|
Quick Links |
|
www.homehappy.ca |
Ask the Expert!
GOVERNMENT VALUES vs. MARKET VALUE
By now all of you reading this have received your 2010 BCAA valuations and of course everyone opens them in anxious curiosity of where the value on their home headed. Over the years the general trend has been that your home is actually worth more than what the BCAA values it at. Of course in an increasing market that is easy to understand because the valuation date is based on July 01 of the previous calendar year. The system is mostly computerized and follows market trends in neighbourhoods, however at some point in time, whether you know it or not, an appraiser employed through BCAA has likely either internally or externally inspected your home. For many of you, your 2010 assessment went down, however, many did increase as well. There was a period in late 2008 and early to mid 2009 that our firm experienced a trend whereby more appraisals we conducted came in below assessment values rather than over them. This was a time of rapidly declining values that most of us would like to soon forget, however, the recent strengthening of our economy, and more specifically that of the housing market, has seen that old trend of market values typically stronger than assessed values return again. That is not say that every assessment will fall into that category but it certainly gives you a basis for estimating the likely low end of your equity position. So pull out that assessment and call your broker and discuss your financing options while rates remain low and values strong.
 Steve Miller CRA
Bakerview Appraisals |
|
About Us
Invis on the Peninsula is a team of Mortgage Professionals led by Michael Anthony Lloyd.
With a combined 75 years plus in lending and one of the highest volume teams in Invis, Canada's largest mortgage brokerage, we have the experience and relationships with lenders to get not only an approval, but the best overall package for you.
Our philosophy will always be based on long term relationship building with our clients...we always offer objective advice, and will be here in the long run | |
| Mortgage Update
March 10, 2010 |
Mortgage Market Update
 Bond Yields up, pressure on fixed rates to increase!
Bond yields have been floating upwards as more money flows into the stock markets. Many pundits are pushing hard for the Bank of Canada to increase Prime in July. Despite little good news from the US, and some "interesting" reading of year over year increases here in Canada (it is easy to show a large increase when comparing against the desperate times of early 2009) it seems we may see changes to our low rates earlier than logic would dictate.
Our best variables are now running at Prime - .40% (1.85%!), and 5 year fixed rates are in the 3.85%-3.90% range, with some "quick close" specials below that. Some 7 year mortgages have recently dropped below 5.00% to 4.95%.
These numbers could move upwards in the next few days. If you have been feeling nervous and considering locking in to a fixed rate, this may be the time. Please let us know so we can keep our database up to date with your current info. If you are comfortable with your current variable, keep floating!
As always, if you have any questions or concerns, please email or call us at anytime. |
 |
|
Did You Know?
Changes to CMHC Programs.
The government made a big deal of some changes they made to how CMHC insures mortgages in Canada, to protect the Canadian public. CMHC has quietly added to this and made it more difficult for Canadians to not only buy a home, but now to refinance a home as well.
Changes include:
- qualifying rate for all high ratio mortgages is now the "posted" 5 year rate from the Bank of Canada, currently 5.39%. All high ratio mortgages must use this rate to qualify for terms from 1-4 years, including variable rates. 5 year fixed use the contract rate (discounted). This includes refis.
- All rental property purchases must have minimum 20% down payment. 2nd home and vacation home programs are still available with 5% down or more.
- High ratio refinances are limited to 90% instead of the previous 95%. For those who need to take out equity of their homes, this will affect them.
Further changes from CMHC:
- Self employed program is now to a maximum of 85% for refinances, 90% for purchases. If you were approved with the self employed program previously you may not be able to refinance your home now.
- Tightening of self employed program, only available to those individuals in business for 2 years, but not more than 3 years, otherwise you have to apply using fully qualified programs. CMHC is basically killing this program, leaving those who qualified under it previously, stuck. Unless you show enough income on your taxes, you can't buy or refinance again.
CMHC was happy to take people's money in higher insurance premiums during the good times, but now due to politics, they are walking away from these people. |
|
Invis on the Peninsula named finalist for "Best Internet Presence" by Canadian Mortgage Awards!
We need your help! Please vote for us here: link
We at Invis on the Peninsula are excited to be nominated a finalist with the Canadian Mortgage Awards, and hope you can help us to win by clicking the link above to vote for us! Simply click the link, scroll down to Invis on the Peninsula heading and click on it to vote for us...Thanks in advance!
| |
