Lynn McAskin Mortgages

So proud to be part of such an awesome team at Mortgage Architects!
Thank you to all of our fabulous clients for making 2021 such a great year!

It's now easier to call Lynn McAskin Mortgages.

The Bank of Canada raised rates today by .25% or 25bps. This affects you if you have an adjustable-rate/variable rate mortgage or a line of credit.
If you are in a variable rate mortgage your payments will increase but do not panic. Rate increases are typically 25bps or .25% for each increase. The increase of 25bps will increase payments by less than $13 per month per $100,000 borrowed.
Before you consider locking into a fixed-rate mortgage remember the main benefit of a variable rate mortgage is the lower penalty to break it. Penalties to break a variable rate mortgage are three months interest or about .4% versus a fixed rate penalty can be up to 4.5% of the mortgage balance. In dollars that equates to $400 per $100,000 versus $4,500 per $100,000.
What hurts more $13 or $4,500 per $100,000 borrowed?
People don’t plan to break their mortgages, but they do for many reasons such as buying their dream home, refinancing to renovate, or to buy a cottage. A smaller penalty means you have the flexibility to buy or sell or change your mortgage when you want to.
Feel free to call me if you want advice on whether to lock-in.
The next rate-setting announcement date is April 13th. Expect more increases this year.

First-Time Homebuyers you can take advantage of this plan. Call me if you have questions or want help. I'm always here for questions. Lynn

Have a Wonderful Day!

The first step in your home buying journey is getting pre-approved. Let's chat and get this done!

Good News No Increase to Interest Rates Yesterday.
The Bank of Canada announced that it would maintain interest rates at current levels. If you have a variable or fixed-rate mortgage that means no change to your payments.
The Bank of Canada will be raising rates this year. If you are in a variable rate mortgage your payments will increase but do not panic. Rate increases are typically 25bps or .25% for each increase. The increase of 25bps will increase payments by less than $13 per month per $100,000 borrowed.
Before you consider locking into a fixed-rate mortgage remember the main benefit of a variable rate mortgage is the lower penalty to break it. Penalties to break a variable rate mortgage are three months interest or about .4% versus a fixed rate penalty can be up to 4.5% of the mortgage balance. In dollars that equates to $400 per $100,000 versus $4,500 per $100,000.
What hurts more $13 or $4,500 per $100,000 borrowed?
People don’t plan to break their mortgages, but they do for many reasons such as buying their dream home, refinancing to renovate, or to buy a cottage. A smaller penalty means you have the flexibility to buy or sell or change your mortgage when you want to.
Feel free to call me if you want advice on whether to lock in.
The next rate-setting announcement dates are March 2 and April 13th. Expect an increase on one of these dates.
https://www.bankofcanada.ca/2022/01/fad-press-release-2022-01-26/

Lynn McAskin Mortgages updated their phone number.

Mortgage Down Payment Basics
1. If you have less than 20% down payment, then you must pay for mortgage default insurance and the house price must be less than $1Million and amortization 25 years.
2. Min down payment is calculated as 5% of purchase price up to $500,000 and 10% on the remainder.
Example: purchase price of $800,000
5% of $500,000=$25,000 and 10% of the remainder $300,000=$30,000
Total down payment required is $55,000 (25,000+30,000)
3. In addition to down payment, you need funds for closing costs usually 1.5-2.0% of the purchase price.

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Here's a little assurance for all the First time buyers nervous about getting into the market right now.
You are still better off to buy than rent.

Buying vs. Renting: Homeowners Come Out Ahead, Study Says - Mortgage Rates & Mortgage Broker News in Canada Despite higher home prices and larger mortgages, monthly housing costs are currently lower for homeowners—on average—compared to renters.

Is your mortgage up for renewal? Would you like to pull out some equity to renovate, install that pool you've been dreaming about or buy that boat? Let's chat

Anyone buying or selling a home should read this. Practical advice on how to compete in bidding wars. It’s extremely tough for first-time buyers and I feel bad every time a client loses a bid. Hang in there you will be successful!

How Gambler’s Hope Perpetuates Toronto Bidding Wars Home buyers routinely go for stressful and inefficient plays in the strange game that is Toronto real estate bidding wars - here's what to do instead.

April housing Stats for Simcoe County.
Number of units sold in April declined from March. Market may be cooling off a little....
Avg April sale price of detached home in Barrie $810,332.

April 2021 Market Statistics May 7th, 2021 – The April 2021 sales information is in, and residential property sales recorded through the Matrix™ System for the Barrie and District Association of REALTORS® (BDAR) region showed a month-over-month decline in number of units sold across all regions. This could be a sign that t...

Quick summary of some reasons to use a mortgage broker

Working with a mortgage broker

Signs that normalcy is returning to the Toronto real estate market.

Toronto housing stalls in April as prices slip from record high - BNN Bloomberg Runaway home-price growth in Canada's largest housing market stalled last month amid signs prospective homebuyers could be tapped out.

Lynn McAskin Mortgages updated their website address.