29 Mar

Why People are Working with Mortgage Brokers!

General

Posted by: Cory Kline

1. We can meet in person or everything can be done online.
2. We can quickly set you up with a plan that works towards your goals.
3. You will have transparency and receive detailed email updates. We can also be reached by phone for updates.
4. We can provide you with the pro’s and con’s of each lender and how their penalties are structured.
5. We have access to cost efficient lawyers who can help you complete your refinance or purchase. Some lenders even offer free Legals!
6. Documents can be emailed directly to me, which makes the process easy.
7. We have access to over 35 different lenders, not just one. As well as private lenders.
8. We will provide you with options to choose from.
9. We work for you, not for the lender.
10.We will guide you through the application process
11.We save you valuable time by shopping for you. We offer very competitive rates.
12.We pull your credit once — if you go to multiple banks, you will have multiple credit pulls.

Lets Talk! Call Cory at 705-794-1283 or email:info@YourPlan.ca

29 Mar

Common Misconception with Mortgage Financing!

Mortgage Tips

Posted by: Cory Kline

It is a common misconception that you will qualify for a mortgage in the future because you have qualified for a mortgage in the past.

This is not accurate!

Do. Not. Assume. Anything.

Even if your financial situation has remained the same or has improved, securing mortgage financing is more difficult now than in recent years.
The latest changes to mortgage qualification by the federal government has left Canadians qualifying 20-25% less. On top of that, guidelines that lenders would use in determining your suitability have been replaced with non-negotiable rules and declarations.

As mortgage professionals, we keep up to date with the latest trends going on in the mortgage world by understanding lender products and staying attentive to evolving changes.

Please note that although your mortgage terms might be portable, the “approval” itself is not portable, and regardless of the situation the borrower must fully requalify for the mortgage on the new home, even if they just want to move their existing mortgage to the new home.

Email Cory today to start your plan at info@YourPlan.ca

#Mortgages #KnowingTheMarket #MortgageRules #HelpingCanadians #MortgageQualification #MortgagePortability #YourPlan

26 Mar

It Might be a Good Time to Refinance!

General

Posted by: Cory Kline

Many of our clients are choosing to refinance and take advantage of todays low rates. In the past few weeks, Mortgage rates have come back down. Before rates go back up, it might be a good time to review your current mortgage and possibly get into a lower rate mortgage. You can even use a little bit of equity to pay off high interest debt or buy a rental property.

26 Mar

Interest rate cut more likely than hike in 2019

Latest News

Posted by: Cory Kline

When the Bank of Canada decided this month to keep its benchmark interest rates stable at 1.75%, it signalled the weakening economy makes it unlikely a rate increase is anywhere on the horizon.

Inflation is not where it should be, we’re not in a deflation mode right now, but inflation is under control and there’s no real need for them to raise interest rates.

Because many of the economic indicators are pointing downward, this puts the bank in a position where it can’t raise rates. This makes refinancing a more attractive option for some homeowners this year.

A lot of economists are saying that Canada is heading back into another crisis, which is an indicator that rates may drop again. This new norm will probably stay around for a little while, but rates will eventually go up. And when it goes up, people have to be obviously prepared for it.

So, for now, homeowners shouldn’t worry too much about a sudden jump in rates. While this may be a new normal, if the economy begins a turnaround, they should be ready for a bump in rates, but I don’t think it’s going to happen the next couple of years.

Usually, Canada’s economy runs almost parallel to that of our southern neighbour’s. However, the two economies seem to have gone their separate ways lately.
There’s a divergence right now that is going to occur between the Canadian and U.S. economies. When people talk about the U.S. sneezing and Canada catches a cold—this is not what’s happening right now. There’s a divergence in the interest rates. Where in the States rates are going up, in Canada, rates cannot go up because of the way our economy is actually going.

Thank you Terry Kilakos for your insight.
#MortgageRates #Refinance

14 Mar

3 “Rules of Lending” – What Banks look at when you apply for a Mortgage…

Mortgage Tips

Posted by: Cory Kline

Buying a home is usually the biggest purchase most people make and there are a lot of factors to consider. Our job is to provide you with a much information (as you can handle!!) so you make the best decision based your particular situation.

The 3 “rules of lending” focus on determining the maximum size of mortgage that can be supported by your provable (what you paid taxes on) income.

You need to consider two affordability ratios:

Rule #1 – GROSS DEBT SERVICE (GDS) Your monthly housing costs are generally not supposed to exceed 36-39% of your gross monthly income. Housing costs include – your monthly mortgage payment, property taxes and heating. If you are buying a condo/townhouse, the GDS will also include ½ of your condo fees. The total of these monthly payments divided by your “provable” gross monthly income will give you your Gross Debt Service.
Mortgage payments + Property taxes + Heating Costs + 50% of condo fees / Annual Income

Rule #2 – TOTAL DEBT SERVICE (TDS) Your entire monthly debt payments should not exceed 42-44% of your gross monthly income This includes your housing costs (GDS above) PLUS all other monthly payments (car payments, credit cards, Line of Credit, additional financing, etc.). The total of all your monthly debts divided by your “provable” gross monthly income will give you your Total Debt Service.
Housing expenses (see GDS) + Credit card interest + Car payments + Loan expenses / Annual Income

What about the other 56% of your income?? This is considered to be used up by ‘normal’ monthly expenses including: taxes, food, medical, transportation, entertainment etc.)

Rule #3 – CREDIT RATING Everyone who will be on title to the property will need to have their credit run. Your credit bureau is important because it shows the lenders how well (or not) you have handled credit in the past. This gives them an indication of how you will handle credit in the future, and will you be a good risk and make your mortgage payments as promised. If you handle credit well, you will have a high Credit Score and get the best interest rates from the banks/lenders. If you have not handled credit well, and have a poor credit score, you will either be charged a higher interest rate or your application will be declined.

5 Mar

Promotion Starts Today!!

Mortgage Tips

Posted by: Cory Kline

CALLING ALL REFIANCES AND SWITCHES!!! 

Promotion starts today….FREE LEGALS, APPRAISAL AND CASH BACK!!!!

Whatever your home financing needs…there’s is an opportunity to save!

Must close by Sept 30, 2019

PURCHASE CASH BACK AVALIABLE AS WELL!

Cory Kline, AMP
Mortgage Planning Since 1998
DIRECT: (705) 794-1283

APPLY ONLINE : www.MortgageAndLifestyle.com/how-to-apply-mortgage

Mortgage Agent, FSCO# M09001239  HEAD OFFICE: Neighbourhood Dominion Lending Centres, Brokerage FSCO Lic.# 11764, Independently Owned & Operated, 1140 Stellar Drive, Newmarket, ON L3Y 7B7