Questions About Appraisals During COVID-19

Bill Fraser • April 29, 2020

If you're looking to purchase or refinance a property while most of Canada is self-isolating to stop the spread of COVID-19, you probably have some questions around how the pandemic is impacting appraisals.


If you're looking to put a plan together that involves mortgage financing, the best place to start is to contact me directly. I would love to work with you!


However, here a few questions that you may be asking about appraisals and some general information.


1. Can I get an appraisal without having someone come into my property?


Rest assured that to prevent the spread of COVID-19, it is possible to have an appraisal completed without anyone coming into your personal space to view and assess the property.


Instead, the appraiser will use information from MLS data, municipal permits, and property assessment information, as well as information provided by the client or owner to find the property's value.


Be aware that as the provincial government starts reopening and loosening regulations around social distancing and self-isolation, this might change.


2. Is there anything I can provide to assist with the appraisal?


As the appraiser won't be able to assess the property physically, consider providing some interior photos. Your pictures could then be included in the report in place of photos that they would typically take themselves.


Alternatively, if you're a little more tech-savvy, consider a video tour of your property carried out by a Zoom Call, FaceTime, WhatsApp, or Marco Polo.


In these times, appraisers are very flexible; it's a good idea to be available, and as helpful as possible.


3. Will the banks accept an appraisal if the property wasn't physically inspected?


As we're living in unprecedented times, the real estate industry is taking Public Health Authority guidelines and advice seriously and is working together to help stop the spread of COVID-19. This includes adapting the way business is done, and accepting that alternatives to the ordinary course of business may be required.


At this time, most lenders are accepting property valuation from accredited appraisers, even if the property hasn't been physically inspected. Your team of real estate professionals will be able to provide you with guidance at the appropriate time.


4. Are property values coming in lower because of COVID-19


While this is a tough question to answer, here are the facts.


An appraiser's job is to assess the property to establish a value, so that a lender can confidently provide mortgage financing while protecting their investment, making sure there is sufficient equity in case of default.


Establishing property value includes scrutinizing comparable listings; assessing what has sold, at what price, within a reasonable time frame. While also considering how long that property sat on the market.


In the middle of a global pandemic, nothing can be considered normal.


Unfortunately, as we're living through a time of uncertainty, pessimism and conservatism will most likely lead to lower appraisal values.


As MLS data will undoubtedly show a significant drop in sales activity during COVID-19, it might be harder for appraisers to find "comparable properties" to use in assessing another property's value. However, if the values of the properties that did sell remain steady, there is cause to believe that appraised values could remain stable as well. Only time will tell.


If you have any more questions, please contact me directly, I'd love to talk with you.


BILL FRASER
OWNER / MORTGAGE EXPERT

BOOK AN APPOINTMENT CONTACT ME
RECENT POSTS

Everything You Should Know Before Buying a Home

By Bill Fraser • October 28, 2025
Thinking About Buying a Home? Here’s What to Know Before You Start Whether you're buying your very first home or preparing for your next move, the process can feel overwhelming—especially with so many unknowns. But it doesn’t have to be. With the right guidance and preparation, you can approach your home purchase with clarity and confidence. This article will walk you through a high-level overview of what lenders look for and what you’ll need to consider in the early stages of buying a home. Once you’re ready to move forward with a pre-approval, we’ll dive into the details together. 1. Are You Credit-Ready? One of the first things a lender will evaluate is your credit history. Your credit profile helps determine your risk level—and whether you're likely to repay your mortgage as agreed. To be considered “established,” you’ll need: At least two active credit accounts (like credit cards, loans, or lines of credit) Each with a minimum limit of $2,500 Reporting for at least two years Just as important: your repayment history. Make all your payments on time, every time. A missed payment won’t usually impact your credit unless you’re 30 days or more past due—but even one slip can lower your score. 2. Is Your Income Reliable? Lenders are trusting you with hundreds of thousands of dollars, so they want to be confident that your income is stable enough to support regular mortgage payments. Salaried employees in permanent positions generally have the easiest time qualifying. If you’re self-employed, or your income includes commission, overtime, or bonuses, expect to provide at least two years’ worth of income documentation. The more predictable your income, the easier it is to qualify. 3. What’s Your Down Payment Plan? Every mortgage requires some amount of money upfront. In Canada, the minimum down payment is: 5% on the first $500,000 of the purchase price 10% on the portion above $500,000 20% for homes over $1 million You’ll also need to show proof of at least 1.5% of the purchase price for closing costs (think legal fees, appraisals, and taxes). The best source of a down payment is your own savings, supported by a 90-day history in your bank account. But gifted funds from immediate family and proceeds from a property sale are also acceptable. 4. How Much Can You Actually Afford? There’s a big difference between what you feel you can afford and what you can prove you can afford. Lenders base your approval on verifiable documentation—not assumptions. Your approval amount depends on a variety of factors, including: Income and employment history Existing debts Credit score Down payment amount Property taxes and heating costs for the home All of these factors are used to calculate your debt service ratios—a key indicator of whether your mortgage is affordable. Start Early, Plan Smart Even if you’re months (or more) away from buying, the best time to start planning is now. When you work with an independent mortgage professional, you get access to expert advice at no cost to you. We can: Review your credit profile Help you understand how lenders view your income Guide your down payment planning Determine how much you can qualify to borrow Build a roadmap if your finances need some fine-tuning If you're ready to start mapping out your home buying plan or want to know where you stand today, let’s talk. It would be a pleasure to help you get mortgage-ready.

Mortgage Advice to Help You Through a Separation

By Bill Fraser • October 14, 2025
With the latest stats claiming that about half of marriages end in divorce and with around three-quarters of Canadians being homeowners, it’s important to know how to handle your mortgage if you decide to separate. Here’s a quick list of things to consider. Keep making your payments. A mortgage is a legally binding contract between you and the lender. It doesn’t take marriage into account. If your name appears on the mortgage, you're responsible for making sure the regular payments are made. A marital breakdown does not give you an excuse not to make your mortgage payments. If, during your marriage, you've relied on your spouse to make the mortgage payments and you aren’t certain payments are being made after separating, it's in your best interest to contact the lender directly to verify your mortgage is being paid. If payments aren't being made, it could affect your credit score or worse; the lender could start foreclosure proceedings. There is always a financial cost to break your mortgage. When working through how to split your finances, you decided to either refinance your mortgage, remove someone from the title, or sell the property, keep in mind that you will incur legal costs. If you’re in the middle of a term, the penalty for breaking your mortgage might be significant, especially if you have a fixed-rate mortgage. It’s certainly worth contacting your mortgage lender directly to verify the cost of breaking your mortgage. Having that information accessible when writing out your separation agreement will provide increased clarity. Listing your marital status as separated or divorced. When completing a mortgage application for securing new mortgage financing, when you list your marital status as separated or divorced, you can expect that a lender will want to see your legal separation agreement or your divorce papers. The lender wants to make sure you aren’t responsible for support payments. So if you haven’t finalized the paperwork, expect delays in securing mortgage financing. It could be harder to qualify for a new mortgage. With the separation of assets also comes the separation of incomes. If you qualified for your existing mortgage on a double income, you might find it hard to maintain the same quality of lifestyle post-separation. This is where careful planning comes in. Working closely with your independent mortgage professional will ensure you understand exactly where you stand. You’ll want to put together a plan for how to handle the mortgage on the matrimonial home. Purchasing the matrimonial home from your ex. There are special considerations given to people going through a separation to buy out the matrimonial home. Instead of looking at the transaction like a refinance where you can only borrow up to 80% of the property’s value, lenders will consider one spouse buying out the other up to a 95% loan to value ratio. This comes in handy when dividing assets and liabilities. Navigating the ins and outs of mortgage financing isn’t something you have to do alone. If you're going through a separation and you’d like to discuss all your mortgage options, please connect anytime. It would be a pleasure to walk you through the process.