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Category Archives for Mortgage Broker Victoria BC Trends

mortgage broker victoria

What’s on your financial bucket list?

Your bucket list includes all the goals you want to achieve, and the life experiences and dreams you want to fulfill. It’s often viewed as a “to-do” list for the golden years of retirement, but your bucket list can also include items that you can fulfill now or in the near future. Financial resources are often needed to knock items off your list, which is why your mortgage should always be a top focus. Your mortgage is the cornerstone of a sound financial plan, and can help you take control of your financial future so you’ll be better able to achieve all that is on your list. Here are some tips to help you do just that! · Speed up your mortgage paydown. Try to find a way to use your prepayment privileges every year… at least once. Tax refund, financial gift, small inheritance… or just being more disciplined with your […]

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mortgage broker victoria

No Bank of Canada Rate Change – Dec 2015

The Bank of Canada announced today (Dec. 2, 2015) that it is holding its key rate steady for the third straight time, noting “the risks around the inflation profile remain roughly balanced over the projection horizon. Vulnerabilities in the household sector continue to edge higher while overall risks to financial stability are evolving as expected.” Taking all of these developments into consideration, the Bank judges the current stance of monetary policy remains appropriate. Looking forward to 2016, the Bank’s outlook is positive saying it expects economic growth to move to a “rate above potential”. Great news if you’ve got a variable-rate mortgage, need a new mortgage, are renewing, or want to consolidate debt at the lowest cost funds. The next rate-setting day is January 20, 2016. Get in touch today for help determining whether a fixed or variable-rate mortgage will work best for your situation. We regularly receive short-term rate […]

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Your Home’s Fall Checklist…

It’s time to start thinking about preparing your home for the colder weather; a few little things can make a big difference for your home and save you time and money later. Get your mind in the gutters so they are checked and cleaned, and don’t forget the downspouts. Plug any gaps and cracks around windows and doors with weather-stripping and caulking. If there is a door between your house and garage make sure it closes completely. Clean your patio furniture before you store it away, you’ll be happy you did in the spring. Drain and store garden hoses. Replace your furnace filters if you haven’t done so in the last 3 months. A furnace physical is important; have a professional inspect your heating system. Keep the fires burning by checking the chimneys for obstructions such as nests. Consider having the wood-burning fireplace and stove flues and chimneys professionally inspected […]

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mortgage broker victoria

Financial Comfort & Joy

It’s tempting to overspend at this time of the year so take a quick assessment of your financial situation before you get started on your holiday shopping. It can help make sure you don’t suffer from “plastic shock” when your credit card bills arrive in January. Are you carrying too much credit card or other high interest debt? Are you struggling to keep up with your monthly obligations? If so, it might be worth having a conversation about streamlining your finances now, before the holidays are upon us. You may be able to take advantage of today’s great rates to consolidate your debts into a smart plan with sensible payments. If you are worried that your locked-in mortgage means your options are limited, I can do a quick review. There’s a good chance the savings each month will far outweigh any penalties. Give me a call. I love to help […]

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mortgage broker victoria

Five reasons why you should let renters help pay your mortgage.

Are you a savvy homebuyer? Then let renters help pay your mortgage. Recently Canada Mortgage and House Corporation (CMHC) announced that when qualifying for a mortgage, homeowners could now count all of the income from their legal secondary unit(s) instead of the previous 50 per cent, making it easier to qualify and giving this home buying option a boost. Whether you’re a first-time homebuyer feeling your way into the housing market or an existing one looking to lower your mortgage payment, here are five reasons why having renters help pay your mortgage is such an appealing option: Some first-time buyers want to move directly into a single-family home and get mortgage assistance using a rental suite instead of purchasing a condo at a lower cost.  If you want to get your foot into the world of real estate without breaking the bank, a home with a rental suite can be […]

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mortgage broker victoria

Pre-Payment Privileges – Speed up Your Mortgage Pay-Down!

The prepayment privileges that come with your mortgage are there for a reason – they help you pay off your mortgage faster and reduce your interest costs. Prepayment privileges differ from lender to lender (up to 15%, 20% + 20%, double up, lump sum). Take the 20 + 20 privilege; it allows an annual mortgage payment increase of up to 20% of the current payment. The second 20 allows a yearly lump sum payment of up to 20% of the original principal.  Example: $200,000 mortgage amortized for 25 years at 3.5%.  Put a $2,000 lump sum each year on your principal and you’ll pay off your mortgage in 20 years and save $21,726 in interest. Or increase your monthly payment by $200 and you’ll pay off your mortgage in 19 years and save $23,937 in interest.  If you can do both, all the better; you’ll save more and pay your […]

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mortgage broker victoria

No Bank of Canada Rate Change – Sep 2015

The Bank of Canada announced today that it is holding its key rate steady at 0.50 per cent as “the stimulative effects of previous monetary policy actions are working their way through the Canadian economy.” The Bank had cut the benchmark rate twice earlier this year as the economy faltered with falling oil prices. Great news if you’ve got a variable-rate mortgage, need a new mortgage, are renewing, or want to consolidate debt at the lowest cost funds. The prime rate will likely remain unchanged. The next rate-setting day is October 21. Get in touch today for help determining whether a fixed or variable-rate mortgage will work best for your situation.

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mortgage broker victoria

When you’ve got “rate envy”, does it make sense to refinance?

Who would have believed that mortgage rates would have such a continued downward trend? Mortgage shoppers are looking at some of the lowest rates in history, and many homeowners with existing fixed-term mortgages are experiencing some “rate envy” about today’s rock bottom rates. It might be worth a conversation about your options. Typically, we think of a fixed term mortgage as a non-negotiable contract. And it’s true that there are financial penalties to re-negotiate. But, many clients have been asking for a mortgage analysis – a detailed look at the penalties versus the payoffs – to determine whether it’s worth refinancing. What does it cost to get out of your existing mortgage? Generally, you can expect to pay the greater of either a) three months’ interest, or b) the interest-rate differential. The interest rate differential can be high in some cases; your mortgage lender will expect you to pay them […]

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mortgage broker victoria

Gold Mine Mortgage

Your Mortgage Could be a Goldmine of Potential Savings A penny saved is a penny earned! By making the right decisions, your mortgage could be a goldmine of potential savings. With access to a broad spectrum of over 50 lenders, I’ll comparison shop on your behalf so you get the right combination of mortgage features and privileges that best meet your current needs, and offer you substantial opportunities to save money over the life of your mortgage. Together we’ll look at term, fixed vs. variable, pre-payment and payment options, portability, assumability and any restrictions, penalties and fees. Using your prepayment privileges and choosing a mortgage that has the most fair penalty should you want to get out of your mortgage early are tried-and-true ways to save money on your mortgage. If you are like most homeowners, you are focused – for good reason – on finding the best possible rate. […]

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mortgage broker victoria

Investing in Real Estate – How will your rental income be treated?

Planning to invest in real estate? There is a lot to know and plan for if you want to maximize your capital and growth potential. It is very important to understand lender policies. This will not only allow one to maximize capital, it will also allow the investor to maximize the number of properties you can purchase. Since cap space and debt service limits are the two major areas that lenders look at when qualifying a potential borrower. Here we illustrate a simple view as to how rental income is calculated by the different lenders to determine one’s debt service limits. The debt service limit is a figure that a lender uses to decide if a borrower’s income covers enough of his/her debt load. Different lenders will have slightly different qualifications for this, but a good rule of thumb is to have your monthly expenses be 42% of your total […]

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mortgage broker victoria

TD Bank Takes Heat from CBC for Collateral Mortgages

***Courtesy of Canada Mortgage Trends archives. Collateral charge mortgages got more bad press on Friday after CBC’s Marketplace ran this report. The gist of it is that collateral mortgages “effectively trap you at the bank,” says the CBC (which is not entirely true…more on that below). TD Canada Trust, which sells only collateral charge mortgages, was caught in CBC’s crosshairs. An undercover reporter went into a TD branch with a hidden camera, asking the mortgage rep what made TD mortgages different than those at other banks. After being questioned in four different ways, the TD rep finally disclosed that TD’s mortgage was a collateral charge, saying: “This could be considered a con for clients who want flexibility to have the choice of transferring out (to another lender).” CBC approached TD corporate for comment, but TD apparently wouldn’t respond about its collateral mortgages on camera. Collateral charges are designed so that […]

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mortgage broker victoria

Top Reasons Canadians Refinance

The Top Reasons for Choosing low-interest debt Canadians are looking to their mortgages for low-cost funds. According to the Spring 2014 Survey by the Canadian Association of Accredited Mortgage Professionals (CAAMP), for those who qualified to take equity out of their homes (homeowners with at least 20% equity), the average amount withdrawn was $51,000: up from $48,000 in the previous survey. The top reasons for refinancing include: Paying down debt (32%) Renovations (25%) Investments (24%) Purchases or education (12%) Your mortgage can be your best route to low-interest debt. Whatever your need might be, we can crunch the numbers to see if your mortgage is your most cost-effective financing option. We’re your mortgage broker Victoria.  Give us a call and let’s talk. 250-483-5558.  

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mortgage broker victoria

Renovation Return on Investment

HOME RENO ROI: RENOVATIONS THAT PAY OFF Not all reno projects will hit the jackpot, but the right improvements can certainly help boost the value of your home. Even if you are renovating for personal reasons only, it makes good sense to understand how that investment might payback in the value of your home. Here are five renovations that consistently provide a good return on your investment: Updated kitchen – From refreshed cabinet fronts and new hardware to a full-on renovation with new appliances and flooring, your kitchen renovation will be noticed by buyers. A sparkly bathroom – Bathroom renovations are among the most reliable in terms of boosting the overall value of your home. Popular mid-range renovations could include modern shower heads and faucets, and an attractive new sink and counter top. Fresh painting – Whether it’s inside or outside, a fresh coat of paint can work wonders on […]

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mortgage broker victoria

People Don’t Fit in Boxes

If you need a mortgage, you can try and fit into the neat little boxes at the bank, or you can come to us first. At Victoria’s Best Mortgage, we don’t have boxes, we have solutions! Self-employed? We have access to lenders that specialize in self-employed mortgages and understand what they are looking for. Recently separated? We’ve got options that can give both partners a fresh start. Thinking reno? Your mortgage can be your most cost-effective financing option. Retired? Access tax-free cash from your home so you can retire your way. Shaky credit and need a mortgage now? Solutions are available. We can also help you rebuild your credit for later. Thinking like a landlord? Rental properties can be great wealth-builders for ordinary Canadians. Wherever you are in your homeownership journey, call us for some out-of-the-box thinking!

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mortgage broker victoria

A Changing and Complex Mortgage World!

Canada Mortgage and Housing Corp. (CMHC) recently announced that as of May 30th, it will stop insuring both second homes and self-employed borrowers who don’t have standard documents to prove their income. Canada’s private mortgage insurers did not follow suit, although putting limitations on their second-home programs. Other new rules currently under review could mean the complete elimination of cash-back down payments. There have been many changes to the mortgage landscape in the last few years, making it more important than ever to get expert and timely mortgage advice and access to as many options as possible. If you’re concerned about how changing rules might impact your home ownership goals, let’s talk!

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mortgage broker victoria

Time for a Mortgage Review

It may be time for a Mortgage Review! Life doesn’t stand still, which means your mortgage needs may have changed. Here are some reasons to bring your mortgage in for a professional review: You’re ready to buy – next home, investment property or vacation home. You’ve got too much high-interest debt. You want to discuss how you can pay your mortgage off faster. You are interested in your renovation financing options to create your dream home. Bank turned you down for a kitchen renovation. You want to discuss refinancing to lock in today’s great rates. You have a major expense and want to discuss an equity take out strategy. If you haven’t had a professional look at your mortgage in the last 12 months, give us a call so we can set up a no-obligation review!

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mortgage broker victoria

The Green House. Look to Your Mortgage for Energy Savings.

If you buy an energy-efficient home or make energy-saving renovations you may be able to get a savings boost from your mortgage! Canadian mortgage insurers have a program that helps homeowners save when they buy energy-efficient homes or retrofit their existing homes. Homeowners purchasing a qualifying energy-efficient home are eligible for a 10 per cent mortgage insurance premium refund. If you purchase a qualifying $400,000 home with 5 per cent down, you are eligible for a 10 percent refund of your $11,970 in mortgage insurance premiums. That’s $1,197, a substantial savings! Existing homeowners who make retrofits to improve energy efficiency can also apply for this refund.You’ll be required to complete an NRCan energy assessment evaluation pre and post retrofit, and you’ll need to improve your home’s energy efficiency by the required amount. Of course, your home’s energy improvements will also reduce your costs for years to come!

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Does your financial house need a good spring cleaning?

Wouldn’t spring cleaning be so much more gratifying if – somewhere under dusty barbecue parts and outgrown hockey skates – you found an envelope with, say, $5,000 in cash? Wouldn’t that make spring cleaning worthwhile? While you may not uncover a financial windfall when you’re cleaning the garage this spring, a little time and attention to the task of spring cleaning your financial house can be very rewarding. Are you continuously carrying a large monthly balance on your credit cards; financial clutter that can be very costly? You may have a golden opportunity to roll this debt into a low-rate mortgage, giving you big interest cost savings, and greatly improving your monthly cash flow. Worried about penalties? Don’t think it can make much difference? Think again. It can be as good – or better – than finding the $5,000 envelope of cash in your garage. If you have enough equity […]

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