Vancouver Mortgage Blog

Vancouver Real Estate: Buying Your First Home

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Wed, 17 Dec 2008 22:21:42 -0600

Vancouver Real Estate: Buying Your First Home

Buying your first home in metro Vancouver is not difficult if you have the income to qualify for financing. If you make around $56,000 a year gross income, you can be qualified for a loan around $255,000 at 5.25% interest rate, 30 years amortization. At today's low rates around 4.5% and stretching you loan to 35 years, you can get a loan up near to $300,000.

You can buy with as little as 5% down payment, or if your parents are able to help out, they can provide the 20% down payment you need.

Renting versus Owning

Renting is for the short term. If you want to build wealth, home ownership is a proven way for many home owners to build wealth. A home say at $280,000 value can be rented at around $1,400 a month.

Now, lets look at some numbers when you are owning your home. If you can provide the 10% down payment, you will be financing your home with a $255,000 mortgage (including 2% mortgage insurance premium). Your monthly mortgage payment for the loan is around $1,400 a month. The cost home ownership is around $250 a month more than renting when you add your maintenance fees and property tax.

You initial mortgage principal pay down is at around $296 the first month, and this increases about a $1 each month on your principal repayment. This may not be much in building your home equity. But, over hthe long term, a 5% appreciation in your home value makes owning your home a winner.

Paying Off A 30-year Mortgage Sooner

You can pay of your 30 years mortgage in just over 11 years at the same monthly mortgage payment as your 30 years mortgage. A mortgage repayment accelerator program like Money Merge Account will optimize and accelerate paying off your mortgage.

Wealth building through the purchase of a second home can start as soon as you are comfortable with your finances, and the discipline involved in managing your mortgages. Finding the down payment for your second home can be worked out. There are many ways how this can be done. If you have built up enough equity, co-ownership with family members or your family income has increased substantially, you can plan on buying your second home.

You can view the latest Richmond and Greater Vancouver housing market information here.

If you like to find out how you too can benefit from real estate ownership, you can contact me at 604-721-4817 or email me.

Building Your Mortgage Business

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sat, 29 Nov 2008 16:40:25 -0600

Building your mortgage business required good planning. Working as a team helps greatly in building your mortgage business. Team efforts outperform individual efforts because in a team environment, special effort from team work results in higher productivity . Team members work together magnifying their personal energies and talents to deliver tangible results.

Team Incentive

Working as a team helps to leverage your time and income. The TMG team model allows you to recruit other mortgage brokers to join your team. As a team leader you are paid 10% on the commission earnings of team members you recruited.

Incorporating Money Merge Account Activities

TMG's team concept and United First Financial MMA business concept can help you build your business many times bigger than doing it on your own. A team member can provide a unique "customer for life" service to their customers using the money merge account system. Home mortgages are often multi-generational as the parents are involved in their grown-up working children's purchase of their homes.

A team can provide better service to their home owners when they are able to provide a comprehensive personalized mortgage service to their clients. If you are planning to join a mortgage team in Greater Vancouver, You may want to check out how you can expand your mortgage business by joining the Vancouver Home Mortgage team.

Vancouver Home Mortgage

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sat, 29 Nov 2008 15:58:33 -0600

Vancouver home mortgage and loan service is a 24/7 one-stop mortgage solution for home owners. If you are interested to find out more information on how best your can manage your mortgage and pay off your loan in 8 years or less. Follow this link to read how you can save thousands of dollars in mortgage interest payment.

The mortgage market in Canada is still evolving. There is a constant partnership-competitor conflict between Canadian Banks' and mortgage brokers for home owners. The Banks' retail banking operations are separate from their Broker Service mortgage business.

Home owners are using Mortgage Brokers for their personalized services and access to better mortgage rates!

Mortgage brokerage companies are at a disadvantage position for mortgage renewal business. Currently, over 80% of home owners renew their mortgages with the same lenders when their mortgages are due for renewal.
Some mortgage bankers are working closely with their mortgage brokers in retaining their book of business.

Mortgage Interest Savings

Any home owner can save tens of thousands of dollars in interest payment on their home mortgage. In recent years, Manulife One is the only mortgage plan being promoted to home owners on how they can accelerate repayment of their mortgages.

A new innovative mortgage program called Money Merge Account program is now available to home owners in the US and Canada. You can contact James Wong at Vancouver Home Mortgage.com for more info on this program.

Customer For Life

Any experienced mortgage advisor will learn to develop their own market and source of business referrals. Mortgage is a commodity and home owners are sensitive to the rates being offered, and valued the service of a mortgage broker.

Your can see for yourself on the comparison here that the overall mortgage savings are affected much more on how the mortgage principal is repaid than the mortgage rates.

Building A Mortgage Business

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sun, 23 Nov 2008 17:52:37 -0600

The mortgage business like any service business is about "Marketing You" and being seen and noticed by the public what you do for a living. Home owners and home buyers have a need for home mortgages and they are motivated for self-interest to find the best mortgage products that help them save money.

Large Market For Mortgage

The news media have helped to bring to the consumers the awareness and services provided by mortgage brokers. Most consumers are still fixated on shopping for the best or lowest rate mortgages. Your role as a mortgage advisor essentially is to win over your client's mortgage business and hopefully "to keep the business and the client for life".

Branding Yourself

TMG will be the first mortgage brokerage company that can offer your own branded TMG mortgage products. Your mortgage lenders who are not working with TMG and you as "business partners" are more often your competitors. The reason being onces the your client's mortgage is placed with your lender, your client is likely to renew his or her mortgage 80% of the time. You do not get paid if the lender is not your business partners, and your are not protected through a "trailer-fee agreement".

Mortgage Advisory Service

The signing of a mortgage by a home owner is only the first step in his or her financial obligation to repay the loan according to the term of the loan contract. As a mortgage advisor, your value to your client is helping the client save money by "designing a mortgage repayment plan" that will result in the mortgage being paid off in "half-the-time"

The availability of TMG branded mortgage insurance and fire insurance will compliment your role and service as a one-stop solution to your home owner's mortgage needs. This further reinforce your role as your home owner's personal mortgage advisor.

If you are exploring the career opportunity and like to become a Mortgage Broker, you are welcome to contact me at 604-721-4817 or email me. The income for a Mortgage Broker can be greatly increased by promoting the Money Merge Account program to homw owners.

The Many Ways How A Mortgage Broker Gets Paid

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sun, 23 Nov 2008 17:18:39 -0600

A mortgage broker get paid for his effort in bringing a mortgage deal to a mortgage lender. He or she is not an employee of any mortgage lender, but works independently helping borrowers with their home financing needs. The compensation is only paid when a mortgage financing deal is successfully completed.

Direct Compensation

Depending on the types and terms of the mortgages being funded, a mortgage advisor may be compensated from 50 bps to 80 bps on the traditional fixed term and variable term mortgage products. The commission payable by a lender is based on the mortgage loan amount, and 100 bps fee is amounting to 1% of the loan amount. Some mortgage lenders use a matrix system while others may change the compensations according to the special promotions or rate discounts they offered.

Volume Bonus

This is an additional commission payable on the deal by a lender to a mortgage company based on a mortgage company's annual business volume target set by a lender. A larger and more established mortgage brokerage will likely be compensated with the highest volume bonus payment of 35% or more.

Commission Split with Brokerage

Majority of the Canadian mortgage companies set individual sales targets for their broker, and the split a mortgage broker receives may range from 75% to 90% of the direct commission and volume bonus. The annual commission a mortgage broker receives varies and is largely dependent on the number of deals the broker is doing.

Other Fee Incomes

There are other incomes a mortgage broker may get from direct sales of Money Merge Account system, referring mortgage life insurance, referral fees from real estate referral deals, commercial mortgages, mortgage investment corporation, etc.

Broker Fees on Non-traditional Loans

There are other income opportunities for a mortgage broker. He or she may get paid on sub-prime mortgages, private mortgages, construction loans and other mortgage services provided by the broker.

Trailer Fees - Your Business Model

Some mortgage bankers are working on compensation models that enable a mortgage broker to build up their book of business by retaining mortgage borrowers book of business through renewal of borrowers' mortgages. TMG will be providing a TMG Mortgage that will help the brokers to build their own mortgage businesses and keep their customers.

This is the future direction and change to mortgage origination and customers retention business model for any mortgage broker. Being paid once for placing a mortgage and only having less than 20% chance of being paid again the second time when a client's mortgage is due for renewal is not for your long term interest.

Have questions you like to get the answers, you can view the my mortgage savings website or email me.

Vancouver Mortgage Broker - Independent Mortgage Advisor

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sun, 23 Nov 2008 17:01:39 -0600

The role of a Vancouver Mortgage Broker is to help their clients with their mortgage financing.

A mortgage broker acts as an intermediary who sources mortgage loans on behalf of individuals or businesses. Typically, a mortgage broker is paid by the lender based on the loan he or she successfully placed with a lender.

A Vancouver mortgage broker would prefer working within a geographical area so as to better serve their clients.

A Mortgage Broker has to perform many tasks like:

* Marketing to attract clients
* Assessing borrowers circumstances, including credit history and incomes.
* Assessing the market to find a mortgage product that fits the clients needs.
* Getting a pre-approval or approval from the lender(s)
* Gathering all needed documents like paystubs, bank statements, employment letter, etc.
* For strata propertries, ensure all required documents are gathered for the lender.
* Explaining the legal disclosures and forward Solicitor contact to lender.

Market Acceptance

The proportion of purchasers using the services of mortgage brokers has risen to 33% from 2006's level of 27%. Mortgage brokers enjoy 26 per cent of the mortgage market share in Canada, according to an annual survey of mortgage buyers by Canada Mortgage and Housing Corp. (CMHC).

Even with today's low mortgage rates, an increasing number of Canadians are shopping around for the best rates. They are all motivated by getting the best rates possible to save money on their mortgage payments. There are huge savings a home owner can benefit by learning how to manage and optimize their mortgage payment.

How To Become A Mortgage Broker in Canada?

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sun, 23 Nov 2008 16:39:04 -0600

The licensing of a Mortgage Broker in Canada is regulated by the various provincial authorities under the Ministry of Finance. Quebec is unique in all of North America as its laws are based on the Civil Code. The law permits mortgage brokerage to be performed by those in the finance industry, as well as those in the real estate industry.

A Mortgage Broker or mortgage advisor is an individual who is a registered, licensed and trained mortgage specialist helping his or her clients with their home financing needs.

Mortgage Broker Career

Anyone who are looking for more information on becoming a Mortgage Broker can search online using common Google search terms like "Canadian Mortgage Broker licensing requirements", "obtaining a Mortgage Broker License", "Mortgage Broker career in Canada", "how to become a Mortgage Broker", etc.

How a Mortgage Broker gets paid?

A mortgage broker is not paid a salary by the mortgage broker company he is licensed with. Instead he or she receives a fee or commission as financial compensation for bringing a mortgage business to a mortgage lender. An independent Mortgage Broker can access the mortgage products of mortgage lenders who are funding deals through their Mortgage Broker Centres.

Mortgage Specialists Working For Canadian Banks

Some Canadian Banks like Royal Bank and Bank of Montreal employed their own Mortgage Specialists to promote the bank's mortgage products. For these Mortgage Specialists, they only can promote their own bank's mortgage products, and alternative lenders that are endorsed by the banks.

These Mortgage Specialists may be paid a basic salary and sales commission on deals they successfully funded through their banks. Some of these specialists may be paid solely on commission on t he deals that they done with the banks.

A new mortgage repayment program that does not required a person to be licensed called Money Merge Account system by First United Financial is available for any finance and real estate related person to become the company's agent.

For more information on how to become a licensed Mortgage Broker, or becoming an Agent for First United Financial, you are welcomed to email me.

The Mortgage Business In Canada

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Tue, 18 Nov 2008 19:03:11 -0600

The mortgage business in Canada is well developed and home buyers have easy access to many mortgage lenders for home financing when buying their homes.

Definition of A Mortgage

A mortgage loan is a loan secured by real property through the Sunday, June 15, 2008 use of a mortgage - a legal instrument. The word mortgage used commonly by consumers everyday is often referred to as mortgage loan.

As with other types of loans, mortgages have an interest rate and are scheduled to be repaid over a period of time - normally from 25 to 40 years in Canada. Mortgage lending is the primary mechanism used to finance the private ownership of real estate.

The Income Opportunity

Home ownership in Canada is a multi-trillion dollars business. Home loan origination by Independent Mortgage Brokers or Consultants accounts for about 25% of the total home loan business in Canada.

Mortgage Brokers are independent agents who work for themselves and not for the mortgage lenders. A Mortgage Broker is paid a commission or fee for the mortgage business that he or she successfully places with a mortgage lender. The income potential for successful Mortgage Brokers is high and can be very rewarding for those who find their market niches.

Requirements To Become A Mortgage Broker

All Mortgage Brokers are required to pass a sub-mortgage broker course before they are can be licensed and registered to work as sub-Mortgage Brokers. Employees of Canadian Banks, Credit Unions and Trust Companies are exempt by the Government and not required to be licensed to market their employers mortgage products to home owners.

For more info on becoming a mortgage broker, you can send me an email using the email-link to the right.

Want To Become A Mortgage Broker?

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Tue, 18 Nov 2008 18:41:20 -0600

Have you been thinking how you can become a Mortgage Broker?

There are online resources you can do your research on the career prospect for a Mortgage Broker. The attraction of the mortgage business is the low cost to become a licensed Mortgage Broker, the freedom to work your own hours and the attractive commission income you can generate from the business.

You are in control

In today's competitive home financing business, service is everything. You have the access to the most competitive mortgage rates from dozens of mortgage banks and lenders. When you join a leading mortgage company, you have the tools to become a successful Mortgage Professional.

The Mortgage Group

If you are thinking of joining a mortgage company, I welcomed you to join my team. You will find that The Mortgage Group has the business building tools and management support to grow your business.

With over 400 Mortgage Advisors across Canada, you are in the company of dedicated home loan specialists helping home owners achieving their dreams of home ownership.

If you like to have more information about your career prospect, or how The Mortgage Group can help you build your own mortgage business, your are welcomed to send me an email using the "email-link to the right" of this post.

Sincerely,

James Wong
TMG The Mortgage Group

TMG The Mortgage Group > Richmond Mortgage Broker

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sun, 09 Nov 2008 23:19:34 -0600

TMG The Mortgage Group > Richmond Mortgage Broker, James Wong offers you one-stop convenience and impartial advice when you shop for your mortgage.

We can help simplify your home financing and purchase decisions. You'll find answers to mortgage related questions and we can help you choose the mortgage that's right for you.

Richmond Mortgage Broker

We deal with a network of over 30 Canadian Banks and Mortgage Lenders. For borrowers who are having difficulties getting their mortgage financing from traditional financial institutions, we can access home financing from alternative mortgage lenders.

Managing You Mortgage

Most homeowners realize that by the time they pay off their $200,000 loan amortized over 30 years at 5.5% per annam interest rate, they would have paid $206,000 in mortgage interest.

There are a few simple mortgage saving ideas that can help shaving off thousands of dollars in mortgage interest payment from your mortgage. Smart mortgage management can help you pay of your mortgage in a third of the time you'll take without having to increase your regular monthly payment.

For more information on home financing, you are welcome to contact your Richmond Mortgage Broker, James Wong at 604-721-4817 or email me.

Save On Mortgage Interest Payment

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sun, 09 Nov 2008 22:52:38 -0600

How much can you save on mortgage interest payment?

Your savings can be as much as tens of thousands of dollars in interest payment. It is also possible to pay off your mortgage in about one-third the time on your 30 years mortgage. The great news is that you achieve this result by making the same regular monthly mortgage payment on your 30 years mortgage.

Most home owners are concerned about the mortgage interest rates they are paying. Good mortgage management goes far beyond getting a good rate. While most home owners are aware and express the desire to pay off their mortgages early, a more disciplined approach and active management of their mortgages can help them save thousands of dollars in mortgage interest payments.

Most home owners are already using accelerated mortgage repayment plan to pay off their mortgage. But, until now, no one has provided them with a “mortgage repayment accelerator” program that they can effectively take control of their mortgage repayment.

Money Merge Account

Pre-payment and weekly, bi-weekly payments are adopted by most home owners. A more concerted and aggressive mortgage repayment program can effectively reduce a 35 years mortgage to one-third the time, and saving home owners hundreds of thousands of dollars in mortgage interest. Wealth building through real estate investment is now so much easier with athe help of Money Merge Account software system.

More information on the Money Merge Account Program can be viewed here.

You can email me for more details on how you too can pay off your mortgage in one-third the time,and save thousands of dollars in mortgage interest payment.

Vancouver First Time Home Buyers

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sun, 09 Nov 2008 22:38:13 -0600

If you are a Metro Vancouver first time home buyer, you need to consider the following issues:

1). How much mortgage? You need to find out how much mortgage financing you required. In addition to your down payment, you have to budget for expenditures on home furnishing, repairs, replacement of appliances, renovation, etc.

2). How much down payment do you have? The more down payment you can provide, the less you need to borrow for your mortgage. You may use your RRSP savings as down payment for your home. As a first time buyer your can withdraw up to $20,000 (or $40,000 per couple) tax free from your RRSP account.

3). High ratio mortgages. If you qualified can buy a home with as little as 5% or 0% down payment. If your down payment is less than 20% of the purchase price, you are required to buy a mortgage insurance. Click here for CMHC’s website on buying a home.

4). Pre-approval. When you are pre-approved, you know exactly what your price range, how much to borrow, the interest rate and your monthly payment. Pre-approval also helps in guaranteeing your mortgage rate for 90 days or 120 days depending on which bank.

The Government of Canada has 2 home purchase programs that help a first time buyer purchasing a home. You should find out if you are eligible to take advantage of these 2 programs, namely:

a) Property Transfer Tax Exemption
b) Home Buyer’s Plan - using your RRSP for down payment

For more information on home financing, kindly contact me at 604-721-4817 or email me.

You Are Richer Than You Think

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sun, 09 Nov 2008 18:02:58 -0600

You may not realize that you are richer than your think. If your nett after tax family income is $50,000 a year, you would have received $1.75 million over a 35 years period while working.

This is not a small sum of money. But, the question is, how do you manage the money you received, and how you use the money to build wealth for your family.

Building Wealth Through Real Estate

One of the best reasons to invest in real estate is leverage. With real estate, you can leverage to buy up to 4X or 5X the value of your investment. A 20% down payment for a $200,000 home requires you to put down $40,000. In 2 years with a 10% increase in value, your home is now worth $220,000. Your return on investment is $20,000, or 50% over a 2 years period.

Over the long term, real estate prices going up 5% a year is not unusual. In recent years, Greater Vancouver home prices had gone up double digit every year for the past 5 years.

Paying Off A 30-year Mortgage Sooner

You can view the latest Richmond and Greater Vancouver housing market information here.

If you like to find out how you too can benefit from real estate ownership, you can contact me at 604-721-4817 or email me.

Dealing With Mortgage Payment Problem

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sat, 08 Nov 2008 22:18:49 -0600

Mortgage payment problem increases when home owners are faced with financial difficulties. A slowdown in the real estate market is seeing home prices dropping in many regions.

The recent drop in real-estate values is sending homeowners to the poor house. A recent Vancouver Sun article "Bankruptcies climb in B.C." high-lighted the blight of many home owners who are in financial difficulties.

Mortgage Delinquency

There is a close link between house prices and mortgage delinquency rates. Most delinquencies and foreclosures are often precipitated by life events such as the loss of employment, illness and divorce. However, the amount of equity in a home affects the ability or willingness of a homeowner to keep current on his or her mortgage payment. This is especially true for home buyers who bought in recent years, after a huge run up in home prices, and whose mortgages were secured with little or no down payment.

Maxed Out

These home owners have no flexibility to tap into the equity in the house to weather the financial difficulties. For borrowers who are able to afford their loans, they will have to cut back on their lifestyle expenses, or try to earn more income to cover their expenses.

In Canada, walking away from a mortgage loan obligation may not be an option for a home owner. Canadian mortgages are recourse loans that the mortgage lenders can continue to persue to recover the losses from borrowers even after the homes have been foreclosed. Click here to view a Global BC video segment on BC Real Estate Foreclosures Explode!

Second Mortgage Financing

If you have some equity in your home, you may be qualified for a loan. Generally, if the additional loan plus your first mortgage is less than 80% of your home value, you may be able to tap into your home for the money you need.

If you are in need of money, and your bank is not able to help, you can contact me at 604-721-4817 for a discussion. If you have the equity getting the money through second mortgage financing can be done in a matter of a few days.

Demand For Vancouver Second Mortgages Expected To Increase

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Sat, 08 Nov 2008 21:12:30 -0600

Expect A Jump In Demand For Second Mortgages

Going Broke

Some Canadian home owners are maxed out! A home owner who is facing a serious financial problem and insolvency should read CBC's recent Personal Finance article "What to do when you can't pay your bills." There are not many options for a home owner to deal with the problem.

In recent months, personal bankruptcy has steadily increased. A recent Canwest News Service release, "Canada: Bankruptcy numbers rise" was pointing to a more difficult time for some Canadians.

A major cut back in personal spending and getting rid of major financial obligations have to be made.

Home owners demand for Vancouver second mortgage will go up due to dropping home prices, tight liquidity problems and tightened lending by Canadian banks. A home owner's personal and family finances will only improve when incomes and expenses are back into balance.

Second Mortgage Financing - A Short Term Solution

If a home owner has enough equity in his home, he may be able to take equity out to finance his emergency cash requirement. A home owner has to understand that second mortgage financing is only a short-term solution to solve his cash needs. A second mortgage may give a home owner the breathing space to sell his home at a more favorable price. Without a second mortgage to tie over the few critical months required by a home owner, his loss will be much more if his home is foreclosed.

A recent Global BC video segment " BC Real Estate Foreclosures Explode!" high-lighted the huge increase in foreclosures in BC.

If you are in need of a short-term loan, and like to find out whether you can borrow the fund your required, you are welcomed to contact me at 604-721-4817.

Note: Second mortgages are governed by BC's Mortgage Broker Act. Borrowers are expected to be provided with proper and full disclosures on the terms and conditions of the second mortgage loans.

Why Join Active Rain Social Network - Sign Up Is Easy

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Fri, 07 Nov 2008 09:28:38 -0600

Active Rain Sign Up

Join the Active Rain Network, use the link below. Active Rain is a great platform to meet other people, gain referrals and use the blogging platform to gain great exposure on Google and other search engines.

James Wong is referring you to ActiveRain. He will be credited if you signup

CLICK HERE TO SIGNUP

Active Rain Sign Up. It's FREE!

There are many good reasons for signing up with Active Rain Social Network. Anyone who works in the real estate and financial services sectors will find Active Rain Network a great community to share their experience and build their online business network.

Some of the benefits of joining Active Rain are:

1. Networking - you can link with other members, and network with them to build your online community. Anyone connected to the real estate industry and financial services will find Active Rain a great place to network.

2. Search Engine Benefits - Active Rain enjoys great exposure and your profile profile is indexed in Google. Your blog postings can effectively link to your website to boost your online traffic. Try it out for yourself. You will be impressed as how Active Rain can power your online presence.

3. Business Referrals - Not only you benefit by asking for referral from members of Active Rain, the public and readers of your postings get to know you. If you are the neighborhood expert, you have a good chance to build your business online through Active Rain.

Easy To Join And It's Free

Signing up as a member is easy. You can sign up by clicking this link here.

Or, click on my url to register: http://activerain.com/action/referrals/jameswong

View my profile here:

Vancouver Mortgage Blog On Active Rain

James Wong Richmond Mortgage Broker (The Mortgage Group - Vancouver/Richmond) — Thu, 06 Nov 2008 15:05:04 -0600

Vancouver Mortgage Blog

Vancouver Mortgage Blog hosted by Active Rain Real Estate Network will be posting mortgage related news and articles affecting home owners in British Columbia. Real estate market postings on sale activities and pricing trend can be found on my blog at http://activerain.com/blogs/ebizniz.

Home Financing - Buying & Selling

Home buyers who are buying and selling at the same time should work out their financing beforehand. When you are only able to carry one mortgage, you obviously need to free up the equity in your present home when trading-up. You should sell first and then commit on buying another property when you are certain your sale will complete in time.

When you only have limited equity and income, you bank will only advance you the loan when you have a firmed sale on your current home. The ideal situation is when you can time the sale of your home to complete before the closing date for the home you are buying. A situation may develop that financing by the bank is with-held because a home seller cannot sell his home in time to complete his purchase.

Bridge Financing

Bridge financing can normally be work out with the bank when the home seller has a firmed contract on hand. There is a small cost for obtaining the bridge financing from your bank. Your bank may assist (check with your bank first on their bridging loan policy) in providing the down payment to bridge finance you home purchase. When your home is sold later (normally within 60 days), you repay the bridge loan to your bank.

Mortgage Management

Most home owners are concerned about the mortgage interest rates they are paying. Good mortgage management goes far beyond getting a good rate. While most home owners are aware and express the desire to pay off their mortgages early, a more disciplined approach and active management of their mortgages can help them save thousands of dollars in mortgage interest payments.

Money Merge Account

Pre-payment and weekly, bi-weekly payments are adopted by most home owners. A more concerted and aggressive mortgage repayment program can effectively reduce a 35 years mortgage to one-third the time, and saving home owners hundreds of thousands of dollars in mortgage interest.

More information on the Money Merge Account Program can be view here.

You can email me for more details on accelerating the repayment of your mortgage.