I’m going to give the summary right here: The lesson contained is to take the lowest rate (Variable) at the longest amortization (35 Years) and make accelerated bi-weekly payments equal to what the fixed rate payment would have been. This will save you a heck of a lot of money. Read on [...]
Which Rate? Fixed or Variable?
Wednesday, November 25th, 2009Bank of Canada Cuts Rate Again
Tuesday, December 9th, 2008The Bank of Canada has cut it’s key overnight lending rate 0.75% down to 1.5% which puts its lending rate to 1.75%. What does this mean for current and prospective home owners? Hopefully the big banks will also cut their rates down as well. Reuters is already reporting that CIBC and TD have dropped their [...]
CMHC is not like Fannie Mae and Freddie Mac
Sunday, July 20th, 2008Interesting article in today’s National Post on how the CMHC is not like Fannie Mae and Freedie Mac. In a nutshell it shows the more conservative side of CMHC while balancing fears by some that the mortgage insurance business is no business of the government (ie your taxpayer dollars) and would be better handled by [...]
0 Down 40 Year Amorts Dead. Good Riddance.
Friday, July 11th, 2008So the 40 year 0 down mortgage is dead. So long. Bye Bye. We hardly knew ye. Whatever. Really. What is the concern over this financing product disappearing that it has to appear on the front page of the Vancouver Sun? It’s a little used product (in my experience) that would have enabled the least [...]
Bank of Canada Cuts Rate
Tuesday, April 22nd, 2008As expected by many the Bank of Canada has cut its rate by 0.5% to 3%. What does this mean for housing?
Well, if you are currently on a variable rate, congratulations! Your monthly payment will be lower if your bank follows suit (expected sometime soon as they generally do follow the BOC’s lead relatively [...]
Do not take TD Canada Trust’s 7% Cash Back Offer!
Monday, March 24th, 2008TD CanadaTrust has been advertising pretty heavily on the radio (I’m in my car a lot) about their “great” new product – the 7% cash back mortgage. They make it sound so tempting. The pitch: Get a mortgage with TDCT and get 7% cash back up to $50,000 which you could [...]
Bank of Canada Cuts Rate by 0.5
Tuesday, March 4th, 2008Well this is bigger than I thought they would go. Then again we are a big country with some pretty big needs in the East (the manufacturing centre of Canada). The BOC has cut rates by half a point. A further cut is possible in April and another in June, though, with this big an [...]
Vancouver, BC 