assume the mortgage proceeds arrive as unrestricted cash.
Sources: Canada Mortgage and Housing Corporation; Canada Mortgage and Housing Corporation
| Question | Why it matters | Who confirms |
|---|---|---|
| Scope | An omitted item can become an unfunded cost | Lender, contractor and borrower |
| Value | The completed value may be assessed differently from today’s condition | Appraiser and lender |
| Timing | A possession date may arrive before work can begin | Lender, lawyer and contractor |
| Advances | The release method controls cash flow during the project | Lender |
| Verification | Inspections, receipts or invoices may be required | Lender and approved inspector |
| Overruns | The borrower may need to fund costs beyond the approved amount | Borrower, lender and contractor |
Sources: Canada Mortgage and Housing Corporation; Financial Consumer Agency of Canada
FCAC explains that pre-approval does not guarantee final mortgage approval and that the selected property and down payment remain relevant. A project budget does not remove the lender’s review of income, debt, credit, property and final documents.
Sources: Financial Consumer Agency of Canada
Ask the lender to explain the timing in writing before relying on a closing date. A borrower may have to pay a contractor before an inspection, may need to provide invoices or receipts, or may have to meet a completion deadline. A quote that is valid today may expire before an advance, and a construction delay can create temporary housing or interest costs.
Sources: Canada Mortgage and Housing Corporation; Canada Mortgage and Housing Corporation
The completed value also needs careful language. An appraiser may consider the proposed work and supporting information, but the result is not a promise that the market will pay the expected amount. Keep the project affordable even if the finished value is lower than the budget or the work takes longer.
Sources: Canada Mortgage and Housing Corporation; Financial Consumer Agency of Canada
If the property is intended to become a rental or include a secondary unit, disclose that plan from the beginning. The work, occupancy, insurance and rental evidence can change the mortgage conversation, and a future use should not be represented as current lawful use or current income.
Sources: Canada Mortgage and Housing Corporation; Financial Consumer Agency of Canada
Treat the renovation as a separate project
The Office of Consumer Affairs advises consumers to use a written contract for major home renovations and to understand the work, price and payment terms. A mortgage approval does not guarantee a contractor’s performance or protect a borrower from an incomplete project, change order or dispute.
Sources: Office of Consumer Affairs, Innovation, Science and Economic Development Canada
Project controls to discuss
- A written scope with materials, quantities, exclusions, allowances and who obtains each permit.
- A schedule that recognizes delivery, inspection, weather, trades and lender verification.
- Payment milestones tied to defined work rather than an unclear deposit or verbal change.
- A documented process for change orders and a stated source for overruns.
- Insurance, worker coverage, site security and occupancy arrangements during work.
- A final inspection, deficiency list, receipts, warranties and completion evidence.
Sources: Office of Consumer Affairs, Innovation, Science and Economic Development Canada; Canada Mortgage and Housing Corporation
Do not describe a renovation as complete until the responsible professionals confirm what completion means. A lender’s valuation, municipal inspection and contractor sign-off may answer different questions.
Sources: Canada Mortgage and Housing Corporation; Office of Consumer Affairs, Innovation, Science and Economic Development Canada
Plan local work in North Bay and Ontario
A North Bay-area property may have older systems, winter construction constraints, rural services, septic or well questions, or a proposed secondary space. Confirm the address-specific requirements before treating a quote or listing description as a completed plan. The local municipality, contractor, insurer, inspector and lawyer each have a different role.
Sources: Office of Consumer Affairs, Innovation, Science and Economic Development Canada; Financial Consumer Agency of Canada
Local questions to keep separate
- Which permits, zoning permissions, inspections or occupancy approvals are required?
- How will materials, trades, heating, water, septic, access and winter conditions affect cost?
- Does the intended improvement create or change a rental or secondary unit?
- Will the insurer cover the property during demolition, construction and vacancy?
- What documents will the lender, appraiser and lawyer need before closing or an advance?
Sources: Canada Mortgage and Housing Corporation; Office of Consumer Affairs, Innovation, Science and Economic Development Canada
The team can help organize mortgage questions; it cannot approve permits, certify construction, select a contractor or promise the completed value. Ask for the actual lender process before waiving a condition.
Older homes may require investigation beyond the visible renovation. Electrical service, plumbing, heating, insulation, foundation, drainage, windows and roofing can affect both the work scope and the insurance conversation. Ask the inspector and qualified trades for evidence rather than assuming a cosmetic quote covers hidden conditions.
Sources: Office of Consumer Affairs, Innovation, Science and Economic Development Canada; Financial Consumer Agency of Canada
For rural or edge-of-town properties, confirm driveway access, septic, well, waste, internet and winter construction logistics. A property that can be renovated in principle may still require a different schedule, permit or reserve. Keep local facts with the address instead of relying on a generic renovation percentage.
Sources: Office of Consumer Affairs, Innovation, Science and Economic Development Canada; Canada Mortgage and Housing Corporation
If several trades are involved, identify who coordinates them and who carries responsibility for sequencing and deficiencies. The mortgage file cannot manage the construction project.
Sources: Office of Consumer Affairs, Innovation, Science and Economic Development Canada
Keep a dated list of decisions, approvals, quotes and changes.
Tell the lender promptly when scope, price or timing changes.
Sources: Financial Consumer Agency of Canada
Do not conceal work or property-use changes.
Keep contingency funds accessible.
Recheck all amounts before closing.
Keep receipts and approvals organized.
Retain final documents after completion.
Make the improvement plan financeable and buildable
Bring the address, purchase terms, work scope, quotes, permits or municipal questions, contractor information, cash reserve, income, debts and assets. Ask the lender how the product handles the property and advances, and use the lawyer, municipality, insurer, inspector and contractor for the questions within their roles.
Sources: Canada Mortgage and Housing Corporation; Financial Consumer Agency of Canada; Office of Consumer Affairs, Innovation, Science and Economic Development Canada
Questions people ask before deciding
What is a purchase-plus-improvements mortgage?
It is a financing approach that can connect the purchase of an existing residential property with specified improvements. CMHC describes CMHC Improvement for that kind of purchase, while the lender’s current product and process control. It should not be treated as construction financing for a ground-up build.
Do I receive the entire improvement budget at closing?
Do not assume so. Ask the lender whether funds are advanced at closing, held back, released in stages or subject to inspections, receipts and completion evidence. The process is lender- and product-specific.
Can I use my own contractor?
Ask the lender, insurer and contractor what requirements apply. Prepare a written scope, quote, schedule, insurance information and permit plan, but do not treat this checklist as approval of a contractor or project.
Can a renovation create a legal secondary suite?
A mortgage product does not create legal use. Ask the municipality about zoning, permits, fire and building requirements, then disclose the intended use to the lender, insurer and lawyer. Do not rely on a separate entrance or kitchen alone.
What if the renovation costs more than the approved amount?
The borrower may need to fund the difference, revise the scope or revisit financing. Keep a contingency and ask the lender about changes before signing a contract or beginning work. Do not assume an overrun will be added automatically.
Does an appraisal guarantee the completed value?
No. An appraisal is one valuation input and does not guarantee a future sale price, construction quality or lender approval. Final review can still depend on the property, work, documents and borrower.
Should I waive the financing condition because the renovation seems straightforward?
Do not make that decision from a webpage. Ask the lender, lawyer and other professionals to identify the conditions and risks for the actual purchase, work and contract before changing an offer.