I have writen a blog titled “3 Questions You Need Answered Before Your Mortgage Renewal” where I answer some frequently asked questions from clients.

To read the full post, click here:  http://www.jillcouture.com/3-questions-you-need-answered-before-your-mortgage-renewal/

As always, you can contact me if you have any questions.

Thanks,

Jill

Jill
604-809-0590
Jill@GetTheFinancing.com

DLC Canadian Mortgage Experts

Imagine this scenario

A person receives a renewal notice from their bank and can’t decide what to do. “Do I stay or do I go?” they say to themselves. They make one phone call to a mortgage broker, but still don’t know what to do. The bank is offering 4.39% on a fixed one year and doesn’t require anything but their signature. The mortgage broker can get 2.39% for a 1 year fixed rate, but requires them to send in paperwork and they think “Ugh, what a hassle. I think I will just sign the existing lenders papers and take the 4.39%.”

80% of Canadians will not shop around. This person will pay $3,146 more for the year than a person who takes the time and works with their mortgage broker! This is just a one year example. Imagine this over 5 years… You might as well burn money!

The sad part about this is that it actually happened. Do not simply sign the renewal form! Shop around! Call me if your mortgage is coming up for renewal, I can help!

Jill Couture
604-809-0590
Jill@GetTheFinancing.com

Today I helped an existing client restructure his mortgage.  By taking my advice he will pay off 8 years and 3 months of his mortgage in the next 2 years.  He will do this without increasing his payment.  This client started as a first time home buyer in 2009 and started with a 35 year amortization.  In 2014 he will have only 16 years and 8 months remaining!  He will have paid off nearly 20 years in just 5!

If you would like a check up on your mortgage please contact me, I would love to help you with what is most likely your largest debt.  Contact me today for more information!

Jill
604-809-0590
Jill@GetTheFinancing.com

DLC Canadian Mortgage Experts

Geez! What a time to be a Realtor, Mortgage Broker or consumer of real estate!  You can’t turn around without misinformation being thrown about regarding switches and refinances and the new rules that were introduced over the last few years.  Many conversations are based on how everything in the economy revolves around the real estate industry in some way shape or form.  No one knows what to do.  Buy, hold, sell? Bury head in sand?  The global financial crisis that is still looming is not due to low interest secured borrowing where all consumers are underwritten with strict guidelines.  The problem is unsecured consumer debt.  The jeans, the trip, the party for 16 teenagers, etc….  The real problem is the credit cards at 19% that will take 127 years to pay if you are paying the mere minimum.  In addition to credit cards, lines of credit which increase and are on average 7% – 9% unsecured.  The high interest being charged by the big banks and finance companies when someone defaults on these 2 can be upwards of 30% and it would be higher if is wasn’t considered illegal!  Secured debt isn’t the issue and the cost of borrowing is at around 3% instead of the 10-20% average unsecured credit interest rates.

 
Now let’s get back to real estate. At any time, regardless of global financial state, new federal borrowing regulations, provincial politics, and other provincial factors that effect housing values, there are always pros and cons to borrowing and buying real estate. The same old wisdom is decidedly true today as it was 50 years ago, and as it will be 50 years from today.  The best time to buy real estate was yesterday and the next best time is today.  I have learned that if you want to build equity and protect yourself from serious highs and lows in real estate, be prepared to hold your property for 5-10 years if you can!

The next slice of wisdom that could have you singing my praises is to seriously consider paying off higher interest consumer debt before paying off your low interest mortgage, unless you can consolidate your unsecured debts into your mortgage.  If you can do that, I highly encourage it!  Use the money you are saving on a monthly basis from consolidating those higher interest debts into your mortgage at the much lower interest rate to increase your monthly mortgage payment!  Find your comfort level for a monthly payment so that you don’t start carrying a balance on your credit cards again.  Increase your payment by even just $10/week to start.  That is less than the cost of a medium pizza or 2 lattes per week, and who isn’t indulging in that?  Once you are comfortable with that starting amount, increase it a little more.  This practice will decrease the length of time you have to pay off your mortgage and will save you thousands of dollars in interest!

 
Do you remember being a renter before you bought your first house?  Remember receiving a notice from your landlord/lady telling you that your rent was going to go up?  Well you always found a way to pay it right?  Well, now you are your landlord and you should raise the rent occasionally.  If you do have a mortgage that is flexible and you are allowed to increase your regular payments, I encourage you to “raise your rent”!

No matter what type of mortgage you have, I encourage your to have an annual mortgage check-up.  Whether I hold your current mortgage or not I will be happy to help you figure out what is in your best ‘interest’.  – Pun intended.

Jill
604-809-0590
Jill@GetTheFinancing.com

DLC Canadian Mortgage Experts

Many people who are coming up for renewal at the end of 2012 and the beginning of 2013 think that they are forced to renew with their current lender.  Why?  Because there is so much noise in the media about equity and maximum loans not exceeding 80% of the property value.  The truth is that although you may not have any increase in the value of your home, if you aren’t looking to take any new money out this doesn’t affect you.  You are still allowed (and the insurance company permits) to switch to a new lender and receive a competitive rate and term.  

Many people in 2007 & 2008 bought new condos in smaller urban areas located in communities to the east of the Great Vancouver Regional District at the height of the market.  What these folks don’t know is that Mortgage Brokers can help them switch into a more competitive rate and term, and usually with free legal and free appraisal.  That is a free service enabling you to save thousands of dollars and shave years off your mortgage!

The reason the banks don’t tell them this? Stats show that 80% of people will not bother to shop around for another option. They receive the renewal document from the bank and they simply sign on the dotted line.  I hope that you check around.  In 2007 & 2008 if you took a fixed rate mortgage, you were likely taking a fixed interest rate in the 5% range.  Nowadays you are looking at 3.09% for your standard 5 year term.  There are a ton of strategies available to help you pay off thousands of dollars and change nothing in terms of your monthly payment amount today.

Call me for a no obligation mortgage check-up.  You could be in a position to dramatically reduce your monthly payment or keep it the same and dramatically reduce the length of time it will take you to pay off your mortgage!  Either way you win!

Bottom line: Give me a shout so I can help you look after your best ‘interest’.  – pun intended.

Jill
604-809-0590

We all hear it. If you have equity in your home, consolidate your consumer debts and get a lower interest rate and a lower simplified payment. But what does that mean?

Not only what does that mean, but what can it help you avoid? Consumer proposals and even bankruptcy. Many people have at least 50% equity in their home and still carry $30,000 or more in consumer credit card debt. I am here to tell you that if this is you, then there are options. If you are struggling to make your payments, please call me to see if there is a way I can help you make it manageable. It is not in your bank’s or credit card company’s best interest to help you with these questions or to help you find solutions. They don’t care if you struggle just as long as you continue to pay the minimum.  

I do care! I want to help you become mortgage free and debt free and to do it while you are enjoying your life and your family and friends. Please call today for a private no obligation review of your mortgage and your debts.

Jill

Jill Couture
604-809-0590
Jill@GetTheFinancing.com

DLC Canadian Mortgage Experts

Many times we put things off for tomorrow.  We all do it.  Whether it is getting a Will prepared to finalize your Estate planning, or getting life insurance to secure your family in the event of your death, or something as simple as getting a free rate hold for a mortgage.  With a plan, a little focus and the right professional helping you it is easy to get it all done.  But leave it until tomorrow and all of these things could cost you, your estate & family thousands of dollars and a mess of regret!

Simply put, if you have debt and you have loved ones that will inherit that debt, get life insurance to cover it.  If you have loved ones, children and assets in your name, prepare your will so it clearly outlines your wishes for the division of those assets and children.  If you have a mortgage now and you are paying more than 4% contact a mortgage broker for a check-up you could save yourself hundreds if not thousands of dollars by doing so.  We send your application to several lenders with one credit check, protecting your credit and your mortgage ‘interests’ saving your thousands of dollars.

You don’t think you need life insurance until your partner dies without it.  You don’t think you need a Will until you have a partner die without one and you don’t think you need to get a rate hold or a mortgage check up until the rates rise another 1% increasing the mortgage payment by $100.00 per $100,000 of oustanding mortgage. 

This year I have witnessed all of the above in one client or another so don’t leave it until tomorrow for we know it just might not come.  If you need an introduction to a professional that can help you I will be happy to suppy you with one.

Would-be buyers and renters can while away hours by Googling the term “buy or rent calculator” and working through various scenarios.

However, the majority of home buyers aren’t thinking about the return on investment on an asset, they’re looking for a place to raise a family, close to schools and shopping, maybe with a yard, a deck for the barbecue and a basketball hoop on the garage: a place to call home.

These misty-eyed buyers might do better than you imagine.

Consider thatNorth Vancouverlisting with the high price-to-rent ratio and low yield. If they were to rent at $2,200 a month with annual rent increases of two per cent, they’d pay $289,072 over 10 years.

If they could come up with $162,500 (for 25 per cent down) and borrow $480,000 at today’s historically low rate of three per cent (and pay $900 a year on upkeep), they’d pay $281,589.

If the house appreciated by seven per cent a year and the cost of selling it was seven per cent, the appreciation value would be $1,278,451. They’d come out ahead by $867,080.

It would take a savvy investor to beat that under current stock, bond, currency or commodity market conditions. At the same time, it is risky to have so much capital tied up in a single immovable and relatively illiquid asset.

In the final analysis, whether it is better to buy or to rent depends not so much on interest rates and ratios but rather on an individual’s goals in life. For some, home ownership is a ball and chain; for others, it is fulfilment of a dream.

Odds are that if you’re asking the question, you’ve already made up your mind.

Read more: http://www.vancouversun.com/business/rent+that+question/5595374/story.html#ixzz1boKhwHuz

That equals a great opportunity for Canadians to purchase revenue properties in the USA!  In the 12 months leading to March 2011 Canadians have purchased 19 billion dollars worth of property in the US.  Canadians have the equity in their Canadian properties to leverage new purchases in the states.  With our historically low interst rates in Canada and the ever increasing stock of foreclosures down south it is a great opportunity for Canadians to get involved.

The worlds richest investors are parking their money in Real Estate and the best time to buy is during a recession if you can pull it off. 

If you have any questions or would like to know how you could benefit contact me at your convenience and we will give you a free no obligation assessment.

Jill

I have heard this question many times now and the answer is mixed.  While the initial answer is no you can’t receive a mortgage in Canada that is secured to a property across the border.  You can borrow money from your properties in Canada to purhase a property in the states outright.  

If you are one of the lucky ones that has equity in your home you can access that equity to purchase your property in the states for cash.  This is a great option especially if you are going to rent out the US property when you are not enjoying it yourself.  When you access equity in your home to purchase an investment that you expect to bring in revenue the interest you pay on the money borrowed becomes 100% tax deductible (as does all the upkeep to the property over the year)  Today the rate to borrow are also at historical lows so marry that with the all time low property value in the US and you have a match made in vacation home heaven!  We are lending interest only mortgages forthe purpose of investing at Prime + .25%, aka 3.25% fully open terms. 

I have a few clients who are currently purchasing properties in the US and what they are doing is refinancing their existing mortgage into a Home Equity Line of Credit (HELOC).  We are separating the exisiting mortgage on their home into one segment and then adding another segment which they will use for investing in property down south.  By segmenting the borrowed funds you are making your accounting at year end a lot easier and you have the option of making your payment on your new property 100% tax deductible (if it will be generating revenue). 

Contact me for more information if you are interested in purchasing a property down south.  In most cases as a Canadian obtaining a mortgage in Canada you will be streamlining the process and getting a lower cost of borrowing and it will be a quicker and easier process (granted you have equity in your home/properties).  Of course this process works for investing within Canada as well.

www.GetTheFinancing.com

Jill Couture