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Nov 18, 2024 | 
forbes.com | Fiona Campbell |Aaron Broverman
Approximately 1.2 million fixed-rate mortgages are up for renewal in 2025, according to the Canada Mortgage and Housing Corporation (CMHC). Notably, over 85% were originally contracted when the Bank of Canada policy interest rate was at or below 1% compared to its current rate of 3.75%. It’s no surprise that over 2.2 million Canadian homeowners face higher payments when their mortgages come up for renewal in 2025 and 2026, notes the CMHC.
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Nov 4, 2024 | 
forbes.com | Fiona Campbell |Aaron Broverman
Maybe you’ve seen the lawn signs posted in your neighbourhood that scream, “We Buy Houses For Cash! Any Condition!!” Or perhaps you’ve received a quasi-personalized handwritten flyer in the mail promising a “Cash Deal!” or “Quick Sale! As Is!” for your home. Listing a house for sale can be stressful, even when working with an experienced realtor.
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Oct 25, 2024 | 
forbes.com | Aaron Broverman |Fiona Campbell
An ODSP loan is a loan that considers Ontario Disability Support Program (ODSP) payments as qualifying income for borrowing money. How Does the Ontario Disability Support Program Work? The Ontario Disability Support Program is a monthly income benefit from the provincial government provided to Ontario residents 18 years or over with disabilities or who are members of a prescribed class who have a financial need due to an illness or disability that limits their ability to work.
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Oct 11, 2024 | 
forbes.com | Fiona Campbell |Aaron Broverman
New federal measures can soon help homeowners build a secondary suite as part of their home. On Tuesday, October 8, 2024, Deputy Prime Minister Chrystia Freeland announced that Canadians will be able to access up to 90% of their home’s value through insured mortgage refinancing to build secondary suites starting January 15, 2025.
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Oct 9, 2024 | 
forbes.com | Fiona Campbell |Courtney Reilly-Larke
A tax deduction lowers your taxable income. Some common tax deductions include RRSP contributions, child-care expenses and support payments that are deducted from your income. This differs from a tax credit, which reduces the tax you owe and can either be refundable (resulting in a tax refund) or non-refundable (no refund). An example of a refundable tax credit is the GST/HST credit, while a non-refundable tax credit is the First-Time Home Buyers credit.
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Oct 4, 2024 | 
forbes.com | Fiona Campbell |Aaron Broverman
Rates are an important factor in securing a mortgage, but other considerations should be made to ensure that your loan meets your long-term needs. The posted rate is the rate that a lender openly advertises and is generally considered the starting rate for a mortgage rate negotiation. It is typically the uppermost rate that a bank will give you. Special rates, also known as discounted rates, are advertised discounts off posted rates.
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Oct 4, 2024 | 
forbes.com | Fiona Campbell |Aaron Broverman
With the average price of homes across Canada still uncomfortably high, it’s harder than ever for first-time home buyers to save enough money for a down payment. According to the Canadian Real Estate Association, the national average home price was $649,100 in August 2024. Assuming a minimum down payment of 6.15%, you’ll need $39,910. And if you don’t want to pay for mortgage insurance, you’ll need $129,820 cash for a 20% down payment.
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Oct 1, 2024 | 
forbes.com | Fiona Campbell |Aaron Broverman
A prepayment penalty is a fee that your mortgage lender charges if you pay off your mortgage early. The prepayment penalty essentially compensates your lender for the interest lost when a mortgage is paid off early.
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Sep 18, 2024 | 
forbes.com | Fiona Campbell |Aaron Broverman
“By raising the limit to $1.5 million, effective December 15, 2024, the Government of Canada is bringing the [mortgage default insurance] program in line with current housing market realities, enabling more Canadians to qualify for a mortgage with a down payment that is less than 20% and expanding access to the cost savings and security that comes with mortgage loan insurance.” When you purchase a home, you are required to make a down payment.
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Sep 13, 2024 | 
forbes.com | Fiona Campbell |Courtney Reilly-Larke
Your mortgage contract will outline how often you make your payment. Your options include:Monthly: This is the most common mortgage option. You make one mortgage payment each month for 12 payments each year. For example, you pay $1,000 on the 15th of each month. Semi-monthly: With a semi-monthly payment structure, your mortgage payment is divided into two, and you make two smaller payments each month for 24 payments each year. For example, you pay $500 on the 1st and 15th of each month.
