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 twenty five different 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.
6 MONTHS TO A BETTER BUDGET
One of the challenges with proper budgeting is that ithas to become habitual in order to be effective. You can survive withoutknowing how to budget if you manage to keep more money coming in rather than goingout or have credit cards to cover the gap, but this won't last forever. EmergencyFund The crux of this six-month plan is the emergency fund.Ideally, everyone should have at least one or two months' wages sitting in a moneymarket account for any unpleasant surprises. This emergency fund acts as abuffer as the rest of the budget is put in place, and should replace the use ofcredit cards for emergency situations. You will want to build your emergencyfund as quickly as possible. The key is to build the fund at regular intervals,consistently devoting a certain percentage of each paycheck toward it and, ifpossible, putting in whatever you can spare on top. What'san Emergency? You should only use the emergency money for trueemergencies: like when you drive to work but your muffler stays at home.Covering regular purchases like clothes and food do not count, even if you usedyour credit card to buy them. Downsizeand Substitute Now that you have a buffer between you and morehigh-interest debt, it is time to start the process of downsizing. It’s odd that the naturalsolution to not enough money seems to be increasing income ratherthan decreasing spending, but this backwards approach is very familiar to debtcounselors. The more space you can create between your expenses and yourincome, the more income you will have to pay down debt and invest. This can bea process of substitution as much as elimination. For example, if you buycoffee from a fancy coffee shop every morning, you could just as easilypurchase a coffee maker with a grinder and make your own, saving more moneyover the long term. Focuson Rewards Another trick that will help your budget come togetherfaster is to focus on the rewards. A mixture of long- and short-term goals willhelp keep you motivated. This can be as simple as saving for a small luxury, oreven something bigger like buying a car with cash. Watching these goals slowlybut surely become a reality can be very satisfying and provide further motivationto work harder at your budget. FindNew Sources of Income Why isn't this the first step? If you simply increaseyour income without a budget to handle the extra cash properly, the gains tendto slip through the cracks and vanish. Once you have your budget in place andhave more money coming in than going out, you can start investing to createmore income. Now, it is possible that it will take you more than sixmonths to get your budget balanced out as it all depends on your situation,including how much or what kind of debt you have. But, even if it does take youlonger than six months to get your budget turned around, it is time well spent.
ESTABLISHING CREDIT HISTORY
In order to purchase a home, you must have anestablished credit history. Each time you pay a bill (for your credit card orfor a monthly service such as your telephone or electricity), you areestablishing a credit rating for yourself. A credit rating is a number or scorethat banks, mortgage companies, and other lending businesses use to assess yourlevel of financial responsibility. Paying your bills on time every month, contributes tohaving a good credit rating. If you miss payments, or are often late makingyour payments, your credit rating is probably not as good, and money lendinginstitutions will consider this when you apply for a loan. Numerous factorscontribute to your overall credit score, such as outstanding debt, paymenthistory, severity and frequency of derogatory credit information, and theamount of credit you use compared to what you have available. Also important is the length of your credit history. Formany immigrants, this only begins after entering Canada. To begin to establish a credit history: § Open an individualsavings or chequing account in your name. From this account, your deposits,withdrawals, and transfers will demonstrate that you can handle moreefficiently and responsibly. § Applying for asmaller loan demonstrates responsibility, and will positively affect yourcredit rating over a longer term, once you demonstrate that you can make timelyand consistent payments. § Other forms ofcredit include department store and gasoline credit cards. These are generallyeasier to obtain than major credit cards and, if used responsibly, can alsoserve to enhance your credit rating. § In short, there isno quick way to establish credit. It is much better to go slowly and develop astrong credit record than to apply for too many credit cards or a loan that islarger than you can handle. Mortgages are long-term commitments, so appreciatethat lenders will need proof of longevity and consistency. YourCredit Rating Once you’ve begun establishing your credit history, itis a good idea, and your right as a consumer, to know exactly what your creditrating score is, even if you always pay your bills on time. In Canada, Equifax Canada and TransUnion are the two majorcredit rating companies and will give you a copy of your credit history andoverall credit rating score, usually for a fee. (Source: Genworth Financial / http://www.genworth.ca/mi/eng/home_ownership/credit_history.html)
CREATE VALUE IN YOUR HOME
For investors looking to maximize their return on investment, here’s all you need to know: building an income suite is by far the most profitable home owner reno. How do I increase the value of my property? That’s the question on every home owners mind. There are two key survival strategies. The first is to think long term, have a plan and stick to it. History shows that this plan of action can pay off. The second tactic is to outperform the market. This means ensuring your property increases in value at a greater rate than those in your surrounding market. One way to do that is through renovations – but not all projects are created equal when it comes to generating a return on investment (ROI). Here are the top five “renos for ROI”: 1.Building an income suite Also known as a rental suite, this is by far the most profitable reno a home owner can undertake. Income suites typically have a 150% to 250% ROI. 2.Painting This is an inexpensive way to freshen up a property. Picking neutral tones and doing a good job are key. This simple reno project gives 100% ROI. 3.Renovating Kitchens and bathrooms Kitchens should be bright and spacious with a smart layout. Replacing old appliances with inexpensive and more efficient newer ones also adds a lot of appeal. Bathrooms are equally important. The more you have, the better the ROI. This delivers about 75% to 100% ROI. 4.New Flooring This has a dramatic impact and hard surfaces are the way to go. Laminate flooring is inexpensive, easy to lay, durable and looks great. With modern styles and improved design, it has become the flooring of choice for real estate investors. New flooring can generate an average of 70% to 90% ROI. 5.Light Fixtures and Door Hardware These can reveal the true age of aproperty. Installing proper lighting and a few nifty fixtures in the rightplaces, namely the kitchen and dining room, will brighten up the space and create atmosphere. With the right touch, updating light fixtures and door hardware can generate 60% to 75% ROI. (Source: HGTV.ca / Article by ScottMcGillivray)