Christine Buemann Mortgage Broker

Compounding interest is when interest is charged on top of itself . For example, most mortgages are compounded semi-annually. That means that every 6 months, interest is calculated at the current balance AND accrued interest to that point. Interest only mortgages are typically compounded monthly however some lenders have started compounding their standard (often variable rate) mortgages this way as well.  The more frequently interest is compounded, the more interest you will pay in the long run.   It is important to know the fine details of your mortgage so be sure to consult a Mortgage Broker for impartial advice! www.christinebuemann.ca 

Amount      Under this plan, the maximum RRSP withdrawal is $25,000 for each eligible person. That is, a home buyer and his/her spouse may each withdraw up to $25,000 from their respective RRSPs. Eligibility      You have to be considered a first-time home buyer. You are not considered a first-time home buyer if you or your spouse or common-law partner owned a home that you occupied as your principal place of residence during the period beginning January 1 of the fourth year before the year of withdrawal and ending 31 days before your withdrawal. Minimum Waiting Period      The RRSP contribution must be made a minimum of 90 days before any withdrawal is allowed. Payback      RRSP funds withdrawn for a first-time home purchase must be repaid in equal annual installments over a 15-year period. If more than the minimum amount is repaid during a year, the annual amount to be...

Bond rates have hit a 2 year high! What does that mean for you? It means that there is more pressure on fixed rates and most lenders are starting to increase them once again. It is important to note that fixed rate mortgages are influenced mainly by Government of Canada bond yields. Variable rate mortgages rely heavily on the Government’s overnight target rate which sets the Bank’s prime rate. S everal months ago, we could easily get 5 year fixed rate mortgages at 2.89%. After these current rate increases, most lenders will be offering around 3.59% for their “discounted” rates. On a $300,000 mortgage, that is a difference of almost $110 a month and almost $10,000 interest over a 5 year term.     Most lenders will offer pre-approvals or rate holds which may be slightly higher than their discounted rates. If you are considering purchasing or refinancing – it is a good idea to lock in to a 120 rate hold as soon as possible. Please contact me today for current rates or f...

I have decided to go back to the basics this week to explain what Mortgage Brokers do. As a Mortgage Broker, I act as the “middle man” between my clients and my lenders. I have access to some major banks as well as many that deal exclusively in mortgages. Those lenders can typically offer lower rates because they do not have the overhead costs of day to day banking. We also deal with all of the lenders in high volumes which allows us to get very discounted rates. When you come to a Mortgage Broker, you do not have to worry about the hassle of negotiating. We will always find you the best rate possible and we deal with the bank for you. There are also many factors to a mortgage, other than the interest rate, that can cost you a substantial amount in the future. We work with our clients to determine their long term goals and ensure that the product and lender they are using is the right fit. Traditionally Mortgage Brokers were the last resort for people who did not qualify with the...