Richards Mortgage Group Articles

Spring and summer are by far the busiest seasons in the real estate market, followed by the fall. Consequently, many readers of this blog may have a mortgage renewal coming up in the next few months. This article is about the renewal process, the games that mortgage lenders play, and how to save money at renewal time.

I live in a neighborhood built in the early 90s. Last year we replaced the roof at just under $10 grand, and this year we are looking at replacing our 25-year-old furnace at about $5 grand. Thankfully, our windows, kitchen, bathrooms, and basement had already been recently renovated by the previous owner because those are even more expensive undertakings!

In Canada, a 5-year mortgage contract term is very common. But is it still the best choice? While it used to be the easiest term to qualify for, especially for first time buyers, that all changed on Oct 17, 2016 when the Government changed the rules again. When applying for a mortgage, it is important to think about contact term and how to reduce the size of mortgage payout penalties if you have to break your term early.

How to Choose a Home Inspector in Canada The practice of making an offer to purchase conditional upon a home inspection is becoming more prevalent, but many consumers have no idea how to choose a qualified inspector.

Last month in my blog, I talked about new Canadian Government rules coming into effect and how they might impact the mortgage lending landscape. Besides explaining the new mortgagequalifying stress test, I touched on CMHC’s (Canadian Mortgage and Housing Corporation) soon-to-be-gone role as a provider of “bulk” or “low-ratio” mortgage insurance to the mortgage lending industry, and how it provided stability and promoted competition. As of Nov 30th, 2016 CMHC officially no longer provides that and certain other services, hence many mortgage lenders who had previously relied on these categories of mortgage insurance to manage their lending operations have been forced – over the last 30 days – to dramatically scale back their offerings.

New housing mortgage policies are coming into effect (again) and leaving many Canadians unclear about how their finances have been affected. The Government of Canada is introducing these new rules in two phases. This article is a quick summation of how you may have been affected. First, however, to understand the new rules it is important to understand the classification of mortgages and the previous rules.