Obtaining a mortgage or secured line of credit in Canada at the best rates is often a daunting task. We can help! Read the articles below for more info.
Latest News
DoF May Soon Mandate Higher Down Payments + MORE Dec 1st
By the end of January, the Department of Finance may recommend raising the minimum down payment to 10%. That’s what I’m hearing from a high level lender source connected with the DoF, who declined to be identified. Policy-makers are reportedly considering a graduated scale based on either the ho.... More »
Condo surplus a threat to health of Ottawa housing market: CMHC + MORE Nov 7th
A plethora of unsold condominiums is cause for concern for the health of Ottawa’s housing market, especially since more units are set to flood the market in coming months, the Canada Mortgage and Housing Corp. warned Thursday. The federal housing agency said the burgeoning number of condos has.... More »
Why Canadian investors should avoid MLPs Jan 20th
For better or worse, a sizable group of Canadian investors still screens prospective investments by dividend yield. When that search expands beyond Canadian stocks, it often leads into parts of the U.S. market that look attractive on the surface but are poorly understood.
Common examples include .... More »
What New Year’s credit deals promise—and why you should be wary Jan 17th
January is for fresh starts, but too many Canadians are held back by last year’s overspending. Lenders know about new year’s debt-hangovers, so you may be seeing more credit offers in your inbox—but be wary. Used incorrectly, that deal on a balance transfer or sign-up bonus could get you into .... More »
How to keep business and family expenses separate + MORE Oct 1st
Q. As a solo entrepreneur, I always seem to be using my personal credit card and/or line of credit to meet my business obligations. I don’t know what my income will be from one month to the next. My spouse is nervous about the creeping up of our joint line of credit. What do you suggest to keep m.... More »
Mortgage Career: Investors Group
– canadianmortgagetrends.com
Company: Investors Group Position: Mortgage Planning Specialist Location: Kingston, Ontario Mortgage Planning Specialist We’re Investors Group – a Canadian leader in providing personal financial planning services, and dedicated to building lasting client relationships. This is your opportunity to build a career with a leading organization where you can learn, grow and thrive both professionally and […]
Average “Suspect” Mortgage Size Soars
– canadianmortgagetrends.com
Here’s an interesting stat from a recent Globe and Mail story: “In 2013 alone, [First Canadian Title] declined to insure a mortgage twice a week based on the suspicion of fraud; the average mortgage was $360,000.” Oakville, ON-based First Canadian Title (FCT), a leading title insurance company, saw about the same number of suspicious mortgage transactions in […]
Do I need to pay mortgage broker fees?
– moneysense.ca
(Getty Images / Nigel Carse)Q: I applied for a mortgage, but at the last minute the broker told me I’d have to pay $1,534 in mortgage broker fees. This was a totally unexpected cost for me. Do I have to pay the fee?
A: Short answer: It depends on the broker agreement you signed.
While this might hurt, you need to take into consideration why.
Mortgage brokers don’t get paid unless a deal closes. That means if you spend four weeks discussing a mortgage deal with a broker and the bank decides to decline the deal—not only will you be left without a mortgage, but your broker will be left without a paycheque.
To avoid this situation, brokers will “qualify” a client—a term used to determine whether or not you’re the type of borrower most banks would consider a “prime client.” Typically, a qualified client is a person who holds a regular, full-time job, has little or at least manageable debt and a credit history that proves he or she consistently pays the bills.
If you’re a “prime client” you shouldn’t expect to pay a fee to your mortgage broker and you will get offered the most competitive mortgage rates available in the market…
How and when to break your mortgage
– moneysense.ca
(Getty Images/Arda Guldogan)Wondering whether you should break the mortgage in order to refinance at a better rate? Here are some tips on how and when it get it done.
Play: How and when to break the mortgage
The post How and when to break your mortgage appeared first on MoneySense.
Debt repayment vs. RRSP contribution
– moneysense.ca
(Photograph by Cole Garside)Q: My husband and I are close to paying off our mortgage early. Should we put the extra cash in our RRSPs even though I have a workplace pension plan, or should we save the money elsewhere to help buy a larger home in two years’ time?—C.K. London, Ont.
A: I’d argue there’s no rule of thumb when it comes to RRSP contributions versus mortgage repayment. You need to make the decision based on factors such as tax rates, interest rates, investment knowledge, risk tolerance, net worth and expected income in retirement.
Between CPP, OAS and your workplace pension you may very well have enough in retirement. I suggest doing your own thorough calculations or hiring a professional to provide perspective on how much you need in your RRSPs.
But there’s another consideration. Your decision also depends on how much larger and more expensive a home you’re looking to buy in two years. Might you be tight qualifying on the higher mortgage? If so, maybe you are best to focus on debt repayment, as a near-term move might be more important in the grand scheme of things than your long-term retirement plans…
