The Ownwell Digest can include up to three "opportunities" to help clients understand how to save money and build wealth through their home:
Interest Savings Module – Estimates savings or costs from switching a mortgage.
Purchasing Power Module – Shows how much home the client could afford if they were to sell their existing home and invest the proceeds in a new one.
Access Equity Module – Highlights equity the client could unlock by refinancing.
About the Purchasing Power Module
The Purchasing Power Module estimates the maximum purchase price a client could afford if they sold their current home and reinvested the proceeds in a new property. This estimate does not factor in:
Any additional income or down payment that might increase affordability.
Costs associated with selling the property, breaking the existing mortgage, or other related fees.
Why This Error Message Appears
This error is displayed when the client doesn’t have enough equity to qualify for the mortgage needed to purchase a new home. Common reasons for low equity include:
Minimum Down Payment: The client put down the minimum required on an insured mortgage to purchase their existing property.
Declining Property Value: The value of the client’s property has decreased since it was purchased.
Negative Amortization: The mortgage balance has increased over time due to negative amortization.
What Happens Next?
This issue does not prevent you from sending the Homeownership Digest. If the Purchasing Power Module cannot generate an estimate, it will simply be hidden from the digest.