Mortgage Specialist

Real Estate London

A number of my clients have been asking questions about mortgages and what all of these announcements mean when buying property in Canada. We sat down with Mortgage Specialist Carina DeMedeiros to ask all your questions about interest increases, variable vs fixed, and more!

 

Interest Rate Increase

On June 7th the Bank of Canada announced an increase. Here were the key takeaways:

✨ Prime was increased by 25 basis points or 0.25%

Variable mortgages will automatically increase

✨ Fixed Mortgages are not directly affected (but have seen an overall increase)

Amortization

As variable rates increase, banks have been adjusting amortization so their clients can afford the payments. If you’re on a fixed mortgage and your term is coming up, you may be able to adjust amortization to see a more manageable payment.

✨ Amortization- number of years it will take you to pay off your mortgage at the current rate

✨ Term- length of time for your current mortgage contract

Fixed or Variable

The most asked and debated question in the mortgage community- fixed or variable? The answer for this depends on your situation so its important to speak with a mortgage broker.

First time buyer perks

Yes! There are some perks for first time home buyers.

✨ First Home Savings Account (FHSA)

✨ Take up to $35,000 from your RRSP tax free

✨ Land Transfer deductions

 

Downpayment help from parents

A number of my first time home buyers are receiving gifts or loans from their parents in order to obtain a down payment for their house. Is this a good idea?

 

It can be hard to navigate this market, especially as a first time home buyer. I am always happy to find answers for my clients and chat about the details of the market. Contact me today!

519-639-6221

 

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The Best Time to List

Real Estate London

If you’re thinking about moving, it can be hard to know when the best time to list will be. The housing market has been very unpredictable over the last few years. As we lean towards more of a buyer’s market, it’s important to think about the options you have and when the best time to sell might be.

Ultimately, ‘now’ is the best time for real estate. Having said that, take a look at the attributes of your house and when they might ‘show’ the best. The tips below could help you secure a higher price point.

 

Is your house ‘sell’ ready?

If it’s been a while since you painted, or have a few home renovations projects that weren’t fully complete, now is the time! A simple fresh coat of paint and finalizing home repairs can go a long way to add value to your home. A nice deep clean of the house can also help with the value of the sale.

Do you have curb appeal?

If your front yard landscaping is the envy of your neighbours, you may want to wait until the Spring to put it on the market. Beautiful gardens and a well maintained yard can really help up the price of a home. If you have a pool, selling while the pool is open can also help. Seeing how well maintained exteriors are is important to a lot of buyers.

Home efficiency

Have you recently upgraded to make your home more efficent? Added new windows and doors that seal the cold air from getting in? This could be an excellent way to sell your house in the winter months.

 

Remember, most homes sell in the Spring, so you can use that to your advantage. If your house has something unique about it, listing when people are looking would be ideal. If not, listing in the off season could bring more serious and committed buyers as there is less inventory.

Moving soon?

If you’re thinking about making a move over the next few months give me a call for a free home evaluation. I’m happy to chat about potential listing prices and what you may be able to get for your house. Keep an eye on on my socials for more tips and tricks!

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Give me call today and let’s get you home!

519-639-6221

Year in Review 2022

Real Estate London

We have never seen a year like 2022 in the real estate market. The year started off with the fastest increase jump of housing prices Ontario has ever seen, followed by a steep decline in pricing just a few months later. Interest rates were adjusted aggressively to cool the market, which quickly began to cut buying power. As housing prices level out, we are beginning to see how the market might settle. To say this year has been unpredictable would be an understatement.

Throughout it all, I had the chance to work with a number of wonderful clients on both the buyer and seller side. We launched our ‘Smartens London Living’ series where we talked about what different London neighbourhoods’ had to offer. The series proved to be a success and we will continue featuring London neighbourhoods into 2023.

We also had a number of discussions with BMO Mortgage specialist Carina DeMedeiros about the ever changing landscape of Mortgages in Canada. Though it looks like the Bank of Canada might start slowing down the increases, we will continue to keep you informed on the changes as they come.

Our social media pages also became a great place to connect and share home owner tips and tricks throughout the year. I will continue to share this information and am always happy to answer any questions you may have in all things real estate. To follow along, click on the links below.

2022 was a difficult year for many. I want to thank my wonderful clients for trusting me to find them a place to call home. 2023 is already shaping up to be a great year! Keep an eye out for listings coming to market and as always call me for any questions real estate related! I’m happy to help!

 Have a wonderful holiday season and I’ll talk to you all in 2023.

519-639-6221

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‘Trigger Rate’

Real Estate London

On October 26, 2022 the Bank of Canada increased interest rates yet again, bringing millions of people on variable mortgages potentially closer to their ‘trigger rate’. Our last series with Carina Demedeiros Mortgage Specialist was a hit, so we sat down with her once again to learn about ‘Trigger Rates’ and how these increases may affect those with variable mortgages.

Trigger Rates Explained

Trigger Rates have been in variable contracts for years, but this is one of the first times that they are actually being used. A mortgage hits a trigger rate when the amount you pay in interest outweighs your payments on the principal. If you are in a variable mortgage, you should contact your mortgage provider to see when this might affect your payments, if it hasn’t already.


If you’re currently looking at purchasing a new property and thinking about variable over fixed mortgage, take Carina’s advice. Sit down and make a family budget to see what you can afford (not what you are approved for- as those can be different things). If you do have funds available look at automatically increasing those payment so these interest rates won’t hit as hard.

Stay informed!

The Bank of Canada has indicated this increase wasn’t the last. I will be updating my clients about these increases on all my social channels. Follow along for all the industry updates, real estate tips and tricks, and of course new listings.

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Any other questions about getting into the market?

Give me a shout!

519-639-6221

Rising Interest Rates

Real Estate London

Once again the Bank of Canada has increased interest rates, this time by 75 basis points. What does this increase mean for you? We sat down again with Carina Demedeiros Mortgage Specialist to ask some of your biggest questions.

Early renewal?

Interest rates might continue to rise, should you be looking at early renewals or locking in your rates when shopping for a house?

Variable, or fixed mortages?

Many people are wondering if it’s still a good idea to go with a variable mortgage, or if fixed is the best route. 

 

 

What is the stress test?

Here’s a throw back to our video going over prime (0:20 sec) and the stress test (1:25).

 

 

Want to learn more about market changes? Follow along on our social pages:

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LinkedIn

 

Any other questions about getting into the market?

Give me a shout!

519-639-6221