Rosemary Papp

38 Years Local Real Estate Experience to Serve You

778-834-8021

Managing Your Mortgage

Mortgage-in-arrears studies track the number of households that have not made a mortgage payment in three or more months. The latest figures show that of the almost 4.7 million mortgages in Canada, just 13,000 of them — 0.28 percent of mortgage holders with Canada's largest banks — are 90 days in arrears. This figure has been consistent throughout the last 20 years, riding out fluctuations in unemployment, interest rates and an up-and-down Canadian dollar.

The Canadian government has a conservative approach to household borrowing, instituting changes over the past few years that necessitate larger down payments and shorter mortgage amortization periods. Today's homebuyer must have a down payment of at least five percent, with the portion of the home price between $500,000 and $999,999 requiring a minimum down payment of ten percent. And because government-backed mortgage insurance is available only for homes with a purchase price of less than $1 million, borrowers buying homes at or above $1 million will need a down payment of at least 20 percent if their financing is coming from a federally regulated financial institution.

Home loans must be paid off sooner than before, too. Homeowners were once able to stretch their payments out over a period of up to 40 years; the current maximum amortization period for a high-ratio mortgage is now 25 years.

How comfortable are you with your loan arrangement? Please call today to discuss your existing mortgage versus your future financial goals.

* http://www.cba.ca

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CONTACT ME


Phone:
778-834-8021
 
Toll Free:
1-888-707-3577
 
Email:
rosemary@homesinlangley.ca

RE/MAX Treeland Realty
#101 - 6337 198 Street
Langley BC V2Y 2E3

www.HomesinLangley.ca


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