It PAYS to shop around.
Many Canadian homeowners pay too much for their homes because they are not getting the best mortgage financing available in the market.
The mortgage process can be intimidating for homeowners, and some financial institutions don't make the process any easier.
But I’m here to help!
I’m a VERICO Mortgage Advisor and I’m an independent, unbiased, expert, here to help you move into a home you love.
I have access to mortgage products from over forty lenders at my fingertips and I work with you to determine the best product that will fit your immediate financial needs and future goals.
VERICO mortgage specialists are Canada’s Trusted Experts who will be with you through the life of your mortgage.
I save you money by sourcing the best products at the best rates – not only on your first mortgage but through every subsequent renewal. So whether you're buying a home, renewing your mortgage, refinancing, renovating, investing, or consolidating your debts — I’m the VERICO Mortgage Advisor who can help you get the right financing, from the right lender, at the right rate.
Rent vs. Buy - Five Year Scenario
No matter your situation, one of the main necessities in life is having a place that you, and possibly your family, can call home.
Given this assumption, it is probably safe to assume that the Rent vs. Buy debate is something you have thought about or discussed with family,friends and colleagues.
As a Mortgage Professional I like to let the numbers do the talking. Take a look at these two Five Year Plan scenarios:
Purchase Price of home: $250,000
Min. down payment required: $12,500
Five year fixed rate as of Feb. 21, 2014: 3.19%
Mortgage Amortization: 25 years
Monthly Principle and Interest Payment: $1,178.79
Estimated Monthly Property taxes: $200
Total Monthly Payment: $1,378.79
Estimated Annual Appreciation of Home (3% based onaverage for HRM):
$250,000 * .03 = $7,500
Estimated Value of home at the end of your Five year term(not compounding):
$250,000 + ($7,500 * 5) = $287,500
Balance owing after Five years based on Monthly payments:
Equity accumulated after Five years:
Monthly Rent: $1,000
Monthly Rent paid over five years: $60,000
Monthly Rent: $1,200
Monthly Rent paid over five years: $72,000
Monthly Rent: $1,400
Monthly Rent paid over five years: $84,000
I am sure we can all make the conclusion that we would rather have several thousands of dollars in Equity, as opposed to paying several of thousands of dollars to cover someone else’s mortgage.
However some of you may be saying to yourself this is great, and I can easily afford the mortgage payment, but the main obstacle to achieving this five year plan, is coming up with the start-up funds (i.e. down payment,Closing costs).
This is where setting up a consultation with an experienced Mortgage Professional can help get the ball rolling. There are different options available,depending on your qualifying details, to get you on track to purchase sooner then you may think.
So whether you feel like this is your time to buy, want to setup a plan, or are just interested in gathering information and options, I work for you and am here to help!
C – (902) 237 4472
OSFI tightens mortgage rules Edit
The Office of the Superintendent of Financial Institutions Canada (OSFI) published the final version of Guideline B-20 Residential Mortgage Underwriting Practices and Procedures. The revised Guideline, which comes into effect on January 1, 2018, applies to all federally regulated financial institutions.
The changes to Guideline B-20 reinforce OSFIs expectation that federally regulated mortgage lenders remain vigilant in their mortgage underwriting practices. The final Guideline focuses on the minimum qualifying rate for uninsured mortgages, expectations around loan-to-value (LTV) frameworks and limits, and restrictions to transactions designed to circumvent those LTV limits.
OSFI is setting a new minimum qualifying rate, or stress test, for uninsured mortgages.
Guideline B-20 now requires the minimum qualifying rate for uninsured mortgages to be the greater of the five-year benchmark rate published by the Bank of Canada or the contractual mortgage rate +2%.
OSFI is requiring lenders to enhance their loan-to-value (LTV) measurement and limits so they will be dynamic and responsive to risk.
Under the final Guideline, federally regulated financial institutions must establish and adhere to appropriate LTV ratio limits that are reflective of risk and are updated as housing markets and the economic environment evolve.
OSFI is placing restrictions on certain lending arrangements that are designed, or appear designed to circumvent LTV limits.
A federally regulated financial institution is prohibited from arranging with another lender a mortgage, or a combination of a mortgage and other lending products, in any form that circumvents the institutions maximum LTV ratio or other limits in its residential mortgage underwriting policy, or any requirements established by law.
To find out how this will affect you, please contact me at anytime.
Easy ways to keep more money in your pocket
It goes without saying that most of us would appreciate a little more money in our pockets. Believe it or not, its actually an achievable goal. In fact, a few simple tips can help you uncover meaningful savings each and every month. Need some ideas? Heres a little inspiration to get you started:
1. Pack food from home for lunches and snacks. Skip sandwich bags and opt for reusable containers, cutlery and drink bottle.
2. Switch light bulbs to CFLs. On average, it costs $250 a year in energy costs to light your home with incandescents. Save $150 by going with CFLs. Theyre more expensive initially, but will last 10 times longer.
3. Review and negotiate your service plansphone, internet, cable and television content.
4. Invest in topping up your insulation. Attic insulation can settle and compact over time, diminishing its original R-value and increasing heating/cooling costs. Topping it up with a quality batt insulation, like Roxul Comfortbatt, will immediately help improve the comfort of your home and reduce your monthly energy bills.
5. Pay off credit card debt and swap cards for lower interest rate options.
6. Install low-flow water fixtures to cut down on excess water consumption.
7. Lower your thermostat by two degrees in cold weather and increase it by two degrees in warmer weather.
8. Launder your clothes in cold water and at off-peak times.
9. Avoid impulse shopping. Stick to your list and avoid window shopping, which tends to draw buyers in.
10. Save money on entertainment by looking for free activities. For options in your area, try a simple internet search. You might be pleasantly surprised at the wide variety of activities and entertainment available for no or low cost.
Collectively employing the tips above could potentially add up to thousands in annual savings, proving that sometimes change can be a good thing.