Tag Archives: Housing Prices

Making a Budget

Make a budget and find out the best ways to manage your mortgage money better

We recently took a look at the expenses beyond securing a low mortgage rate, the purchase price that you should anticipate to pay, and the expenses related to moving in. Now it is time to have a look at your ongoing month-to-month expenses, ways to pay off your Canadian mortgage faster, and the renewal process. This handy checklist will help keep you organized.

Budgeting for Home Expenses

Budgeting for home expenses calls for organization and some degree of restraint. Also, you will want to have funds reserved for unanticipated maintenance expenses.

Monthly expenses includes things like:

Property taxesCanadian dollars in a piggy bank studio cutout
Maintenance and upkeep
Insurance
Mortgage payments
Heating and cooling
Hydro
Condo fees (if applicable)
Internet
Water
Cable
Telephone
Appliance rental (if applicable)

Budget Your Monthly Expenses

Beyond the expense of your monthly best mortgage rate, it  is essential that you are aware of exactly what you are spending and where you are able to cut expenses. Budgeting can be time consuming and tedious! Making use of an online budgeting tool like Mint.com will help you save money and time as it automatically tracks your expenses and allocates them against your budget.

How Can I Save Money?


High Interest Savings Account
Make your savings work harder for you.

Save Money on Credit Cards
Altering your credit card can help save you money by providing you with a lower interest rate.

Paying off Your Mortgage Faster            
Having your very own house is both thrilling and gratifying. Spend some time putting together a strategy to pay it off as quickly as possible. There’s no freedom like financial freedom.

 

How Accelerated Payments Can Fast Track Your Financial Freedom

Fast track your mortgage with these easy tips.

There are options available to help you enjoy a mortgage-free lifestyle sooner rather than later.

Let’s look at the Different Types of Mortgage Repayment Options

  • Monthly Mortgage Payments
    • The traditional mortgage payment; where the payments are made monthly on the same day each month.
  • Bi-Weekly Mortgage Payments
    • You make payments every second week on the same day.
  • Bi-Weekly Rapid Mortgage Payments
    • Also referred to as accelerated bi-weekly mortgage payments every two weeks and allow you to pay off your mortgage quicker by making an extra payment annually.
  • Weekly Mortgage Payments
    • Making an equal payment each week throughout the month.
  • Weekly Rapid Mortgage Payments
    • Similar to bi-weekly rapid best mortgage rate payments– you make slightly larger payments which in total is an extra payment being made throughout the year.

How does this save me money on my mortgage?

Paying off your low mortgage rate using either a bi-weekly rapid, or a weekly rapid payment schedule can save you interest. For instance, you would end up making 26 ‘half’ payments, the equivalent to 13 ‘full’ payments.

Being mortgage free five years sooner may be a reality!

Accelerated Payments are NOT for everyone

While accelerated Canadian mortgage rate payments prove to pay off your mortgage a lot sooner than traditional monthly payments and can save you thousands of dollars, it may not be for everyone.

With accelerated mortgage payments, you are quite literally accelerating to a future of living mortgage free and enjoying financial freedom.

Hot Real Estate Market: Tips For Buyers

Don’t get burned by a hot market

Know Your Budget

It’s a risk for any buyer to get in over their head with too high of a best mortgage rate investment. Remember to consider all costs related to buying a home and owning a home. You will need to make the mortgage payments, pay the utilities, do household repairs, etc.

Know Your Budget for the Future

Interest rates are at a low; inevitably, they will rise. Before you sign a deal, calculate the amount you would be paying a month for your Canadian mortgage rate if rates rose by 2 or 3 percent.

Separate from the Pack

A number of houses attract a large group of buyers and provoke a bidding war. Search for a house that is a 15-minute walk to transit, needs some renovation work, has a shared driveway, or another feature that most buyers might avoid.

Know Your Needs

Make a list of what you truly need. Also, make a separate list for wants. Remember: you can only make a house bigger if you have enough land (and money). While you can always renovate, you can’t fundamentally change a home’s layout or its location.

Stay Cool

Choose an agent who can help you navigate bidding wars and the best low mortgage rate. Make a pact with your partner to keep your price range and must-have items in mind at all times.

Be patient and wait for the right house or the right offer to come your way!

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.

A Look at Housing Affordability

How affordable are homes on the Canadian housing market?

This is the question at the top of every mortgage broker and home hunter’s mind. As mortgage rates begin to climb and home prices creep ever higher, industry leaders are keeping a close eye on affordability in an attempt to avoid a bubble.

It’s no secret that more and more houses are being priced out of the range of first time home buyers. This is especially the case in major metropolitan areas like Toronto and Vancouver. With today’s increasingly expensive markets, what does affordability even mean? We asked Robb Nelson of FamilyLending.ca to help better explain this important measure and how it could impact your mortgage rate and ability to buy. Continue reading →