Mortgages Canada

To check latest Burnaby mortgage interest rates please go to our mortgage homepage.

MortgagesCanada.ca is an independent brokerage company that provides mortgages in Burnaby, British Columbia and rest of Canada.

Please Select your Burnaby Mortgage:

Mortgage Qualification | First Mortgage | Refinance

Self Employed Mortgage | No Down Payment Mortgage | Bad Credit Mortgage

Burnaby Mortgage Qualification

With Mortgage qualification you can find out how much you can borrow. The amount depends on your: credit score, income and down payment. The amount is also affected by lenders as they have various lending criteria. Please specify the exact sum you are aiming at and we will find what you need. Fill out our mortgage qualification form.

First Time Home Buyer

The magic of your very first home. The furnishing, moving in and new dreams associated with it. Let MortgagesCanada.ca help you in the process and supply you with the money needed to purchase that home in Burnaby, BC. If you already selected a home, apply for a mortgage now. If you want to go shopping with a mortgage behind your back, check our Burnaby mortgage qualification.

Mortgage Refinance

Refinancing your Burnaby home loan will get you lower interest rates and better monthly payments. To check latest interest rates, go on our homepage. The best time to refinance your Burnaby mortgage is when interest rates are 1.5% - 2% lower than your current rates. This way you save around $100 in monthly payments. Find out more about mortgage refinance.

Self Employed Mortgage

State your income and we do the rest. No tax information needed. After all, you try to minimize taxable income, why should it be the measurement of your income? It shouldn’t. MortgagesCanada.ca ensures that you get good interest rates and friendly terms with “low documentation” Burnaby mortgage. If you can provide 25% down payment we can get a you a “no documentation” loan”.

No Down Payment Mortgage

100% financing option, just pay for the mortgage closing costs. Closing costs include: appraisal, document preparation, legal fees and taxes. It will come to a total of around $2000 - $3000. To qualify for a no down payment Burnaby mortgage you will need: proof of income, good credit(no late payments) and at least 6 month with the same company.

Bad Credit Mortgage

If you have bad or no credit - it shouldn’t stand between you and your home! Bad credit can be due to circumstances out of your control. We understand that and have the ability to provide Burnaby financing options regardless of credit score. Apply now.

Tuesday 22 April 2008 Bank of Canada(Canada Central Bank) lowered it’s interest rate by 0.5% to a new 3.25%.

“OTTAWA – The Bank of Canada today announced that it is lowering its target for the overnight rate by one-half of a percentage point to 3 per cent. The operating band for the overnight rate is correspondingly lowered, and the Bank Rate is now 3 1/4 per cent.” - Bank of Canada

Here you will find lineup of useful mortgage resources that will assist you in the mortgage buying process, educate on mortgage issues and show what to look out for when getting a mortgage loan.

Mortgage Professor

He is not a web designer, but one thing I’m confident about - he knows a lot about mortgages. A very simple website with wealth of mortgage resources, including glossary and over 200 unique home loan articles.

Searchlight Crusade

Run by a mortgage broker Dan Melson, this mortgage blog talks in detail on how to shop for the right mortgage, what to look for in a home loan, what to stay away from and what questions to ask lenders and mortgage brokers.

Mortgage Lift

Mortgage Lift is a community of dedicated mortgage brokers that provide help to anyone with any related mortgage questions. As a home buyer you can choose from 9 different sections:

• Mortgage Know-How
• Loan Talk for First Time Home Buyers
• Looking for Mortgage again
• About Mortgage Companies
• Mortgage Problems and Solutions
• Credit Problems and Repair
• Deeds, Property Transfer and Estate Planning
• Property Appraisal
• Budgeting and Personal Finance
• Announcements Feedback and Our Pub

BankRate

At Bank Rate you can learn mortgage basics and home equity basics. It also has a line up of very useful mortgage and credit card calculators.

Google News

At Google News you can check for latest interest rate adjustments by Canadian Banks, rate cut by the Bank of Canada and other mortgage related news. Google combines all leading news sources from Canada into one convenient location, so you do not have to search through myriad number of publications to get the latest mortgage news.

How to Refinance a Mortgage in Canada?

Mortgage refinance is sometimes called mortgage renewal in Canada.

Mortgage refinance is the same as getting a new mortgage. When you refinance, you go though exactly the same process as you did when you just got your first loan. Refinancing is the process of canceling your previous loan by paying it out in full and getting a brand new mortgage.

Lenders are going to pull up credit, look at income, payments, assets and all other factors that show your payment credibility.

You will be subject to all regular mortgage fees. If you do not feel you should be paying for closing costs, lenders can include costs in the principal(total amount you borrow). It is important to note – there are no free refinances. Period.

To refinance, simply find some mortgage brokers or go to the banks, see what they have to offer. It is not complicated. Just shop around and compare.

Key - Mortgage Refinance Break Even Point

The point when savings on lower interest rates cover the closing costs.

For example:

You home value: $300.000

You borrowed: $250.000 and put down $50.000

Your interest: 6.34%

After 5 years: you paid out $93.000 and own $157.000

You have 15 more years to go.

You decide to refinance. The new rate is low so it makes sense.

New Rate: 5.65%

Closing costs: $3000

Terms: 15 years

Lets say you paid closing costs by cash and borrowed $157.000 (you can also add $3000 and borrow $160.000, but you will be paying interest on the entire amount)

Your Savings and Break Even Point on Refinance:

At old rate of 6.34% you paid $1,346.83 per month.

At a new rate of 5.65% you pay $ 1,289.88 per month.

Savings per month: $56.95

Since you paid $3000 for closing costs, we need to know when refinance will cover those costs:

At a new 5.65% rate yearly savings are: $683.4

In 5 years you would save: $3.417 with a new rate of 5.65%, so it would take about 5 years to just cover what you paid for the closing costs.

Over 15 years your savings are: $683.4 x 15 = $10.251

Savings minus closing costs: $10.251 – $3.000 = $7.251

Total savings on mortgage refinance would be $7.251, but you would not see it 5 years due to the $3000 mortgage refinance closing costs.

So the key when refinancing is to calculate how much you will save over the term of the loan. It is also important to note - if mortgage broker is trying to rub in a line where he says that he can save you at the same or at a higher rate – he is full of it. Show the sacred middle finger and walk away.

Do not do mortgage refinance often. Once or twice over the life of the mortgage is enough. If you do it too often, closing costs will simply add up and you will not save at all.

Only do mortgage refinance when rates are at least 1.5% lower then your interest rate.

Play with the mortgage calculator to see how much you can save on mortgage refinance.

Good luck!

Barrie Mortgage Brokers - Free Qualification for a Mortgage in Barrie.

To find out how big of a loan you qualify for in Barrie, Ontario, please fill out our mortgage qualification form. Once you are qualified we will mail you qualification letter, stating total amount you can borrow in Barrie. You can then go shopping for the right home in Barrie Ontario.

In order to qualify you must have:

- Provable Income

- At Least 5% downpayment

- Good Credit

To estimate your monthly payments, use our mortgage calculators.

If You Can’t Put a Down Payment for a Mortgage in Barrie

If can’t put a downpayment you can take advantage of our 100% financing option. In order to qualify for 100% Barrie mortgage you must have good credit, with no late payments and no recent bankruptcies. Please fill out this mortgage form in order to get 100% Barrie mortgage.

If You Have Bad or No Credit

Big banks will turn you down, but not Mortgages Canada company. We have connections and mortgage lenders who provide mortgages in Barrie to residents with bad or no credit. Fill out this mortgage form if you have a bad credit and want to get a mortgage in Barrie.

If can’t prove your Income

Mortgages Canada still approves! If you’re self employed or prefer not to disclose your income. Apply here. Our mortgage lenders provide “low documentation loans” designed for self employed and business people. To qualify you will need:

- Good Credit(better credit - lower rates)

- Proof of business

If you want no documentation at all, and still want a Barrie mortgage prepare to put 25%+ downpayment.

Mortgages Canada is a Canadian mortgage company with access to 60+ lenders, providing you fruitful mortgage deals in Barrie, Ontario. Let us Earn your business.

Canadian Mortgage Lending Guidelines may Tighten Up

“The Bank of Canada Governor said he’s worried the country’s credit markets will get tighter, an indication that he will again cut interest rates later this month.” - Globe & Mail

Due to slow down of Canadian exports to the south, Bank of Canada might have to cut interest rates, whereby Canadian banks will tighten up their mortgage lending guidelines. The next interest rate update for the Bank of Canada will come on April 22, where according to Globe & Mail we will experience interest rate cuts.

If so, major Canadian banks will follow suite and cut their rates as well. For a mortgage borrower it will the perfect time to lock into low interest rates. Keep your eyes on the rates.

Fixed Rate vs Variable (Adjustable) Rate Mortgages

The choice is between fixed and variable mortgage is one that many Canadians face.

Fixed Rate Mortgages - provide security of equal monthly payments.

Variable Rate Mortgages - can save money, but payments fluctuate based on changing interest rates

A Canadian Professor York University’s Dr. Moshe Milevsky, conduced a study in 2001 where he argues that Canadians save money 88.6% of time by choosing variable rate mortgages. In 2004 he issued an update for the report, reaffirming himself.

Dr. Moshe Milevsky recently updated the report where he states that:

- Based on 1950 to 2007 data Canadians could save on variable rate mortgages 90.1% of the time by $20,630 over 15 years per $100,000 borrowed.

- Adjustable rate mortgages allows people to reduce their mortgage life by an average of 1 year.

You can find his Papers:

2001 Original Report

2004 Update

2008 Update

RBC Lowered Interest Rates

- Fixed Rate Mortgages

- Adjustable Rate Mortgages

Rates were lowered by 0.1% - 0.2%

TD Lowered Interest Rates

- Fixed Rate Mortgages

- Adjustable Rate Mortgages

Rates were lowered by 0.5% - 0.2%

A five year closed fixed rate mortgage dropped to 6.99%.

Rates for 1 year closed mortgage are 6.95%

Source: CBC News

Next cut is expected by Canadian central bank Bank of Canada(Banque du Canada) on April 22. Once adjusted all other Canadian Banks will follow suite and cut their rates.

Recent Interest Rate Adjustements

- March 24

- March 21

Mortgage Closing Costs (Settlement Fees)

Mortgage closing costs are unavoidable for all types of mortgages, be it: first mortgage, refinance, debt consolidation and others.

Closing costs add up to a total of 2% to 5% of the house cost.

Mortgage Canada offers “no cost” mortgages, which combine closing costs to the total amount of your mortgage, where you pay the costs over a period of time. Apply here.

Expect closing costs to reach a minimum of $2000. Fees can be negotiated and waived, depending on each specific bank policies.

List of closing costs in Canada.

We aim to charge you minimum fees. List below is rather to demonstrate all the fees that a borrower can be potentially charged, rather then the fees you will be charged.

(you may or may not be a subject to the fees below)

- Appraisal

$200-500

Appraisal Fee is a fee charged for appraisal services. Appraisal is an audit of a property. Appraisal is done to estimate value of the property, possible selling price as well as for taxation estimates.

- Credit Score Report

$14-30

- Inspection Fee

$175 to $300

Home inspection is conducted by an unrelated third party before sale of a property. Buyers may request home inspection, which will examine the structure, air conditioning, electricity, heating, water, basement, roof, plumbing and other factors to make sure that the house is in good condition and to estimate any repairs that must take place.

- Taxes

Add 0.5% - 1.5% of the total purchase price.

Recording Fees, Real Estate Taxes, Land Transfer Tax Fees differ on your province. Prepare to spend couple hundred dollars on federal, provincial and municipal taxes.

- Brokerage Fee

1%-1.5% of the mortgage.

This is how mortgage brokers and loan officers make their money.

- Assumption Fee

$300 - 500

Fee charged by the lender in an event of mortgage transfer. Person acquiring rights to the mortgage(buyer) pays lender a fee for the privilege.

- Commitment Fee

Depends on Lender.The fee can be waived, but can range at $50 - 300.

Written document from the lender/bank, promising to lend specific amount of money at a specified date.

$100-300

Fee charged by lenders and mortgage brokers for filling out loan applications. It is usually free, however some banks charge the application fees.

$10-50

Fee charged by banks for wire transfer(electronic money transfer)

$200-600

Fee charged for accepting the application for loan processing. When borrower submits the application, lender looks at credit score, liabilities, assets, income, property and other details that will affect the mortgage. Once lender approves / disapproves the application, loan processing is completed.

$200-600

Underwriting refers to the risk analysis associated with a borrower. Before lenders give out a loan, lenders look at credit report assets, income and other factors to estimate whether borrower is eligible for a loan.

$150 - 300

$400 - 1500

Attorney fees are charges by local lawyer who takes care of all the legal documents associated with a mortgage.

$5-25

Notary is a person who is legally acclaimed by to certify and sign documents where necessary. Notary will be witness in any future lawsuits by both lender or borrower.

$50-100

Recording of a document and information to it make an official public record.

$20-30

Fee charged by couriers for safe delivery of the documents.

Monthly insurance premium and amount worth of monthly property taxes. Amount depends on your property and insurance charges.

Escrow is a bank account where money for insurance and taxes is held until paid in full. When you make mortgage payment, part of that payment goes towards taxes and insurance. In order to make it more convenient, this money is deposited to an escrow account. Money is held there until it is time to pay the amount due for insurance and taxes.

$250-$600

$10 - 30

Law requires that you obtain flood insurance if your property is located in a flood zone. Flood certification will determine if you are

- Per diem interest

Depends on your interest rate. You can ignore this feature.

For borrowers who prefer to get over interest rate payments, lenders offer permanent interest rate buy down options. The way it works: borrowers simply pay big cash sum for the interest rate at the start of the loan and then pay monthly principal.

- Title Search Fee

$50 - 200

Report carried out by specialized company that checks property for past owners, lawsuits and relatives that might have ownership rights to that property. This is done to ensure that the sold property will belong to the buyer and no one else.

$100 - 200

Survey that assesses condition of the property, estimates value, taxation and gathers other types of data about a building. Survey is conducted by municipal government officials.

- New Home Warranty

$400 - $650

Home Warranty will repair any deficiencies in a house.

Mortgage closings costs In Canada.

Mortgages Canada Provides Mortgages in Abbotsford, British Columbia.

Please use our mortgage calculator to estimate your monthly payments and find out how much you can afford. To find out how big of a Abbotsford mortgage you can get, please fill out pre qualification form.

Check latest interest rates.

How Much do I Qualify for?

The amount you qualify for in Abbotsford, depends on your credit history, down payment and income. After filling out pre qualification form you will be contacted by phone detailing the amount. At that point you are not bound to the mortgage. Whenever making an offer on the house, you will have negotiating power as pre qualified documentation will back up the offer.

If you have bad or no credit, fill out a form here. We have access to lenders who lend to borrowers with no or bad credit in Abbotsford, BC.

Getting Best Mortgage Options Available in Abbotsford.

Getting best possible mortgage is a task that we try to accomplish. There are many variables that affect mortgages both from your perspective and outside market perspective. Interest rates can save you money and give more cash on hands. Interest rates alone do not do the trick of getting monthly payments to a comfortable level. Charges such as attorney fees, appraisal and multitude of other affect final monthly payments. We try to hunt for low interest rates and low charges to minimize those costs for you.

Check interest rate history and average Canadian interest rates.

How Long Does it Take to Get a Loan?

It takes a total of 2 – 5 weeks to get you a mortgage in Abbotsford, BC. Pre-qualification takes 2-3 business days.

What is the Best Mortgage Option?

Mortgages Canada recommends fixed rate mortgage. Fixed rate loan is a mortgage that has fixed interest rates for 5 – 20 years. It is the best options since it offers very stable monthly payments.

We also offer adjustable rate mortgages. Adjustable rate mortgages have interest rates adjust every 1, 2, 3, 6 months and more. Though you might get lower payments for starters, payments will go up with time.

Abbotsford, BC, Mortgage Brokers. Contact Us.

Mortgage Interest Rate Predictions

Where Will The Mortgage Interest Rates Go?

We can try projecting interested rates based on the state of the Canadian economy and our “big brother” to the south, since Canada is very closely integrated and dependant on the states.

What Drives Mortgage Rates.

Mortgage rates follow the prime rate. Prime rate is set by the Bank of Canada. Whenever Bank of Canada lowers the prime rate, mortgage interest rates go down and visa versa. Bank of Canada essentially determines the value of Canadian money. It is also charged with printing Canadian currency.

Bank of Canada determines the prime rate based on trade and economic conditions. It is also a private entity and it lends money to the government, so as you have guessed bankers have a lot of influence over Canadian lives.

Once prime rates change you immediately see interest rate adjustments across Canada by: TD, CIBC, RBC, National Bank and others. So to answer the question “what drives mortgage rates” - it is the prime rate set by the Bank of Canada. Bank itself is also heavily influenced by London powerhouse, but that is beyond the scope of this article.

Mortgage Rate History

Some fellas try predicting mortgage rates by looking at the mortgage rate history. This is not correct, since at different periods of time there’s different circumstances and players affecting the game. You can look at the 6 month - 1 year pattern, but no need to worry long term. You can find mortgage rate history over here.

Where will Canadian Mortgage Rates Be?

As 2008 and the state of our brother to the south, rates will likely be going down. We already saw 2 cuts by the Bank of Canada and it will most likely continue that way:

2 recent interest rate cuts:

4 December 2007

22 January 2008

As the states cut the rates so will Canada. For you as a borrower, rate cuts at this level mean $20-$50 in monthly savings. Though rates will slump further, you will not feel much change, since the final interest rate will largely depend on the your credit rating and down payment.

Good Luck.

Mortgage Interest Rate Predictions

Where Will The Mortgage Interest Rates Go?

We can try projecting interested rates based on the state of Canadian economy and our “big brother” to the south, since Canada is very closely integrated and dependant on the states.

What Drives Mortgage Rates

Mortgage rates follow the prime rate. Prime rate is set by the Bank of Canada. Whenever Bank of Canada lowers the prime rate, mortgage interest rates go down and visa versa. Bank of Canada essentially determines the value of Canadian money. It is also charged with printing Canadian currency.

Bank of Canada determines the prime rate based on trade and economic conditions. It is also a private entity and it lends money to the government, so as you have guessed bankers have a lot of influence over Canadian lives.

Once prime rates change you immediately see interest rate adjustments across Canada by: TD, CIBC, RBC, National Bank and others. So to answer the question “what drives mortgage rates” - it is the prime rate set by the Bank of Canada. Bank itself is also heavily influenced by London powerhouse, but that is beyond the scope of this article.

Mortgage Rate History

Some fellas try predicting mortgage rates by looking at the mortgage rate history. This is not correct, since at different periods of time there’s different circumstances and players affecting the game. You can look at the 6 month - 1 year pattern, but no need to worry long term. You can find mortgage rate history over here.

Where will Canadian Mortgage Rates Be?

As 2008 and the state of our brother to the south, rates will likely be going down. We already saw 2 cuts by the Bank of Canada and it will most likely continue that way:

2 recent interest rate cuts:

4 December 2007

22 January 2008

As the states cut the rates so will Canada. For you as a borrower, rate cuts at this level mean $20-$50 in monthly savings. Though rates will slump further, you will not feel much change, since the final interest rate will largely depend on the your credit rating and down payment.

Good Luck.

History of Average Canadian Mortgage Rates

Bank of Canada offers interest rate tables on it’s website located here.

One thng you need to remember - Bank Of Canada sets national prime rate and does not deal with average people, but is rather in the business of big financial markets.

Rates shown by the Bank of Canada represent the Prime rate. Prime rate is the rate agaist all other corporations and banks set their rates. In order to estimate an visualize real mortgage prices, add 3%-4% to whatever the rate Bank of Canada is showing.

Example:

For the low, Average and High add 3%. This gives us a new picture:

Low: 5.25

Average: 7.05%

High: 9.0%

The estimates are pretty accurate since the rates closely reflect actual mortgage prices on the market.

You can explore Bank of Canada mortgage rate history tool over here.