Thinking About Purchasing a Home? Why Now Could be the Best TimeKent Chapman, Mortgage Associate
Brayco Mortgage
A mortgage is
one of your biggest lifetime purchases.
Being able to get the right advice to meet your lifestyle and financial
goals is critical.
Your needs are
unique and matching them with a suitable mortgage is just the beginning. Having access to over 30 lenders allows me to
look for your best options in an unbiased and objective way to save you
money.
Getting the Right Advice
- New
Purchase / Refinance
- First Time Homebuyers
- Non-salaried Income
- Troubled Financial History Investment/Vacation
- Second Mortgages
My expertise
in understanding the mortgage requirements for each lender allows me to
structure and position your unique situation.
These relationships are built on Trust, Respect and the Spirit of
Growing our Businesses in partnership.
Thanks
to historically low interest rates and a recovering economy, Canadians are
buying homes at a record pace. According to the Canadian Real Estate
Association, home resales hit an all-time high in December, up 72% from
December 2008! Of course, this is great news for the housing industry and
overall economy, but the federal government is sending signals that it would
like Canadians to proceed with caution.
The
Bank of Canada has already announced that it will likely start raising interest
rates by mid 2010. Within a couple of years, mortgage rates could be as much as
one or two
percentage points higher. What worries the government is that some of today's
homebuyers are taking on mortgages they can just barely afford, and when rates
start rising, payments may be unmanageable.
To
encourage buyers not to get in over their heads, the government is hinting that
it may take steps to cool down the housing market, if necessary. Possible
actions being discussed include increasing the size of the down payment
(currently at 5%) and/or reducing the maximum allowed amortization (currently
at 35 years). Both of these steps could potentially cut many homebuyers out of
the market.
If
you're considering buying in the next year, you may want to act sooner rather
than later. Buying now means taking advantage of record low interest rates, a
manageable down payment and a more flexible amortization. If you wait too long,
all of these advantages may be lost and homeownership could suddenly be out of
reach.
