As of July 1, 2010, the BC and Ontario governments will implement a Harmonized Sales Tax (HST). The HST combines the existing GST (5%) with the PST (7% in BC and 8% in Ontario) to create a single tax that applies to more products than the PST alone. While there may be certain advantages to an HST, its effect on real estate will be dramatic and negative.
Currently, new home purchases are subject to GST. But starting July 1st, new homes will be subject to the entire HST. This means that buying a new house will cost 8% more in Ontario and 7% more in BC. For example, if you’re buying a $500,000 house (not unusual in either of these markets), you’ll pay $40,000 extra in Ontario and $32,000 extra (less a $20,000 flat rebate) in BC. Kind of puts new urgency into your shopping plans, doesn’t it?
But it gets worse. Realtor commissions, legal fees and the price of appraisals, land surveys, home inspections, landscaping, renovations and more will all rise. Sure you could try to stay under $400,000, since new properties under that level are exempt. But try to find a new house or condo in Toronto or Vancouver under $400,000. Good luck!
Another option is buying a resale home since, as is currently the case, no tax is payable. However, as mentioned above, all associated home buying expenses will still be higher.
The only foolproof way to avoid the HST is to buy BEFORE next summer. And as it turns out, that’s a great idea anyway. Prices still haven’t reached their previous highs in most areas and interest rates are near historic lows. If you’re interested in avoiding the HST, talk to me today. I can pre-approve you for mortgage financing at a highly competitive rate, so you’re ready to buy the moment the right house comes along!
Lisette Amalfi
(905) 529-1199
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26 October 2009
20 October 2009
Dave's Email: 10/20/09
http://www.theglobeandmail.com/report-on-business/why-interest-rates-will-remain-low/article1330601/
Today the Bank of Canada holds steady and does not raise the Bank Rate.
The Canadian dollar was down 1.70 cents to 95.45 cents (U.S.) by midmorning after the Bank of Canada' rate announcement.
The Bank of Canada now believes the economy will not return to full capacity until the third quarter of 2011 instead of the prior view of the second quarter of 2011,”
It looks like for those of us still sitting in our variable rate mortgages, by not hitting the panic button once again, when rates shot up last Friday, it looks like we may have made the right decision.
The fact of the matter is that little has changed with the economy. It is becoming clear that the Bank of Canada knows any immediate significant increases in the Bank Rate would quickly de-rail the little signs of economic recovery that has recently appeared.
It is a great time to bust out of those high fixed rate mortgages, because it looks like things are getting back on track with the Government plan to hold overnight rates (prime) until Q2 of next year.
I still have a lender who is paying the legal fees for mortgage refinances (to roll in the penalty to leave the high interest mortgage) and will offer a Prime -.05% rate. That is a 2.20% rate** If you want to pay for the solicitor I have Prime minus .10%!
Call me if you would like to reduce your mortgage rate to 2.20%**......
** Rate is subject to meeting the lenders qualifing criteria, and is subject to change until an application is taken.
Thanks,
David Kendall
Mortgage Agent
License # M08004045
211 York Road, Unit 3, Dundas, Ont. L9H 1M9
OAC Mortgages Brokerage License # 10928
An independently owned and operated franchise of the Mortgage Alliance Network
You could win up to $100,000.00 toward your Mortgage!!!
Visit our website today for all the details
http://www.mortgagealliance.ca/davidkendall
Phone : (905)336-8448
Toll Free: 1(877)-529-1199
Cell: (905)334-4404
Fax: (905)-628-7917
Toll Free Fax: 1(866)-805-9653
Notice: The information contained in this email is confidential. If you are not the intended recipient, you may not disclose or use the information in this email in any way and should destroy any copies. Oac Mortgages Inc. does not guarantee the integrity of any emails or attached files. .
Today the Bank of Canada holds steady and does not raise the Bank Rate.
The Canadian dollar was down 1.70 cents to 95.45 cents (U.S.) by midmorning after the Bank of Canada' rate announcement.
The Bank of Canada now believes the economy will not return to full capacity until the third quarter of 2011 instead of the prior view of the second quarter of 2011,”
It looks like for those of us still sitting in our variable rate mortgages, by not hitting the panic button once again, when rates shot up last Friday, it looks like we may have made the right decision.
The fact of the matter is that little has changed with the economy. It is becoming clear that the Bank of Canada knows any immediate significant increases in the Bank Rate would quickly de-rail the little signs of economic recovery that has recently appeared.
It is a great time to bust out of those high fixed rate mortgages, because it looks like things are getting back on track with the Government plan to hold overnight rates (prime) until Q2 of next year.
I still have a lender who is paying the legal fees for mortgage refinances (to roll in the penalty to leave the high interest mortgage) and will offer a Prime -.05% rate. That is a 2.20% rate** If you want to pay for the solicitor I have Prime minus .10%!
Call me if you would like to reduce your mortgage rate to 2.20%**......
** Rate is subject to meeting the lenders qualifing criteria, and is subject to change until an application is taken.
Thanks,
David Kendall
Mortgage Agent
License # M08004045
211 York Road, Unit 3, Dundas, Ont. L9H 1M9
OAC Mortgages Brokerage License # 10928
An independently owned and operated franchise of the Mortgage Alliance Network
You could win up to $100,000.00 toward your Mortgage!!!
Visit our website today for all the details
http://www.mortgagealliance.ca/davidkendall
Phone : (905)336-8448
Toll Free: 1(877)-529-1199
Cell: (905)334-4404
Fax: (905)-628-7917
Toll Free Fax: 1(866)-805-9653
Notice: The information contained in this email is confidential. If you are not the intended recipient, you may not disclose or use the information in this email in any way and should destroy any copies. Oac Mortgages Inc. does not guarantee the integrity of any emails or attached files. .
13 October 2009
Dave's email: 10/13/09
RBC raises residential fixed-rate mortgage rates by up to 0.35 percentage points
TORONTO - Royal Bank (TSX:RY) is raising its residential mortgage rates for fixed rate mortgages by up to 0.35 percentage points effective Saturday.
The bank said Friday its posted rate for a five-year closed mortgage is going up 0.35 percentage points to 5.84 per cent, while the rate for a one-year closed is going up 0.1 percentage points to 3.8 per cent.
RBC's special fixed rate offer is also going up 0.35 percentage points to 4.54 per cent.
RBC’s “5 Year Fixed Rate SPECIAL” is not so special……
Their advertised rate special is 4.54%, my best 5 year fixed rate is still at 3.74%(oac…**)
That is a staggering .80% bps rate advantage. You could save almost $8000 over a 5 year term on a $200,000 mortgage.
It looks like the rest of the lenders are going to increase their rate as of 12:00 pm tonight, the 3.74 rate requires a quick close in 30 days. If you are looking for a 120 day rate protection I can still offer 3.99% to hold the rate to Feb 13, 2009 for today only. I only require a name and Email address and approx mortgage amount, which is it. No obligation, lender is ING Direct….. This lender has the shortest rate hold application of all the lenders
But with our dollar once again approaching the par status with the US $ and the lower than anticipated unemployment figures late last week there has been a sudden increase in the Cdn bond market. If this continues then we may see our government step up and follow Australia and increase the Bank rate.
The problem is that most clients who have been benefitting with Variable rate mortgages have had a change in perspective with regards to mortgage rates. Some clients who are still in the Prime -. 75% to Prime -1.00% have unbelievably low rates. So it looks like an expensive move to convert from Variable to Fixed, in some cases they would be tripling their mortgage rate…. How can that make any sense ??
But keep in mind the Bank of Canada keeping the Bank rate at .25% is not likely to remain that way for a long period of time, maybe for the next 6 months. We are starting to see some cyclical movements on fixed rates. If we go back 6 months our 5 year fixed rates went down to 3.60%, then very quickly shot up to 4.39%, many clients chose to leave the variables when rates went to 4.39% because at that time there was talk that things were going to go even higher. As it turned out the was the absolutely the wrong decision at the time. Now we are once again approaching the 3.60% 5 year fixed rate range, and once again it looks like rates may start to move upward again. It almost seems that the 3.60 – 3.75% is potentially the floor with regards to 5 year fixed rates.
Waiting for the day that the Bank of Canada officially raises the Bank rate, it is not likely the lowest of 5 year fixed rates will be available on that same day. Then all of a sudden you will be wishing you could get back to the 5 year fixed rates that were available today. There is risk either way, staying floating vs converting to a fixed rate. Historically speaking, a 5 year fixed rate at 3.74% is once again very close to the 75 year historical low. Getting the piece of mind that you have locked in your mortgage payment for the next 5 years could provide an element of stability, in these unstable times.
Don’t miss the boat, with regards to the lowest of the fixed rates. I am not suggesting everyone immediately convert their variable rate mortgages, but it is time to evaluate your current financial situation, can you afford you mortgage payment if rates went to 4.5 to 5%, if the answer is no….. Then give the conversion idea some thought.
Call me if you would like more information on the fixed rate mortgages that you could get today.
** Rate subject to change without notice.
Thanks,
David Kendall
Mortgage Agent
License # M08004045
211 York Road, Unit 3, Dundas, Ont. L9H 1M9
OAC Mortgages Brokerage License # 10928
An independently owned and operated franchise of the Mortgage Alliance Network
You could win up to $100,000.00 toward your Mortgage!!!
Visit our website today for all the details
http://www.mortgagealliance.ca/davidkendall
Phone : (905)336-8448
Toll Free: 1(877)-529-1199
Cell: (905)334-4404
Fax: (905)-628-7917
Toll Free Fax: 1(866)-805-9653
Notice: The information contained in this email is confidential. If you are not the intended recipient, you may not disclose or use the information in this email in any way and should destroy any copies. Oac Mortgages Inc. does not guarantee the integrity of any emails or attached files. .
TORONTO - Royal Bank (TSX:RY) is raising its residential mortgage rates for fixed rate mortgages by up to 0.35 percentage points effective Saturday.
The bank said Friday its posted rate for a five-year closed mortgage is going up 0.35 percentage points to 5.84 per cent, while the rate for a one-year closed is going up 0.1 percentage points to 3.8 per cent.
RBC's special fixed rate offer is also going up 0.35 percentage points to 4.54 per cent.
RBC’s “5 Year Fixed Rate SPECIAL” is not so special……
Their advertised rate special is 4.54%, my best 5 year fixed rate is still at 3.74%(oac…**)
That is a staggering .80% bps rate advantage. You could save almost $8000 over a 5 year term on a $200,000 mortgage.
It looks like the rest of the lenders are going to increase their rate as of 12:00 pm tonight, the 3.74 rate requires a quick close in 30 days. If you are looking for a 120 day rate protection I can still offer 3.99% to hold the rate to Feb 13, 2009 for today only. I only require a name and Email address and approx mortgage amount, which is it. No obligation, lender is ING Direct….. This lender has the shortest rate hold application of all the lenders
But with our dollar once again approaching the par status with the US $ and the lower than anticipated unemployment figures late last week there has been a sudden increase in the Cdn bond market. If this continues then we may see our government step up and follow Australia and increase the Bank rate.
The problem is that most clients who have been benefitting with Variable rate mortgages have had a change in perspective with regards to mortgage rates. Some clients who are still in the Prime -. 75% to Prime -1.00% have unbelievably low rates. So it looks like an expensive move to convert from Variable to Fixed, in some cases they would be tripling their mortgage rate…. How can that make any sense ??
But keep in mind the Bank of Canada keeping the Bank rate at .25% is not likely to remain that way for a long period of time, maybe for the next 6 months. We are starting to see some cyclical movements on fixed rates. If we go back 6 months our 5 year fixed rates went down to 3.60%, then very quickly shot up to 4.39%, many clients chose to leave the variables when rates went to 4.39% because at that time there was talk that things were going to go even higher. As it turned out the was the absolutely the wrong decision at the time. Now we are once again approaching the 3.60% 5 year fixed rate range, and once again it looks like rates may start to move upward again. It almost seems that the 3.60 – 3.75% is potentially the floor with regards to 5 year fixed rates.
Waiting for the day that the Bank of Canada officially raises the Bank rate, it is not likely the lowest of 5 year fixed rates will be available on that same day. Then all of a sudden you will be wishing you could get back to the 5 year fixed rates that were available today. There is risk either way, staying floating vs converting to a fixed rate. Historically speaking, a 5 year fixed rate at 3.74% is once again very close to the 75 year historical low. Getting the piece of mind that you have locked in your mortgage payment for the next 5 years could provide an element of stability, in these unstable times.
Don’t miss the boat, with regards to the lowest of the fixed rates. I am not suggesting everyone immediately convert their variable rate mortgages, but it is time to evaluate your current financial situation, can you afford you mortgage payment if rates went to 4.5 to 5%, if the answer is no….. Then give the conversion idea some thought.
Call me if you would like more information on the fixed rate mortgages that you could get today.
** Rate subject to change without notice.
Thanks,
David Kendall
Mortgage Agent
License # M08004045
211 York Road, Unit 3, Dundas, Ont. L9H 1M9
OAC Mortgages Brokerage License # 10928
An independently owned and operated franchise of the Mortgage Alliance Network
You could win up to $100,000.00 toward your Mortgage!!!
Visit our website today for all the details
http://www.mortgagealliance.ca/davidkendall
Phone : (905)336-8448
Toll Free: 1(877)-529-1199
Cell: (905)334-4404
Fax: (905)-628-7917
Toll Free Fax: 1(866)-805-9653
Notice: The information contained in this email is confidential. If you are not the intended recipient, you may not disclose or use the information in this email in any way and should destroy any copies. Oac Mortgages Inc. does not guarantee the integrity of any emails or attached files. .
Macquarie Financial Online Access
Great News! Macquarie Financial (RightMortgage), has now made it that much easier for you to manage your mortgage. Macquarie has recently launched online access for all of their existing clients. With this site, you now have access to easy-to-use tools and important information that make it possible to take control of your mortgage from the comfort of your home.
Simply go to http://www.macquariemortgages.ca/mymortgage
To login, click on the green login button on the right hand sign. Once directed to the next page, to register your account click “New User Registration.’
To register you will need the following information…
Mortgage Number:
First Name:
Last Name:
Date of Birth:
Payment Frequency:
Funding date (mm/yyyy):
Macquarie Financial also offers customer service over the phone, simply call (877) 462-3788 and press 2 for a representative.
As always, if you have any questions, please do not hesitate to give us a call! 905-529-1199
Lisette
Simply go to http://www.macquariemortgages.ca/mymortgage
To login, click on the green login button on the right hand sign. Once directed to the next page, to register your account click “New User Registration.’
To register you will need the following information…
Mortgage Number:
First Name:
Last Name:
Date of Birth:
Payment Frequency:
Funding date (mm/yyyy):
Macquarie Financial also offers customer service over the phone, simply call (877) 462-3788 and press 2 for a representative.
As always, if you have any questions, please do not hesitate to give us a call! 905-529-1199
Lisette
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Mortgage Alliance Oac Mortgages
As a registered franchise of the Mortgage Alliance Network, we have a number of mortgage professionals who can bring you the choice, convenience, and counsel you need to get the RightMortgage®. Working with over 40 lenders (some offered exclusively through brokers) we'll provide unbiased guidance in your mortgage decision.
We are legislated by the Ministry of Finance FSCO and our brokerage license is 10928.
We are dedicated to educating our clients about their mortgage! We want you to be well informed and comfortable with the mortgage you have and the options available to you. This blog is intended to offer information, updates, current mortgage products and current rates.
Please provide your feedback and let us know if there is anything else we can provide to help you in your mortgage process.
We are legislated by the Ministry of Finance FSCO and our brokerage license is 10928.
We are dedicated to educating our clients about their mortgage! We want you to be well informed and comfortable with the mortgage you have and the options available to you. This blog is intended to offer information, updates, current mortgage products and current rates.
Please provide your feedback and let us know if there is anything else we can provide to help you in your mortgage process.
