Negative Interest Rates and their effect on Canadian homes

Negative Interest Rates' Impact on Housing

There has been a lot of talk and some controversy about the recent news that Canada’s central bank is open to the possibility of negative interest rates. Financial industry professionals have been panicking and making many different statements about this possibility. If you don’t know what negative interest rates exactly mean, don’t worry, as we will be explaining that. What interests us the most is the effect negative interest rates can have on the local housing market. Continue reading

Have you considered refinancing to pay off debt?

refinance

With the high cost of holiday gift-buying and entertaining now behind you, this may be the perfect time to get the New Year off to a fresh start by refinancing your mortgage and freeing up some money to pay off that high-interest credit card debt.

By talking to mortgage professional, you may find that taking equity out of your home to pay off high-interest debt associated with credit card balances can put more money in your bank account each month. Continue reading

New Down Payment Rules For Home Buyers

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Are you thinking of buying a new house in 2016?  Well if the price of your dream home is $500,000 or more, you will now have to put a down payment of at least 10%, up from 5%.  On Friday December 11, 2015, the Liberal government announced a change for insured mortgages.  According to the article in The Globe and Mail, the new rules will take into effect February 16, 2016. Continue reading

5 Steps to a Speedy Credit Score Boost

boost-your-credit-score

In today’s economic climate of tighter credit requirements and increased unemployment rates taking their toll on some Canadians, there’s no doubt that many people may not fit into the traditional banks’ financing boxes as easily as they may have just a year ago.

Your best solution is to consult your mortgage professional to determine whether your situation can be quickly repaired or if you face a longer road to credit recovery. Either way, there are solutions to every problem. Continue reading

Top Mortgage Application Tips: A Complete Look at Buying a Home

mortgage-application-form

In this 12 Part series of “A Complete Look at Buying a Home“, Part 5 looks at Top Mortgage Application Tips.

For the majority of us, purchasing a home will require a mortgage. After various credit and employment checks, lenders will generally give you an idea of how much of a mortgage you qualify for so that you can confidently begin the exciting journey of house shopping. However, unforeseen financial or credit problems (an error on your credit report for instance) can make the road to home ownership a bumpy one. Here are some excellent tips every buyer should follow prior to securing a mortgage. Continue reading

A Complete Look at Buying a Home: (Part 1) Top Home Buying Questions and Answers

thinking of buying

In this section of “A Complete Look at Buying a Home“, Part 1 and Part 2 talks about uncovering the truth about buying a home.

When embarking on the exciting journey of home ownership, buyers must consider a multitude of factors when deciding on a suitable property to purchase. Things like market conditions, affordability, interest rates, and location are just some of things to ponder. Home ownership is a big step and must be approached with a plan. 5 of the most common questions potential buyers face are:

  • Is now the right time to buy?
  • What type of home is right for me?
  • Do I need a real estate agent?
  • Should I be shopping for the lowest mortgage interest rate?
  • Should I buy a home?

Continue reading

Fixed Rate or Variable Rate

things-to-think-about-fixed-or-vaiable-The decision to choose a fixed or variable rate is not always an easy one. It should depend on your tolerance for risk as well as your ability to withstand increases in mortgage payments. You can sometimes expect a financial reward for going with the variable rate, although the precise magnitude will ebb and flow depending on the economic environment.

Fixed rate mortgages often appeal to clients who want stability in their payments, manage a tight monthly budget, or are generally more conservative. For example, young couples with large mortgages relative to their income might be better off opting for the peace of mind that a fixed-rate brings. Continue reading