Paying down your mortgage as early as possible is one of the best suggestions that financial advisers make to their clients.  After all, throwing extra money at the biggest debt you may have can result in big interest savings and being mortgage-free years sooner. Since mortgage payments are made with after-tax dollars, putting extra money down on a debt with an interest rate of 3.49% is equivalent to getting a guaranteed, risk-free return of over 5.0% for most taxpayers. If your... [read more]

It’s the perennial question homebuyers ask themselves and one that’s getting a lot of attention these days: should I go fixed or variable?   And the answer may have just become a little more complicated now that the Bank of Canada (BoC) has raised its overnight target rate to 1.50%.   The rate increase, which affects variable rate mortgages and Home Equity Lines of Credit (HELOCs), as well as the BoC’s statement that suggests more rate hikes are on the way, are... [read more]

  Self-employed Canadians will be happy to hear that CMHC is willing to make some changes that will make it easier to qualify for a mortgage. In an announcement on July 19, 2018, the CMHC has said “Self-employed Canadians represent a significant part of the Canadian workforce. These policy changes respond to that reality by making it easier for self-employed borrowers to obtain CMHC mortgage loan insurance and benefit from competitive interest rates.” — Romy Bowers,... [read more]

 1. The Bank Owns Your Home.  2. Your Estate Can Owe More Than Your Home  3. The Best Time to take a Reverse Mortgage is at the End of Your Retirement  Let’s examine each misconception in more detail.  1. The Bank Owns Your Home.  Over 50% of Canadian homeowners over the age of 65, believe the bank owns your home once you’ve taken a reverse mortgage. Not true! We simply register our position on the title of the home, exactly... [read more]

October 17, 2018 Just a quick update for you on the mortgage market on this rather dreary and wet start to Fall. Currently we are experiencing upward pressure on mortgage rates…now is a great time to get your pre-approvals done and hold today’s rates for up to 120 days.  A reasonable rule of thumb for you to utilize as you figure out your monthly mortgage carrying costs, would be $500/month for each 100k borrowed. Residential Market Commentary – Increases in... [read more]