Amazing in 2013 - Broker with a Difference

You wanna know what's new for 2013?  Well here's a sneak peak....

1.  New Lenders offering Greater Flexibility
2.  Satisfaction Guarantee
3.  Twitter - @Ayoungmortgages
4.  Network of Real Estate and Financial Professionals
5.  Donations made for every deal funded

These are just a few of the new ventures for 2013.  Looking forward to becoming your mortgage professional in 2013! 

Is it a good time to buy a house?

Yes!


Two Reasons...

1.  Buyer's market - better deals
2.  Low interest rates

Put those 2 together, you get a great deal on a house with a low interest rate!!!

Any other questions?

Thanks for visiting!

What's up with appraisals?

 

What’s up with Appraisals?

Let me begin with saying I am not an appraiser.  After many years in the real estate business as a Mortgage Broker and a House buyer, I have developed an understanding of the valuation of Real Estate.

Over the last 3 years, it has become increasingly difficult to anticipate the value of homes.  This has hindered refinances, debt consolidations and sometimes purchases. 

Values will change with the Real Estate market and with the economy.  As the banks tighten up their lending guidelines, more often than not, real estate values drop accordingly.  It is common to find that values drop in a “slow economy” like we are experiencing currently. 

How do appraisers establish a value for your house?  Glad you asked.

Age of the home

Condition of the home

Layout

Size (square footage)

Garage size (how many cars / size)

Land size (frontage / depth)

Recent sales of comparable homes in similar neighborhoods

Appraisers use their knowledge of neighborhoods and resale

Many times, people mistake the value of their home as what they could sell it for on the market.  The real estate sales market is not always indicative of the real value of the home.  For instance, just because the house down the street went multiple sale and went $25k over asking price does not make your $200k home worth $225k.   That is a result from a market condition.

It is important to seek out an experienced appraiser.  You can just ask me and I can get a great one for you!

Bottom line, “before you buy, sell or renew, speak with Andrew!”

Cover your ASSets

 

Cover your ASSets

Welcome back to an AWESOME approach to MORTGAGES.  We have missed you. 

If you didn’t already know, I recently got married and went on a wonderful honeymoon.  We traveled Eastern Europe and saw some amazing sights and met some brilliant people. 

During the process of preparing for the wedding, there were some very important things we needed to address.  We chose the menu for the dinners, the cake, the flowers, the seating arrangements for the tables, etc.  But there were a couple of fundamental things we addressed to protect ourselves before we got married…

1. We reviewed our life insurance, critical illness and living benefit policies
2. We created a will to protect our families and ourselves if anything were to happen to us.

Some might not think this to be very romantic, but it is necessary.  We had a great experience creating our will and our lawyer made it tremendously easy for us.  This process was seamless and we are more than happy with the result.  Our will is in a safe place and we have informed our loved ones the location of our will. 

Whether you have just recently secured a mortgage, renewing soon or have paid off your mortgage.  Please review your financial plan and your insurance needs.  There are many stages in life that you need to have proper insurance and adjust your financial plan.  In life, it is my goal to protect my beautiful wife, in the case that I am no longer around. I want her to be in a great position where she doesn’t have to worry about money and concentrate on erected a statue of me.

The bottom line is to get someone to look at these items for you!  I have some brilliant people I work with who will help guide you through the process and deliver relevant, realistic advice.

Please let me know when you would like me to introduce you to the professionals I use to take care of the important things!

As always, wishing you all my best!

Separations happen! Mortgage Wise is here to make it easier for you!

 

Separations Happen!

Writing this particular blog is ironic as I have my wedding in 18 days!  But it is important for people to know about their options when it comes to separation and divorce.

Going through a separation or divorce can be one of the most difficult periods in anyone’s life.

In addition to the heartbreaking end of a marriage, there are often difficult decisions that need to be made.  Where do the kids live?  How do you divide up the assets?

If you also own a matrimonial home you will certainly have other questions.

Who gets the house?  Can I possibly remain in my home?

Is there enough equity built up so that we can refinance to consolidate or pay out matrimonial debts and / or facilitate a buy out of my spouse?

The new mortgage rules effective July 2012 restrict the refinancing of one’s home to a maximum of 80% of the home’s value.

HOWEVER…there is a way to finance up to 95% of your homes value!

CMHC and Genworth Financial Canada, both suppliers of mortgage default insurance in Canada, will now consider applications for one spouse to buy the matrimonial home from the other spouse with financing available up to 95% of the home’s value.

Mortgage Wise can help.

Here is what we will need;

1. A Private purchase and sale agreement signed by both parties
2. A finalized divorce / separation agreement
3. A statutory declaration signed by the spouse who is relinquishing interest in the property
4. Lender may request additional support documentation depending on your individual situation and an appraisal may be required.

You have the questions.  We have the answers!

Thanks for visiting!

Improve your purchase!

 

Improve your purchase!

Have you found a property that you would like to do some renovations to? 

Maybe there is a property that you are interested in that needs some work.   Maybe there is a property that needs a lot of work before you can move into it.

Here’s how “Purchase plus improvements” works…

1. Find a property.

2. Evaluate the current value and the future value after improvements

3. Get quotes from reputable companies (on company letterheads)

4. An appraiser looks at the values before and after

5. Get the work done (appraiser visits the property) and get the monies refunded to you for the renovation costs

Here are the limitations…

1. You need to carry the costs of the renovations
2. You will need to put a minimum down payment of 5% of the improved value of the property
3. Most lenders max out the improved value to 10% of the purchase price to a Maximum of $20k.  Some will do 20% up to $40k. 
4. If you wish to do a larger renovation, we need to look into a “construction draw mortgage.”

Don’t you feel better now that you know???

I know I do for letting you know.

As always, I am available to help answer any questions you may have about this product and any other products.

Thanks for visiting an AWESOME approach to MORTGAGES.

Please feel free to share this with anyone that needs some mortgage questions answered!

Pre Approvals...What's up?

 

Pre Approvals…What’s up?

If you are thinking of buying a house or looking to renew within 120 days, DO IT!

2 main reasons to get pre approved…

1. Save a great rate for up to 120 days
2. Know that your comfortable with the rate and payments before you buy / Renew / Refi

With pre approvals, you know where you stand with your credit and how much you can afford.

There are 4 things we need to prove when you are purchasing a property:

1. Income
2. Down Payment amount and where its coming from
3. Credit
4. Affordability

Before we meet to do your pre approval, please have the following items ready:

1. Drivers License
2. Social Insurance Number
3. Recent Pay Stub (unless you are self employed)
4. Working knowledge of the debts you have

Let’s get you pre approved so you can shop with confidence!

Thanks again for visiting an AWESOME approach to MORTGAGES!

I missed you!

A cottage of your own!

 

A Cottage of your own…

Did you visit a cottage this summer?  Did you dip your feet off a dock into the refreshing lake?  Smell the fresh, woodsy air?  Watched the sunset from a wrap around porch?

Have you ever thought to yourself, “I would love to have my own cottage? Something to pass on to my children and my children’s children?”

It is easier than you think. 

You could purchase your own cottage with as little as 5% down!!!

We have access to a program called the “Secondary Home Program.”  We use this to help you purchase places such as cottages and single-family residences that are intended for the use of your family members. 

This is an amazing tool if you are looking to purchase your own cottage or a place for your parents, siblings or relatives.

For more information about your new cottage, please email me at Andrew.young@bemortgagewise.ca.

Thank you again for popping by an AWESOME approach to MORTGAGES.

Please feel free to share this with anyone who is looking for help with their mortgage needs!

Thank you for your support.

Renewals 101

 

Renewals 101…

So you are renewing…  Now is the time to start thinking about saving a great rate!  We have the ability to hold a great fixed rate for up to 120 days.

Allow me to make things easy for you.  At renewal, you now have the ability to switch up your term, amortization, lender and rate! This gives you the opportunity to change some things about your mortgage.

So what happens now?  We get to shop, shop around for the best term and rate for you.  We get to do what I do best… Find the best options for you!

So what will you need?

-       Recent Mortgage Statement

-       Renewal Statement

-       Proof of Fire insurance

-       Copy of 2 pieces of ID (front and back)

-       Void check (where you want the payments to come out of)

Most of the time you don’t even need a lawyer.  This saves you time and money.

Plan ahead! Start thinking about your renewal now.

Let’s lock you into a great rate now. If the rate goes down within the 120 days, you get the lower rate. 

Thanks once again for taking the time to read An AWESOME approach to MORTGAGES. 

If you know of anyone that is looking to buy, sell or renew, I would love an opportunity to meet with them.

If you know of anyone that would enjoy my blog, please feel free to share it!

Remember…..

Andrew Young gets it done!

So you would like an Investment Property....

 

So you want an investment property...

Don’t trust the investment market?  Looking for something more secure? 

Care to grow some equity and perhaps some monthly income as well?

Good call!

Here are some things you need to know;

If you are looking to purchase a multiple unit residential property, there are a couple of options;

1. If you are going to move into one of the units, all you need is 5% Down Payment as you will be occupying the property. (This applies to properties up to 4 units for most companies)

2. If you are not going to be occupying the property, you will need 20% Down. (Up to 6 units)

If you are looking to purchase a mixed use commercial / residential building, things get a little bit more difficult.  (Commercial rental space with residential above it for example)

1. Even if you are looking to move in, you will need at least 25% down for this type of property in most cases (depending on the zoning)

2. This property is considered commercial, therefore different rates / appraisal costs apply. This type of financing takes a lot longer than residential because there are more calculations to be made and more paperwork to be done.

How do you qualify?

Lenders use the same calculations to approve you, with a couple of considerations.  Here is how we do it;

We take your monthly must pay credit items

Mortgage payment +Property tax +heat / hydro, Credit Cards +LOC + Car Payments, etc.

                                                           

Dived by

Gross Monthly Income + 80% of Rental income (most companies)

*Under the new regulations, your GDS / TDS needs to be below 35 / 44% (for most companies)

Please consider this a brief introduction to rental properties.  If this is something you would like to consider, please contact me and I will be more than happy to meet with you and discuss your options.

Thanks again for visiting!  Please feel free to share with the people you know.

Andrew Young gets it done! 

519.630.5905

Ch Ch Changes

Things change, people change, but today I will talk about how the Mortgage rules changed...

As you may or may not know, mortgage qualifying rules have changed recently.  

Like the weird Greek guy in my elevator,  some people are confused about the changes.  

In my constant effort to make things easy so I can understand them, I will break them down...

1.  The new maximum amortization for a purchase if you have less than 20% down payment is 25 years.  If you have 20% or more for a down payment you can still get the 30year amortization .

2.  If you own a place and looking to refinance your property, you can only use 80% of the value of your property.   Under the old rules, you could go up to 85%.

3.  If you are purchasing a property over $1 million dollars, you will need 20% down payment.

4.  If you are looking for a Homeowner Line of Credit, you can only go up to 65% of the value of the property.

That was easy!  And as always, if you have any questions, please feel free to email me at Andrew.young@bemortgagewise.ca.

If you know of anyone who would find this information useful, I would appreciate an introduction.

Thank you once again, and remember...

Andrew Young gets it done!

Because of you!

 

Because of you!

You never truly know something until you experience it yourself!  That’s why giving back is so important!

Every morning I purchase a gift.  As I go through my day, I get to give this gift to someone who has made a difference in my life.  My hope is to make someone’s day and hopefully they can pass on their energy to someone else. 

Showing my gratitude to the communities that have supported me is paramount.  Without your support, I wouldn’t have found the success I have found, and wouldn’t have been able to give my time and money to the Not for profit and Charitable organizations.

Over the years I have been lucky enough to support the following organizations;

-       Canadian Diabetes Association

-       Heart and Stroke Foundation

-       Make a wish Foundation

-       Canadian Cancer Society

-       Women’s Community House

-       London Humane Society

-       Habitat for Humanity

-       London Food Bank

-       Eco Living London

Thank you for your trust!  Thank you for your support!  Thank you for your referrals!

Giving back means the world to me and the people I am able to help. 

You have my gratitude and my love!

If there is an organization that is important to you, please let me know about it.  I would love to help out. 

If you know of anyone who would benefit from the type of work I do or my blog, I would appreciate an introduction. 

Andrew Young Gets it Done!

Banks or Brokers...The Truth

Banks or Brokers… The Truth

People often shop for the best rates on car insurance and clip coupons for a 50cent discount on crunchy peanut butter.  I’ve heard of people spending an entire morning leafing through flyers to find the best deals.

But more often than not, people settle on just one opinion on a mortgage that they may spend up to 40% OF THEIR MONTHLY EARNINGS ON…

- REALLY?  Why shop around something that could possibly save you LITTLE MONEY in the short term and not shop around something that could save you A LOT OF MONEY in the long run? 

The banks do what they do very well.  That is why they show massive increases year after year.  I know this because I started my mortgage career with the banks.  I know how they operate and what they have to offer. This brings me to my next question…

WHY LIMIT YOURSELF?

No matter which bank or credit union you choose, they all have limited options and ultimately, limited rates.

SO WHAT MAKES A BROKER SO DIFFERENT?

Focus - As a Broker, I deal with Mortgages and Homeowner lines of credit.  I will not try to sell you a visa, RSP or TFSA (Not that I don’t believe in them), but I concentrate on getting you the best mortgage.

Experience – I have a vested interest in your experience!  When I do a great job for you, you will hopefully tell your friends, family and co-workers.  This is how my business grows.

Choice – As a Broker, we have the ability to shop your mortgage around for you.  We have access to Major banks, credit unions, MBS’ (mortgage backed security companies), “B” lenders and private money.  We have the most flexible options available to you.

Service – As a broker, I can be reached after regular business hours.  Just call me on my cell phone, email me, text me, Tweet or Facebook me. 

Savings – We get daily notices of special rate offers.  Our lenders like to reward our clients with special rate discounts.  We get to pass this savings on to our loyal clients.

Personality – Try me out, you’ll see what my clients are talking about!

So in closing, let me save you money, offer you great choices, be available to you, and show you a great time while delivering it all!

And if you don’t like that, there is always the bank…

If you enjoy the contents of this blog or know of someone who could benefit from the type of service I provide, please forward this to them.  I truly appreciate your time!

Convenience. Clarity. Control.

Busy day.  Feeling overwhelmed.  Time is running out on your work day.  You need to somehow find some time to go see about your mortgage. 

Stop worrying! Stay awesome! 

I am available and happy to meet with you after your work day!  It's no problem to meet you at your home or your work.  Wanna get away from the distractions?  We can meet at my office which is conveniently located on Wellington Road.  If you need a hit of caffeine, we can meet at your favorite coffee shop.

You no longer have to run around to suit someone else's schedule.  We can work around yours. 

Convenience.  Clarity.  Control.