Whether you’re a first-time home buyer, or are looking to second mortgage or re-finance, the very first question you’ll have is where to go to find the best mortgage rates in the Toronto area.


Banks are always happy to sit down and discuss their mortgage rates with you, and this can be a good option if you don’t want to have to decide between several different choices. However, banks can only give you the mortgage rates for their bank, and although they claim to be very competitive, they often are not. This means that the choices you will be considering may in fact, not be the best.

Read More.....

Bank Of Canada Increases Overnight Lending Rate

The BOC increased the overnight lending rate by a 1/4% to .75%. You can expect Bank Prime to follow and go to 2.75% which will have everyone with a variable rate mortgage or line of credit paying more. The BOC made some comments suggesting that they expect the economy to slow which will slow the rate at which they inrease the rate further. September 8th is the next meeting so uless there is some really strong indicators for July and August it is unlikely they will need to raise rates in September. Talk to me Paul Mangion, a Toronto Mortgage Broker or click to read the press release. 416-204-0156

The US fear of a Double Dip recession and What this could mean for Toronto Mortgage Rates

US Fears of a Double Dip recession are slowly becoming a reality. Based on Data released on Housing, Employment, construction and manufacturing it is becoming quite clear that things will more likely get worse before they get better with the world’s largest economy facing a huge uphill battle.




One of the main indicators is housing sales which had a 30% month over month decline which happens to be the largest on record. US Unemployment numbers spiked month over month as well so the employment market will remain under stress for some time.



The recovery we thought we had was not accompanied with job growth which is needed for long term growth. A jobless recovery is not practical or likely and the stimulus spending has done nothing more than create a short term recovery. With western governments preparing to tighten their spending and reduce deficits the economy has a chance to remain stagnant, but more than likely will decline.



What does all this mean for Canada, a country that has done relatively well during this crisis and subsequent recession. Well history can tell us that Canada is usually one to two years behind the US since most of our exports go to the US. If this assumption is true then Canada has not really hit the bottom yet. So further economic declines will keep inflation low with a period of deflation possible. Giving the Bank of Canada no reason to raise Toronto mortgage rates in the short term with very modest increases possible in the foreseeable future.

Read More...

Why use a Mortgage Broker in Toronto

Whether you’re in the market for a new house or a first time home buyer, you’ll want to be sure you receive the very best mortgage rates, and terms that meet your specific needs. If you’ve never used a mortgage broker in the Toronto area before, this is a great time to start! Of course not every mortgage broker will be experienced enough to help you meet your goals, so in Toronto be sure to visit Paul Mangion of The Mortgage Center at www.gtamortgagematters.com.

A good mortgage broker for real estate in Toronto will be more than just well qualified. It’s imperative when looking for a mortgage broker around Toronto, that you consider a few key points. Hiring a mortgage broker to help with financing your new home in Toronto requires a mortgage broker who has been working in the Greater Toronto Area and has established business contacts. You will likely want to have referrals to a lawyer and other services. Knowing you’re working with a mortgage broker who knows companies in the Toronto area that can help your home purchase go smoothly, will bring you peace of mind.

Additionally, you’ll want a mortgage broker in Toronto who really listens to the needs of their client. All too often, inexperienced brokers will fast track a buyer into a mortgage just to close the deal. This can leave the client frustrated since the terms may not be what they had wanted. A great mortgage broker in Toronto is one who will listen to you, share with you the options that meet your requirements and will take the time to thoroughly explain what each option means in ways you can understand. Hiring a mortgage broker anywhere in Toronto who does not spend the necessary time making sure your needs are heard and met, can be disastrous.

At The Mortgage Center, you’ll meet Paul Mangion, a mortgage broker who served the Toronto area, and who has both the expertise and the people-skills to get the job done well. You can be assured that you have not only hired someone who has your best interests at heart, but also knows the mortgage industry inside and out. You’ll also be assured that the mortgage broker you hire for your house purchase in Toronto will be well connected with the other services you’ll need to make your purchase a smooth one. Visit Paul Mangion of The Mortgage Center, at www.gtamortgagematter.com today, and hire a great mortgage broker in Toronto to assist you with financing your new home.

Paul Mangion.
http://www.paulmangion.com/

Bellow is an article taken from the Globe & Mail Today that is very interesting to read. However I do want to point out that the article quoted CMHC who was the only analyst that predicted an increase in the housing sector, all major banks predicted a reduction in activity and prices. The thing that should concern us even more is the fact that US home sales are not improving, with prices still dropping. The facts are most banks have abandoned the selling of foreclosed homes and are now renting them out should be a sign of how things are not improving. Canada makes and supplies many of the building products used in US home construction including lumber. Since are economy relies heavily on exports to the US it is hard to imagine Canada climbing out of a recession during a period of Jobless growth and once the spending taps are closed this will become more evident. Of course these are my opinions based on the facts and how I interpret them so I will continue to provide you with the facts so you can make your own conclusions. I still sell 90% variable rate products which start at .75% below prime (1.75%) and in my opinion is the way to go in the current market conditions so click here if you would like to know more.


Paul Mangion

Toronto Mortgage Broker

416-204-0156

paul@paulmangion.com

http://www.gtamortgagematters.com/

High Ratio Mortgage Financing with Toronto Mortgage Brokers

Mortgage Loan Insurance Is Required By Lenders in Canada with less than 20% down payment


When you want to buy a house getting a mortgage loan thru a Toronto Mortgage Broker is the way that most people should choose. Before you get a loan to purchase a home you need to understand that mortgage loan insurance will be required by lenders if you have less than 20% down payment.

This loan insurance is needed because it protects the lender in the event of a default by you on the mortgage payments, and there is a deficiency in the sale. This insurance is not like all other types of insurance due to the fact that a premium payment is paid once upfront and can be added to the mortgage.

Read More About Mortgage insurance

A credit card company trying to save you money! Yeah right!

It was reported in the Globe and Mail that MBNA has increased their minimum payment by 66% in an effort to reduce their exposure to the record debt levels that Canadian’s carry and not to save their clients money by paying less interest as they claim. You can be sure that other issuers will follow, especially American Issuers as they struggle with their own operations in the USA.




For many people this will be enough to put them into a negative cash flow. So more than ever people will need to refinance and there will be less concern of how much the penalties are more concern about increasing cash flow.



There may also be a concern of rising interest rates that have prompted them to be pro active on this issue but while there will be higher rates in the future I doubt they will be immediate as there are so many negative things happening in the world today that runaway inflation in Canada is not likely to occur and they are still running a risk of deflation so the risk of quick increases is minimal.



Paul Mangion
M.O.S. MortgageOne Solutions Ltd.

http://www.gtamortgagematters.com/
paul@paulmangion.com