FAQs Mohamed Mahmoud 17 Dec
1) Fixed rate means you are locked in for a term and know your monthly Mortgage payments, whereas variable rates depend on the BOC (Bank Of Canada) posted rate. 2) Variable rates have been historically lower than fixed rates 3) Prepayment penalties for changing your fixed Mortgage within your term are usually 6-10 times higher […]
Read MoreDr. Sherry Cooper Mohamed Mahmoud 16 Dec
Housing Demand Outpaces Supply Today the Canadian Real Estate Association (CREA) released statistics showing national existing-home sales rose 0.6% in November following the whopping 8.6% surge the month before. Sales could have been higher had it not been for the limited supply of homes for sale. Homebuyers are anxious to finalize purchases before the Bank […]
Read MoreFirst Time Home Buyer Mohamed Mahmoud 15 Dec
Mortgage default insurance is designed to protect the lenders from any losses should there ever be a foreclosure. The borrower is required to pay for Mortgage default insurance whenever the down payment is less than 20%. The premium is usually added on to your Mortgage balance and incorporated into your Mortgage payments
Read MoreMortgage Tips Mohamed Mahmoud 14 Dec
You were told that your minimum down payment was 5%. You have that. However, did you know that you are also required to show that you have an additional 1.5% of the purchase price saved to cover closing costs such as: 1) Legal fees 2) Land Transfer Tax 3) Appraisal 4) Inspection 5) Title Insurance […]
Read MoreFAQs Mohamed Mahmoud 10 Dec
The qualifying rate is what’s usually used to qualify a borrower. It could be either the Bank Of Canada benchmark rate (currently at 5.25%) or the actual contract rate with your lender plus 2%, whichever is higher. The contract rate is the rate you actually get from your lender and determines your actual Mortgage payments
Read MoreDr. Sherry Cooper Mohamed Mahmoud 9 Dec
The Bank of Canada today held policy steady, reaffirming forward guidance and admitting increased uncertainty with Omicron variant and flooding in BC. Bank of Canada Leaves Expectations For 2022 Rate Hikes Intact The Bank of Canada decided to keep its target for the overnight rate at 0.25%, in line with forecasts and to maintain its […]
Read MoreFirst Time Home Buyer Mohamed Mahmoud 8 Dec
Don’t be house rich and cash poor! Allow approximately 32% of your household monthly income before deductions to cover your monthly Mortgage payment (including property taxes, heating costs and half of any maintenance fees).
Read MoreMortgage Tips Mohamed Mahmoud 7 Dec
Did you know? Making a double mortgage payment once per year can shave over four years off the mortgage? Ensure you get the best prepayment privileges. It’s your mortgage so you deserve to double your payment without penalty! Doubling up your payment on average will save many years off your mortgage for 5 figure savings. […]
Read MoreFAQs Mohamed Mahmoud 3 Dec
In addition to your mortgage payments, you need to be prepared for: 1) Property taxes. 2) Home (fire) insurance . 3) Utility bills. 4) Condominium fees. 5) Routine repairs and maintenance.
Read MoreFirst Time Home Buyer Mohamed Mahmoud 1 Dec
The ideal down payment for purchasing a home is 20%. However, I know in today’s market that it’s not always possible. Therefore, if you have less than 20%, you must account for default insurance. Did you know? If the purchase price is less than $500,000, the minimum down payment is 5%. If the purchase price […]
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