The right way to buy a home for your adult kids

[Globe and Mail - September 10, 2019] When Ashton Paul was looking for a larger home to settle down, he turned to his parents for help. Mr. Paul, 35, had already proven he could handle the expenses that come with home ownership. In 2009, he gave his parents $70,000 toward a condo they bought for him as an investment property near the Rogers Centre in downtown Toronto. Mr. Paul covered the expenses, including the mortgage, condo fees and insurance, until deciding [...]

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Buying costs

[December 18, 2018 - Real Estate Board of Greater Vancouver] If you’ve decided to buy a home, it’s important you understand all the costs involved in addition to the price you're paying for the property. Mortgage applicationLenders may charge a mortgage application fee, which will vary depending on the lending institution. Mortgage insuranceThe federal government requires high-ratio mortgages with less than 20% down payment to be insured against default. The cost ranges between 0.60 to 3.85 per cent of the mortgage amount which [...]

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The pros and cons of reverse mortgages

[Source: CTV -May 28, 2018] With the high value of real estate, many people have a lot of equity in their properties, making them house rich and cash poor. That may have some retirees considering a reverse mortgage to help make ends meet. But experts say you should make sure you understand the pros and cons of this type of loan before making a decision. If you’re over 55 years old you may qualify for a reverse mortgage if you have [...]

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Why Variable Rate drops are creating a surge in activity

Why Variable Rate drops are creating a surge in activity This Spring we’re seeing lenders getting aggressive with their pricing for variable rate mortgages: a sign that lenders are fighting for market share, making it a great time to be shopping for a mortgage! First a reminder of the difference between fixed vs variable.  Fixed rates are often well suited to first-time buyers or those who haven’t owned a home for long because they want to know with absolute certainty what [...]

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What is the Qualifying Rate?

[Source: Invis, May 3, 2018] You’re probably aware that there have been many mortgage rule changes over the last several years, and you’re almost certainly affected whether you’re an existing homeowner or first-time buyer. These rules are designed to ensure a stable long-term housing market, and to make sure Canadians can handle their debt should rates begin to rise. As a result of the rule changes, lenders must ensure that you can handle payments at a certain qualifying rate. That rate [...]

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“Breaking Bad – News” – Big Changes Ahead

[Source: Synergy Mortgage, October 18, 2017] Stringent NEW Canadian Mortgage Rules take affect January 1st, 2018. Office Of The Superintendent Of Financial Institutions (OFSI) has finalized NEW mortgage rules applicable on all federally regulated banks.  The new rules officially start January 1, 2018.  This will dramatically change the lending landscape. The new rules apply to all bank mortgages and will make borrowing more difficult even for clients who have substantial down payments, strong income and excellent credit.  Alternative lenders with relaxed qualification [...]

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What’s the Average Value of a New Mortgage in Vancouver?

[Source: REW, August 8, 2017] Number of new mortgages across Canada and in BC rose in 2016, CMHC reports – but Vancouver loan amounts decrease. With Greater Vancouver home prices increasing exponentially each year and now at record highs, there is a widespread – and understandable – assumption that most buyers must be taking out huge mortgages to afford real estate in the region. However, the average value of a new mortgage loan in the Vancouver Census Metropolitan Area (CMA) in 2016 [...]

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Home Buying Costs

[Source: Real Estate Board of Greater Vancouver, May 2017] If you’ve decided to buy a home, it’s important you understand all the costs involved in addition to the price you're paying for the property. Here’s an overview. Buying costs Mortgage application Lenders may charge a mortgage application fee, which will vary depending on the lending institution. If you are borrowing part of your down payment through the BC Home Owner Mortgage and Equity (HOME) Partnership Program, there will be additional fees. Mortgage insurance As of October 17, [...]

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How to Turn Home Equity into Opportunity

[By Chana Fay Charach, MB, April 10, 2017] Synergy Mortgage can help you refinance your home to potentially obtain lower interest rates and / or better terms with a new mortgage. You may also consider refinancing your rental properties, or 2nd homes. Purpose and Benefits of a Refinance: • Consolidate your debts: pay off high interest credit cards and other debts • Cash Equity: use your cash for investment purposes and/or personal spending such as a vacation • Renovations: home improvements, and repairs • Major purchase: [...]

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