Tag Archives: Home Budget

Bank Or Broker?

Who should you consult for your mortgage pre-approval?

Handle your mortgage like every other major purchase– that is, be sure you make the effort to compare rates and shop around. Not every Canadian mortgage rate is the same.

Bank Rates

When you visit a bank, it’s worth bearing in mind that their loan officers are paid to sell you their products. They will do whatever is required of them to keep you from considering other options.

Mortgage Broker

A mortgage broker is a self-employed agent who works only for you. They are qualified professionals that will help you find the most effective mortgage rate for your unique situation. They compare products from a variety of banks and specialty lenders, and arrange the best low mortgage rate for your needs. The broker works for you, the customer, and most importantly, they are completely free. The lenders pay brokers once they close the mortgage deal.

More Reasons Why Mortgage Brokers Are a Great Choice

  • Protect Your Credit Score
    • Brokers help to protect your credit rating by only pulling one credit report and using it for all lenders.
  • Give You Expert Information
  • Save You Money
    • A good mortgage broker can offer tips on how to save money on interest while managing to keep your low mortgage rate payments reasonably priced.

Bank vs. Broker

Which ones suits your needs better– bank or broker?

Types of Mortgages

There are a variety of mortgage products available on the market. Typically, mortgages fall under one of the following three categories, open, closed or convertible. A mortgage broker will help you understand the various options.

Make your mortgage hunt less troublesome– contact a mortgage broker today.

How to Compare Mortgage Rates

Find the best mortgage rate today!

Did you know, homebuyers who hunt for a mortgage rate are most likely to secure a competitive financing option than those who don’t? Studies have shown that consumers who compare mortgage rates and ask questions during the pre-approval process are most likely to save more money.

How Can I Find a Great Mortgage Rate?

As mentioned by the Bank of Canada Discounting in Mortgage Markets study, homebuyers can increase their chances of securing a low mortgage rate:.

  • By collaborating with a qualified mortgage broker.
  • Asking lenders about preferential rates based upon loyalty, age, and finances.
  • People who purchase a house in a nearby city are often offered better deals.

 

Be Cautious of Bank Postings.

When it pertains to finding the best mortgage rate, do not automatically assume that the bank’s rate is the best option. As mentioned by the Discounting in Mortgage Markets study, posted bank rates tend to be the same. It is the negotiating that occurs behind the scenes that often allows mortgage brokers to offer their clients lower rates.

Comparing rates online and exploring the market gives you the power you will need to make an informed decision. Get in touch with a mortgage broker today to begin your rate comparison and enhance your chances of finding a reasonably-priced mortgage product.

Bank Holds Overnight Rate at One Percent

The overnight rate held steady yesterday as the Bank of Canada announced that it would maintain its traget of 1 percent. This leaves the prime lending rate at 3 percent. It’s now been more than two years since the prime rate has increased, giving variable rate mortgage holders the upper hand on higher interest costs. Continue reading →

Consumer Debt Hits A New High

A report released this morning by TransUnion shows that, despite repeated warnings, Canadians are back on the borrowing bandwagon, pushing consumer debt to a new record high.

According to the report, the average Canadian’s non-mortgage debt hit $26,221 in the second quarter of 2012, up $192 from the previous quarter. This is the highest per person debt level since the credit bureau started tracking this type of data back in 2004.

The increase in average debt spanned the country, although Saskatchewan reported a slight dip on a quarterly basis and Alberta recorded a decreased annual debt growth. Continue reading →

Ten Tips for Aspiring Homeowners

Thinking of buying while interest rates are still low? Follow these tips to ensure that your finances are ready for a long-term investment. Continue reading →