Your Mortgage Renewal

The Mortgage is up for renewal.

The average mortgage is Toronto is just under 300K.  Source.  While watching current rates offered to new borrowers we received our Offer to Renew.



I was shocked to see that as a new Buyer my Trusted Mortgage Advisor could obtain 3.0%  (a few basis points below) fixed for 5 years. Why was I being offered 4.4% for the same term?

• Had I missed any payments?
• Had I been problematic?
• Was it in collections?
• Values dropping and they want out?
• Advance to Value declining?

Here are the hard numbers...

The lending institution is gambling that you will not spend a thousand to $1,500 to refinance and move your business elsewhere. We contacted another lender who waived their appraisal and application fees, needed only redocumented legals and a registration on title (lawyer fee). Yes we paid a discharge Fee and Leave Lender Fee; and extra $500.00

They gave us the 3.0% refinance package for 5 years saving me a HARD DOLLAR amount of $4,200 in the first year and the same in each following four years.  An actual savings of $20,000 that can go to principal reduction or other debt repayment instead of bank profits.  Do you have other bills you could have paid?

When we contacted the existing Mortgage Company they said; "Why are you moving your mortgage?"  We responded "We received a better rate." Their mortgage rep then said  "We can match that to keep your business!   Me:  "Why didn't you give us that in the first place?"    Silence.....

We had already signed the commitment with the second Lender.  Legals had been obtained and quoted. I don't have a [money] large enough accounts like UNIONS to threaten the bank with a withdrawal.

Have you had a similar experience?   

Can I recommend a Trusted Mortgage Advisor?  It may even be with the same bank! 


There is The better way to buy or sell a house in #Toronto or #Etobicoke  http://bit.ly//CallDavid  It's all about being part of the conversation....  All the detached houses you can handle.   http://homeswesttoronto.tumblr.com/mobile

https://plus.google.com/u/0/109283965469179719942/about

Not getting behind is the NEW Getting Ahead

Refinancing your Mortgage? Why doesn't the bank give you their best deal the first time? They gamble you won't check the market.

Other Lenders will bid on the business so why not give them the chance.

The average mortgage in Toronto is  270,000K   How does that compare with yours?
http://www.canequity.com/ontario/toronto-mortgages.htm

If they quote you 1% higher on a 300K line of credit secured as a Mortgage,  You are paying $3,000 a year EXTRA for the next 5 years.   Is your money EXTRA?






Is your mortgage renewal not the rate that you expected?   #Toronto #Mortgage Just ping me here to get started. 



416 233 9000
David Pylyp

David Pylyp on Google+

Never (Ever!) Offer a Distressed Seller This…

You have all seen the flyers  left on someone's door explaining that (he) was a real estate investor, could buy his house, pay cash and close quickly. Unimaginative, I know, but effective.

Jack was behind on his mortgage and needed help, Quickly. The POWER OF SALE Eviction date was less than a week away. I knew this because, desperate and out of options, he called after finding the bright yellow letter.

I was a little nervous to meet with him. After all, Jack had over $80,000 in equity in his home. He had procrastinated in dealing with his situation for so long but with careful negotiation he could score himself a home run.

As we sat at his kitchen table, Jack described his financial situation. He was disabled from a previous job and living off the insurance. Some unexpected expenses came up and he couldn't pay his mortgage. He got behind and just couldn't seem to catch up. Sad, but not uncommon. I’d heard many stories like his before. I listened carefully and told him I understood.

There are still some options even at this stage;  Legal involvement in your situation, refinancing your program and getting you on your feet or simply to move out.

Controlling your own sale permits you the option of redemption until the Banks Sale goes through. Your mortgage holder will be reimbursed in this order

• The Condo Maintenance Fees
• Municipal Property Taxes
• Lawyers fees
• Sale Expenses
• Interest Expenses
• Then the balance is paid to principal

Now you are responsible for the deficiency (remaining) balance. That's what power of sale means. The Power of Sale Demand Notice is for both possession and the balance outstanding. In Canada when a property is foreclosed upon a Lender takes control of the Asset ( It now becomes their asset ) 

Veronica Thompson is a licensed Mortgage Broker providing First and Second Mortgages, Refinance approvals plus We can provide solutions to your money problems quickly. Some of the issues we have dealt with are helping you create household budgets, consolidations and refinancing.

There are many reasons why you need mortgage or credit assistance; we've heard most of them, so don't hesitate, give us a call             416-410-1150        or send me an email.
Veronica Thompson, a Mortgage Agent with Mortgage Alliance Accumetrix (License #12036) concentrating her efforts in the Toronto GTA that includes Mississauga, Brampton and Oakville. Ask a question or Get Help Here.

Buyers are so Happy they are being Injured

Veronica Thompson with Mortgage Alliance shared the newest marketing video with me. Absolutely had me howling with Laughter at the Happy Dances and Actual injuries that occur during the celebratory We Got approved for the Mortgage Happy Dance!

Veronica Thompson is a licensed Mortgage Broker providing First and Second Mortgages, Refinance approvals plus We can provide solutions to your money problems. Some of the issues we have dealt with are helping you create household budgets, consolidations and refinancing, smoothing out Credit Bureau errors and working with you over a period of 6 to 18 months to improve your credit score. Credit Repair Secrets 

There are many reasons why you need mortgage or credit assistance; we've heard most of them, so don't hesitate, give us a call 416-410-1150  or send me an email.

Veronica Thompson, a Mortgage Agent with Mortgage Alliance Accumetrix (License #12036) concentrating her efforts in the Toronto GTA that includes Mississauga, Brampton and Oakville.  Ask a question or Get Help Here.

Smarter Mortgage Choices

Let's make smartER Mortgage Decisions

When you bought your home, you thought you were staying a while.  Either you continue with your mortgage to term and renew or you may need more options.

Breaking your mortgage prior to the renewal or renegotiating may involve penalties.  You may have an opportunity to benefit from the new lower rates by renewing now; even with a penalty.

We can Deal with a Renewal or Refinance

If your mortgage is with a Canadian Bank that is federally regulated by Financial Consumer Agency of Canada.(FCAC)  The Bank needs to provide you with a minimum of 3 weeks notice of the Offer to Renew and under what terms and conditions.

You knew this was coming and you should have been shopping around. But there is more here than just the interest rates.  Each Statement, each question posed to the LENDER resulted in additional costs. Now there are discharge fees in addition to Re Registration with another lender; so you need to factually examine your options. Get involved because your mortgage is a major component of your monthly household budget.

Allowing your mortgage to renew automatically does not mean you are getting the best possible terms and conditions.

Switching to a New Lender will require re-document and re- registration. You are in effect applying for a new mortgage and the NEW Mortgage Rules will apply.  Verify exactly what those costs will be.  Your new lender may absorb some of those costs to attract your business. IE Legals, Appraisals, Registration Fees...   Negotiate!

Use an Independent Mortgage Broker that will shop the open market for you to secure the best interest rate and terms for you.  Compare the Mortgage Brokers Offer with the renewal from the Bank. This may be your opportunity to include some higher interest rate debt to lower your monthly payments. 

Your Mortgage Broker can help you understand and read your mortgage documents.  If you have a closed mortgage, you bank may or may not allow you to break the mortgage.  If you are permitted to break the mortgage you will be paying some fees and possibly penalties.

They will tell you if:

• you need to pay a penalty and what that amount is
• you need to pay an administration fee
• you need to pay legal or disbursement fees to discharge the old mortgage
• you need to pay legal or disbursement fees to register the new mortgage
• you MUST repay some or all of any “cash back” you may have received when you first obtained the mortgage
• the calculation of any prepayment penalty would be based on the posted rate at the time you signed your mortgage agreement, or on a discounted rate if you negotiated one for your initial mortgage.

A Mortgage Penalty can be reduced if you make a permitted PREPAYMENT prior to renegotiating.  This would appear counter productive if you are adding in credit card debt or other bills. 

You could renegotiate PRIOR to the Renewal with a Blend and Extend option which simply put will mathematically average the mortgage balance and interest rates. This may be worthwhile if you have a higher interest rate mortgage to combine with Today's low rates.

If you blend and renew at a lower interest rate your payment stays the same; so even with a potential penalty added in to the mortgage balance you may effectively pay it off sooner because of the interest rate savings.

The Decision is yours. A mortgage is often one of the biggest financial commitments you will ever make, so it is worthwhile to do your homework, include knowledgeable and experienced people to help you when you are mortgage shopping, compare the entire package offered by each lender. In seeking the lowest interest rates, consider the features (such as ability to make prepayments or to increase your regular payments) and the services that are important to you and addition fees that may apply.

How can I help you today?

Veronica Thompson, a Mortgage Agent with Mortgage Alliance Accumetrix (License #12036)

David Pylyp
Etobicoke Real Estate Agent
RE/MAX Realty Specialists Inc.,
416 233 9000 or direct at 647 218 2414      

What can you buy when you don't have credit?

Let's have a real conversation about financial responsibility, money and paying your bills.  We need Credit.  We all need and use credit and debit cards.  Flaherty has tightened Lending Policies for mortgages and keeps talking about household disposable income that changes with interest rate increases and other household expenses like Heat and Hydro. [Toronto, Canada in winter without heat and hydro is not an option]

What can you buy without Credit?

Now There are two variables;

• Increase Income
• Reduce Expenses

You can work an extra shift, get a part time job, or get a better paying job to supplement your income. You can rent a room or take in a boarder. You can pare down your lifestyle to where you are able to handle your monthly expenses and save for major purchases or vacations. Do without a Cell Phone, Cable or Internet.

Borrowing more money, or jamming your credit cards to the limit is not an alternative.   Please refer to ANY BANK card holder agreement and you will discover that paying the minimum balance will take 20 years to repay that $3,000 that was so easy to run up;  the preferred interest rate and extra fees you pay to get points don't matter when even one payment is late and THEY increase your interest rate to 28.85%

Do you need Major department store cards  like SEARS, Canadian Tire and the Bay?

Best Habit?  Pay off your entire credit card bill every month.

So you would like to buy a house but your credit score is low or you have a few blemishes. You can ignore it and just be angry,  You can phone a trustee in Bankruptcy and file or you can try these new soft proposals to your creditors.  [same as bankruptcy]

Credit Repair 

We can provide solutions to your money problems. Some of the issues we have dealt with are helping you create household budgets, consolidations and refinancing, smoothing out Credit Bureau errors and working with you over a period of 6 to 18 months to improve your credit score.

There are many reasons why you need mortgage or credit assistance; we've heard most of them, so don't hesitate, give us a call 416-410-1150  or send me an email.

Veronica Thompson, a Mortgage Agent with Mortgage Alliance Accumetrix (License #12036)

Lets stop Home Ownership in Canada

Home ownership is family's life - both financially and from a quality of life perspective. You invest in your neighbourhood and community, put down roots, let your equity grow tax free of capital gains. When its paid off or before, you can refinance and pay for weddings or university ( again ) of your cottage.

http://www.cbc.ca/news/canada/story/2012/09/21/home-ownership.html
Home ownership is often connected to the notion of living the "American dream." But it is as much a part of Canadian identity as it is in the U.S.

Indeed, statistics show that the percentage of home ownership in Canada is edging close to 70 per cent, which is actually higher than the ratio south of the border at the moment – 65.4 per cent, a 15-year low, according to the most recent data. Many economists believe the Canadian government has played an active role in spurring home ownership, particularly by forming the Canada Mortgage and Housing Corporation back in 1946. 

"I don't know that home ownership should be a right and that it should be backed by taxpayer dollars and kind of be the prime mandate of a Crown corporation," says Ben Rabidoux, creator of the Economic Analyst blog, which looks into housing and mortgage trends.

DO you agree that we should all live in government provided housing?  After all, why would you want to be debt free in your house, when you downsize to a retirement home?

I'm on Maternity Leave- Can we get a Mortgage?

Looking for a house in Toronto's competitive real estate market does not always time itself perfectly for your life's circumstances. Here is how you can get a Mortgage while on Maternity Leave.





I’m Nathalie Ng. I am the Money Chick- A mortgage agent who is licensed 2 give unbiased Mortgage advice.


I've heard  new-Moms,  now with a bigger family, cannot get a mortgage.


It all depends which lender they approach & whom they are talking to. Not all lenders will approve a mortgage to someone who is on maternity leave.


I know of a lady who is looking to move up to a bigger house, what she can do?


One of my clients  just gave birth to twins. They were looking to buy a property before she got pregnant, but the pregnancy came first. A month after giving birth, they informed me that they now have twins; that they really, had to move from their condo.


So I have good news for women who are on MAT LEAVE; worried that they could not get a mortgage. We were able to determine their level of income and debts. As a licensed mortgage agent, I was able to identify a lender who would be willing to consider her situation.
Now, many months later, they have moved into a new house where the twins have their own room.


 Its Good to help families in need…. How can Clients Reach you?
They can reach me at 416-629-1818


Call David Pylyp to start you home shopping needs filled.    We make it simpler for you.

What is a HELOC?

I’m Nathalie Ng. I am the Money Chick- A mortgage agent who is licensed to give you unbiased advice on your mortgage. 

Nathalie, I hear so much about HELOC’s what are they?



Home Equity Line of Credit is a smart and flexible financing solution for home owners who own an existing property. It is an integrated financing solution where the home owners borrow in a convenient way & unlock the equity they have built up in their home. They can use that capital however they wish.

What are the reasons in general people would get a HELOC?

There are many reasons for getting a HELOC. Whether it’s paying down high interest rate debts, undertaking home renovations, or simply handling day-to-day expenses, many people seem to be feeling the financial squeeze. But few realize there’s something close at hand that can help them manage all of their credit 
needs.

Can you give me a practical example when it is used?

HELOC’s are usually used to pay off:  High Interest Credit Card debts, car & personal loans & unsecured lines of credit. Because the existing credit cards debts are at very high interest rate ranging from 19 to 30%, a HELOC is much more viable since the rate on a HELOC product ranges from (Prime rate +0.5) to (Prime +1). So it can be as low as 3.5 or 4% roughly. This represents significant savings in interest.

Another key benefit of the HELOC is that it allows you to take advantage of interest rates that are lower than most other debt products, namely, unsecured credit lines, some car loans etc…. That could mean savings of hundreds of dollars or more each every year. 

So it seems there are potential savings when using HELOC to pay debts..  Can you give me another example?

Some people use it to do home renovations in their basements. These can cost $20,000 and up. For example- If someone is renovating their kitchen and/or basement, and the cost is let’s say $30,000. Instead of paying cash or using credit cards of 19%, the homeowner you can do a HELOC for lets say 4% and the minimum monthly payment is only $99! That is pretty good.

What if people already have a mortgage. Can they still get a HELOC?

Very often, people refinance their mortgage since their mortgage of 3 years ago, is more expensive than mortgage rates now. So it is in their best interest to refinance now. So I encourage them to take the extra 
equity out and use it for personal use. All this can be accessed through a single, one-time application. 
In the case where they don’t need to refinance, they can just obtain a HELOC as a 2nd mortgage. It is also
good to remember that a HELOC is like an open mortgage- so there are no fees or charges to pay that Line of credit in full. 

Can anyone apply for a HELOC?

Yes, anyone who is a home owner can apply. However, to be eligible, they need to have a Triple AAA client, good credit and a stable job. And those who are approved, they can only borrow up to 65% with a HELOC. New rules effective July 9th, 2012.  One word of caution I would like to add though: Is that a HELOC is not to be used to satisfy shopping indulgences such as mall shopping, or big screen TV. A person who is getting a Line of Credit to buy such household items should think twice about that. 

That is great information, thank you Nathalie. How can we get hold of you?
Thank you, I can be reached at 416-629-1818

David Pylyp on Google+

How 2 Access your Equity If you Divorce

How You can Access more equity when divorcing!


Hi, I’m Nathalie Ng. I'm the Money Chick- A mortgage agent who is licensed 2 give unbiased advice on your mortgage. 


Can you help clients who are single, separated, single parents  & divorced?


Yes I do and it is a special niche as I deal with lenders who are in this market segment.





What can clients do when they are divorcing? I know of many women who are looking to buy their own property now.  Can they start all over again & buy another property?


Definitely... With the increasing # of divorces, many of them want 2live separately. However, due to the economic circumstances, some stay together in order to keep the house Others, rent after divorce. Both of which are not good as in the 1st case, they are unhappy living together and the 2nd, it is financially not advisable to rent.


In the traditional way,  when a couple is divorcing, their lawyer is splitting all their assets. There could be times when the couple decides to sell the house and live separately. So what happens then?


What happens is each party ends up with a smaller equity thus, resulting from not being able to buy another property. As you may also know, utilizing a mortgage to Refinance & free up equity can definitely be a great tool when paying out joint matrimonial liabilities, as well as providing a cash settlement. Recent changes in mortgage financing however have now capped accessing home equity to 85% of the property’s value. But I have good news! There are cases where I have been able to assist divorcing couples & their lawyers in negotiating separation agreements. Essentially, the clients are allowed to free up to 95% of the equity in a property specifically for marital splits. That is a huge difference from 85% which is the norm.


So let`s say, for a house valued at $400,000, how much equity they can get?


With traditional lenders, they can only have access to 85%, which = $340,000 in this case. This could be used to pay off one spouse, debts & settlement.  Now compare this vs accessing 95% of the value of the house.


For the same house of $400,000, now they can access $380,000 of equity. This is an extra $40,000. That $40,000 can itself contribute towards a bigger down payment towards a new house. All this is at very good mortgage rates. Divorcees and single parents should really think of owning again rather than renting.


That is the smarter way…Thank you Nathalie. How can we get hold of you?
Nathalie can be reached at 416-629-1818

David Pylyp on Google+