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Navigate through these uncharted waters in 2020

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In 2009 and 2010, for the first time ever we saw mortgage rates under 2.00%.  That’s right, if you were in a variable rate mortgage, you had a rate under 2.00%. We were coming off the catastrophic US sub-prime mortgage crisis. The financial US scam that cost the world trillions of dollars in lost pensions and investments. Tens of thousands of people lost everything they had. It was horrible. While we, in Canada, were largely untouched. We weren’t smarter, we were just lucky not to be exposed to the subprime mortgages to the extent the rest of the world was. As they say, Canada is five years behind the US, and in this case, we got lucky.

That said, let’s get back to mortgage rates and fast forward to 2020.

Continue reading “Navigate through these uncharted waters in 2020”
More Rate Drop

More Rate Drops

More Rate Drop

NEW HISTORICAL LOW MORTGAGE RATE MILESTONE REACHED.

Last week, we saw a 5 year fixed rate mortgage at under 2.00%.  That’s right… 1.99%. If you qualified, the rate applied to purchases where the mortgage is Canada Housing and Mortgage Corporation (CMHC) insured and paid for by the client.  But that rate didn’t last long and that offer is over. I know, things move fast.

But let’s get back to current rate offers.  We are in uncharted waters, again. 11 years ago, we were coming out of the US sub-prime mortgage crisis… does anyone remember that?  Back then, the stock markets crashed, just like this year, they recovered, just like this year, but interest rates remained low for many years.  In fact, they remained at or near 3.00% for the next 11 years.  

The message here is this…. there will be small moments in time when interest rates will be extra low…  this is one of those times. If you have a mortgage, get a review done! Find out if it makes sense to refinance or early renew or to break your current mortgage, pay a penalty and lock into today’s low rates. Speak with an UNBIASED PROFESSIONAL. Speak with an experienced mortgage broker.  You have nothing to lose and everything to gain.

Here are some examples of people that paid a penalty and still saved between $9k and $26k. 

Steve Garganis: 416-224-0114; steve@canadamortgagenews.ca

Your best interest is my only interest. I reply to all questions and I welcome your comments. Like this article? Share with a friend.

Dont Panic

How are things?

Dont Panic

Hope this update finds you well.   First, let’s make sure you are okay.  We will get through this.  I guarantee it!  I’ve been through the 2008-09 US subprime mortgage crisis, the SARS 2002 crisis, and the 1990 real estate collapse.  We recovered from all of those terrible times and we will recover from this. I am here to help you in any way possible.  Don’t hesitate to call on me for assistance.

The government has been announcing new programs to provide financial assistance almost daily.   And there have been just as many amendments to those programs as they work to fine tune the programs. 

I want to make sure you are informed with accurate info.  There’s been so much junk articles posted in the mainstream and social media outlets.  Let’s block out that junk and focus on reality.

Continue reading “How are things?”
6 month mortgage deferral

6 month mortgage deferral will help, not harm, despite what media say.

6 month mortgage deferralWe’ve all heard about the 6 month deferred mortgage payment option.  It was thrown out there by the government in an attempt to help property owners.  We now have some more info that I’d like to share.

I’m getting a little sick and tired of the media being so negative and pessimistic.  The banks and other financial institutions are offering to defer mortgage payments for 6 months. This is GOOD news. While it might not seem that way if you read some of the media posts, let’s clear things up:

  •  NO, it won’t harm your credit rating.
  •  NO, it isn’t expensive. Read on…
  •  NO, this isn’t automatic. Your mortgage payments will not be forgiven for 6 months without calling anyone. But most lenders are happy to postpone your payments without much fuss.

Continue reading “6 month mortgage deferral will help, not harm, despite what media say.”

Important Mortgage Updates Thursday March 19

Mortgage Updates 03-19-2020

Important Mortgage Updates Thursday March 19

Welcome to today’s update.  

Canada and the banks announced a six month deferral of mortgage payments.  I have been fielding many calls on how this works and the answer is different for each financial institution.  I will be posting updates as they become available. Some of the financial institutions have not yet come out and said they will give a full six months of deferred payments, while others have. It’s still early but I will keep you informed as the details roll out.

Another update on the rates. Fixed rates are up again slightly. Variable rate pricing for new applications has increased as well. Most financial institutions are now offering variable rates at prime (Prime: 2.95%) or just minus .05%. No surprise as stock market jitters is spooking everyone.

This will pass and we will come out okay on the other side of this. That’s my message.  We’re all in this together and we will come out of it together. Call or message me if you need anything. My team and I are here to help.  

Steve Garganis 416 224 0114 steve@mortgagenow.ca

Important Mortgage Updates

Important Mortgage Updates 03-18-2020

Important Mortgage Updates

There have been many changes lately and there will be many more to come. As this is a critical and fast-moving situation, I wanted to get these updates out and will be updating you regularly as we all work through this.

We’ve all heard about the Bank of Canada rate cuts.  Two one-half percent rate cuts in less than two weeks. Unprecedented. And while common logic would dictate that mortgage rates would fall, that’s not exactly happening.

Continue reading “Important Mortgage Updates 03-18-2020”
why rent when you could buy

The affordability of homeownership… Rent or Buy?

why rent when you could buy

After years of seeing countless articles and posts about interest rates, housing affordability issues, mortgage stress tests disqualifying some people from being able to buy, higher personal debt levels, does it still make sense to buy a home?

Yes! There is positive news. You can still buy a home. And you can still qualify for a mortgage.

Continue reading “The affordability of homeownership… Rent or Buy?”

Mortgage Rates are still trending Lower… Yes, in August!

Its Christmas! Home Sweet Home. Home Improvement And Time. Enjoy

A couple years ago, the federal government brought in some tighter mortgage qualifying rules. The ‘stress test’ was just one of several changes, but it’s definitely the most well known.

The feds wanted to slow the housing market. They also wanted to ensure that borrowers could afford the much anticipated mortgage rate hikes. Rates have to go up some time, right?! When?!

Continue reading “Mortgage Rates are still trending Lower… Yes, in August!”

Finance Your New Construction Home at Prime Minus 0.80%!

Blog Image, New Construction, May 2019

Before I get into the topic of new home financing, I want to share some positive news! The Ontario housing market is definitely alive and well! I’m seeing new properties come to market and disappear within weeks or even days. Multiple offers are also a reality, once again. Watch for encouraging sales stats to be reported next month.

Buying a resale home

Buying resale is great because you can see what you’re getting and you can have it now (average closing is 45 to 90 days). You can also set and hold your mortgage rate now.

But, there are also some negatives to buying a resale. For one, you’ll never get 100% of what you want. Maybe the kitchen, master bedroom or backyard could be bigger or perhaps you’d prefer a different floorplan. The truth is, you’re buying someone else’s home that wasn’t designed for you.

But, hey, that’s life and you can’t have everything you want. At least, not yet… or maybe you can?

Construction financing as low as prime minus 0.80% – 3.15% today!

Continue reading “Finance Your New Construction Home at Prime Minus 0.80%!”

Mortgage Rates have Dropped and Will Fall Further

Mortgage shopping

Rate forecasting isn’t rocket science – it’s more common sense than you think! But, it requires a clear mind to make sense of all the rubbish that’s being published these days.

I’ve been forecasting for a while now that interest rates would start to come back down this year. Currently, interest rates are down by around 0.4% and will come down further.

WHY ARE RATES FALLING?  Continue reading “Mortgage Rates have Dropped and Will Fall Further”

Where are rates headed? Down!

Rate Image, Nov 2018

Whenever there’s speculation that the Bank of Canada (BoC) will raise its key interest rate – or rates actually rise – many people are preoccupied worrying about locking in if they have a variable rate or renewing early in a fixed rate.

But, don’t panic! Rates aren’t going through the roof.

Continue reading “Where are rates headed? Down!”

Buying a home is cheaper than renting. Don’t be intimidated!

Buy Or Rent?

Could 2018 be the year where the pessimists finally get their way? I hate to admit it, but this could be the year where buying a home may not be a good idea.

OK, just kidding!!!

But after years of seeing countless articles and posts about rising interest rates, housing affordability issues, mortgage stress tests disqualifying some people from being able to buy, higher personal debt levels, NAFTA economic fears and Donald Trump (ok, Trump has nothing to do with this, but you can’t write an article these days without blaming him, right?!), does it still make sense to buy a home?

Yes! There is positive news. You can still buy a home. And you can still qualify for a mortgage.

Continue reading “Buying a home is cheaper than renting. Don’t be intimidated!”

Your Doctor Uses a Mortgage Broker!

Blog Image, Doctor, September 2018

Would it surprise you to learn that your doctor uses a mortgage broker? Well, it’s true – doctors use mortgage brokers all the time.

In fact, I personally have an extensive list of medical professionals as clients, including family doctors, specialists, dentists, veterinarians… and the list goes on.

So, why would these high-income earners use a mortgage broker?

Continue reading “Your Doctor Uses a Mortgage Broker!”

Is the Gov’t Stalling on Your Tax Return? Here’s How I Handled it!

Blog Image, CRA, September 2018

Did you file your 2017 taxes on time, yet your NOA is MIA? If so, you’re not alone!

I’ve had this happen with a few of my clients… as well as with my own tax return! That’s right! My accountant filed my personal tax return in April… and for months, I didn’t receive my NOA. Every time I called the Canada Revenue Agency (CRA), they either told me it was coming, they were working on it, or they reminded me they have up to four months to complete the return (FOUR MONTHS!?)!

Well, four months passed… and still nothing! Continue reading “Is the Gov’t Stalling on Your Tax Return? Here’s How I Handled it!”

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