A second mortgage is an additional mortgage on a property where a primary mortgage already exists. Second mortgages are secured against the same equity as the first mortgages. Therefore the second mortgage is based on the property’s current value and the amount that is still owed. Second mortgages are often granted by the lender of the first, but can be obtained from a different lender.
Read more about Tornto second mortgages
Tuesday, August 31, 2010
The place to go for cheap mortgage rates!
It’s easy to find cheap mortgage rates advertised in a hundred places online or in local media, but cheap mortgage rates are not all created equal. Not only will there be several different interest rates offered by similar companies in a geographical area, but there is also quite a large difference between mortgage offers even within the same lending company!
Read more about mortgage rates
Read more about mortgage rates
Friday, August 6, 2010
Softening Economy Should Slow the Rise of Bank Prime. August 6th, 2010
Canada’s Housing market is slowing and is expected to continue to slow as inventory rises. Supply of resale homes has risen by 3% in the second quarter of 2010 while demand has fallen 9% during the same time period. The new CMHC rules that came into effect April 19th, 2010 combined with the HST caused a massive run up in prices with multiple offers being the norm in the first quarter of 2010 which added fuel to the decline in prices and the lack of willing buyers.
Housing sales in Toronto have fallen 34% In July from the previous month and prices have declined an average of 3.3%. Vancouver and Calgary where even worst and this is all happening when fixed and variable interest rates are extremely low. I would expect this trend to continue until at least the 2nd quarter of 2011.
Employment numbers for Canada and the US released today are also terrible with Canada expecting to gain 14k jobs but actually loosing 9k jobs and the unemployment rate edging up to 8%. The US was even worst as they expected to lose only 61k jobs but actually lost 131k jobs. We will most likely see one more interest rate hike this year since Carney seems to be committed to this but then I expect rate increases to stop. Carney will have to wait to see going forward how the Canadian economy unfolds and for the US to start raising rates which at this point will not happen until 2012 and beyond.
The Bank of Canada can only start raising rates again if the threat of inflation is there and the US starts it’s tightening but from my perspective I don’t see this happening and if deflation sets in we could see low interest rates for some time and more stimulus spending and easy money. The two increases the Bank of Canada has done already has worked better and faster than anybody could have predicted so more interest rate increases could have a negative effect on the economy which nobody wants.
People will need to feel stable with some security and housing prices will have to stabilize before they will start borrowing again and climbing interest rates will not provide this effect and news from the US that there housing market has not even hit the bottom yet will only cause more negative consumer confidence.
I was in Michigan last weekend helping to raise money for a children’s hospital over there and I can tell you I did not see any signs of a bustling economy there. In fact the Shopping Mall was all but empty on a Saturday afternoon. If Americans don’t start spending this will eventually spill over into Canada since they are our largest trading partner and further downward pressures which will ultimately create more belt tightening.
Paul Mangion
http://www.gtamortgagematters.com/9961/softening-economy-should-slow-the-rise-o.aspx
Housing sales in Toronto have fallen 34% In July from the previous month and prices have declined an average of 3.3%. Vancouver and Calgary where even worst and this is all happening when fixed and variable interest rates are extremely low. I would expect this trend to continue until at least the 2nd quarter of 2011.
Employment numbers for Canada and the US released today are also terrible with Canada expecting to gain 14k jobs but actually loosing 9k jobs and the unemployment rate edging up to 8%. The US was even worst as they expected to lose only 61k jobs but actually lost 131k jobs. We will most likely see one more interest rate hike this year since Carney seems to be committed to this but then I expect rate increases to stop. Carney will have to wait to see going forward how the Canadian economy unfolds and for the US to start raising rates which at this point will not happen until 2012 and beyond.
The Bank of Canada can only start raising rates again if the threat of inflation is there and the US starts it’s tightening but from my perspective I don’t see this happening and if deflation sets in we could see low interest rates for some time and more stimulus spending and easy money. The two increases the Bank of Canada has done already has worked better and faster than anybody could have predicted so more interest rate increases could have a negative effect on the economy which nobody wants.
People will need to feel stable with some security and housing prices will have to stabilize before they will start borrowing again and climbing interest rates will not provide this effect and news from the US that there housing market has not even hit the bottom yet will only cause more negative consumer confidence.
I was in Michigan last weekend helping to raise money for a children’s hospital over there and I can tell you I did not see any signs of a bustling economy there. In fact the Shopping Mall was all but empty on a Saturday afternoon. If Americans don’t start spending this will eventually spill over into Canada since they are our largest trading partner and further downward pressures which will ultimately create more belt tightening.
Paul Mangion
http://www.gtamortgagematters.com/9961/softening-economy-should-slow-the-rise-o.aspx
Tuesday, August 3, 2010
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.....
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.....
Tuesday, July 20, 2010
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
Thursday, July 8, 2010
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...
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...
Monday, July 5, 2010
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/
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/
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