Are shorter mortgage amortizations always better? No – Ask a Vancouver Mortgage Broker

ROBERT MCLISTER- Special to The Globe and Mail For years we’ve been taught that shorter mortgage amortizations are better. Most people in the mortgage business don’t challenge this premise and certain lenders preach it as gospel. Consider this recent statement by a bank spokesperson: “Choosing a shorter amortization is the most responsible approach to home financing. […]

Would shorter amortizations make the housing market safer? – Ask a Vancouver Mortgage Broker

Canada’s banking watchdog seems intent on stamping more risk out of the mortgage market. The latest idea being floated by The Office of the Superintendent of Financial Institutions (OSFI) is to limit amortizations to 25 years for homeowners who have put down 20 per cent of the purchase price or more. The current maximum is 35 years. If this […]

CAAMP: Major Job Losses From Amortization Change – Ask a Vancouver Mortgage Broker

CAAMP: Major Job Losses From Amortization Change Killing 30-yearamortizations on high-ratio insured mortgages was a move that some criticized and some applauded. But few could measure the potential side effects when the decision was made last July. But now, Will Dunning, Chief Economist at the Canadian Association of Accredited Mortgage Professionals (CAAMP), has put out data […]

34, mortgage and debt free: Here’s how

Over the past 18 months Moneyville has followed my early retirement journey which started as a dream to retire when I was 45. I’ve been working hard over the past few years to make the dream come true and I’ve managed to bring the target down to Freedom 42, just eight years from now. I’m […]

Practical Amortization Choices

Shorter amortizations can cost you less interest and help you pay off your mortgage sooner. If that’s a revelation to you, then here’s another story you’ll appreciate: Shorter mortgage is money in your pocket Since we’re pointing out the obvious, we should also note that making a bigger down payment and buying a cheaper house save […]

Why we’ve locked in to a 10-year mortgage

Our new home in Scarborough is a detached, three-bedroom side-split that cost nearly $560,000.  We borrowed nearly $515,000 to buy it,  a sum  that makes me queasy. With the help of a mortgage broker, we chose a 30-year mortgage from ING Direct, and locked-in to a 10-year term at an interest rate of 3.99 per […]

Bid your mortgage goodbye

With today’s low mortgage rates, now is a good time to look at ways to pay off your mortgage more quickly. Fixed versus variable savings, at a glance With a base scenario of a $300,000, 25-year amortization, five-year fixed-rate mortgage at 3.45 per cent and a monthly payment of $1,496.23, if you: – Pay $100 […]