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click on the Mortgage Resource Centre below:
| We know, you don't want a mortgage...
you want a home! Federal Finance Minister, Jim Flaherty announced prudent changes to mortgage insurance rules intended to come into force on April 19, 2010.
Consumers will have to qualify on 5 year Rates regardless of the actual term and rate consumers chose.
Maximum loan to value on refinance has been reduced to 90% from its current 95%.
Maximum loan of value on non owner occupied properties reduced to 80%. Click HERE to get approved. | | TERM | POSTED | OUR RATES* | | 6 Month | 4.85% | 3.95% | | 1 Year | 3.90% | 2.65% | | 2 Year | 4.40% | 3.40% | | 3 Year | 4.95% | 3.52% | | 4 Year | 5.64% | 4.09% | | 5 Year | 5.99% | 3.89% | | 7 Year | 6.59% | 4.99% | | 10 Year | 6.90% | 5.20% | | Variable Rate | 2.10% | | Prime Rate | 2.75% |
* Rates may vary provincially and are subject to change without notice OAC.
Rates Last Updated: July 29, 2010 |
|  | Rates courtesy of:
Julia Smirnova
Phone: (416)614-8046
Fax: (416)614-3830
Email: jsmirnova@mortgagealliance.com
Web: www.mortgagealliance.com/JuliaSmirnova
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A registered member of the Mortgage Alliance Network License# 10530 |
| * Rates are subject to change without notice OAC. |
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CALCULATE YOUR PAYMENTS
 This mortgage calculator is provided by The Financial Consumer Agency of Canada (FCAC). This calculator determines your mortgage payment, provides you with a mortgage payment schedule, and also shows how much money and how many years you can save by making prepayments (If you do not have Java click here)
We trust Financial Consumer Agency of Canada and recommend  THIS VERY CONVENIENT MORTGAGE CALCULATOR!
____ This mortgage calculator is provided by The LendingMax Corp. and includes different features as multiple scenarios (allow for easy to see "what if" possibilities), total data manipulation, multiple compound periods, payment frequencies, etc. MortgageCalculator Calculate Land Transfer Tax LTT payable for Residential properties LTT payable for Commercial properties LTT for Residential properties To calculate the total LTT payable for Residential properties, add the following together: 0.5% on the first $55,000
plus 1.0% of the amount from $55,001 to $250,000
plus 1.5% of the amount in excess of $250,001 to $400,000
plus 2.0% of the amount in excess of $400,000 OR Use the following table: Purchase Price | Calculation of LTT | 0 - 55,000 | .005 x Amount | 55,001 - 250,000 | (.01 x Amount) minus 275 | 250,001 - 400,000 | (.015 x Amount) minus 1,525 | 400,000 + | (.02 x Amount) minus 3,525 |
If the purchase price falls within this range, then apply formula to purchase price (e.g. on a $175,000 home (.01 X 175,000) minus 275=LTT) The following numbers are for reference only. Your individual land transfer tax calculation should be calculated and verified by your solicitor. The following chart is based on the Land Transfer Tax (LTT) levied by the Province of Ontario as at May 1996. Please note the Provincial Government does amend the LTT from time to time. $100,000 | $725 | $110,000 | $825 | $120,000 | $925 | $130,000 | $1,025 | $140,000 | $1,125 | $150,000 | $1,225 | $160,000 | $1,325 | $170,000 | $1,425 | $180,000 | $1,525 | $190,000 | $1,625 | $200,000 | $1,725 | $210,000 | $1,825 | $220,000 | $1,925 | $230,000 | $2,025 | $240,000 | $2,125 | $250,000 | $2,225 | $260,000 | $2,375 | $270,000 | $2,525 | $280,000 | $2,675 | $290,000 | $2,825 | $300,000 | $2,975 | $350,000 | $3,725 | $400,000 | $4,475 | $450,000 | $5,475 | $500,000 | $6,475 | $550,000 | $7,475 | $600,000 | $8,475 | $650,000 | $9,475 | $700,000 | $10,475 | $750,000 | $11,475 | $800,000 | $12,475 | $850,000 | $13,475 | $900,000 | $14,475 | $950,000 | $15,475 | $1,000,000 | $16,475 | see calculation chart at top of page |
For additional information please contact the Ontario Ministry of Finance. The Toronto Real Estate Board assumes no responsibility for the accuracy or completeness of the information set out in this section. |
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HomeLife/Victory
Realty Inc., Brokerage
10720 Yonge St., Unit 226
Richmond Hill, ON, L4C3C9
T: 905.737.0033
F: 905.737.3132
SERGEY ORLOV
Sales representative
Direct: 416.277.6569
sorlov@trebnet.com
Variable-rate mortgages shine as prime fallsROB CARRICK
Interest rate cuts like the one announced yesterday by the U.S. Federal Reserve are providing some badly needed leverage to people renewing or taking out new mortgages. The Fed pared half a percentage point off its benchmark interest rate yesterday, an echo of a larger cut made last week. The Bank of Canada has been trimming rates as well, and the trend is expected to continue as a result of slowing economic growth. The upshot here for people refinancing or arranging new mortgages: Go with a variable rate. It's your best chance of out-manoeuvring the big banks as they try to squeeze extra profits from borrowers to compensate for difficulties elsewhere. As detailed in this column last November, the big banks have kept rates on fixed-rate mortgages high, even as other rates have come down significantly. The posted five-year mortgage rate at big banks has in the past been an average of 2.5 percentage points or so higher than the five-year Government of Canada bond yield. Today, the spread has grown to almost 3.9 points. The background here is that it's costing the banks more to raise the money they lend out to people seeking mortgages. This is fallout from the subprime mortgage mess in the United States, which has made investors demand higher returns when buying securities issued by banks. While Canadian banks have nowhere near the level of involvement in subprime mortgages of their U.S. counterparts, they have not been immune. And so our big banks have been squeezing their customers where it hurts - on the cost of borrowing in a housing market where the national average price of a resale home hit $314,500 at the end of last year. Mortgage broker Vince Gaetano said he talked to a lender recently who said about three-quarters of clients are going with fixed-rate mortgages today. His reaction: bad move. "The banks are trying to tempt a lot of consumers with upcoming renewals to lock in early," said Mr. Gaetano, a senior mortgage consultant at MonsterMortgage.ca in Toronto. "We're telling people don't even think of locking in because prime is only going to be coming down." You're not immune to the inflated pricing in the mortgage market if you choose a variable-rate mortgage, when you get a rate that rises and falls with your lender's prime rate. Whereas variable-rate mortgages used to come with a discount of 0.9 of a point off prime, today you're looking at 0.6 in most cases. Still, as Mr. Gaetano points out, the trend is down for the prime rate, and that will reduce interest costs for people with variable-rate mortgages. There was some talk a few weeks ago that the big banks might not adjust their prime to match every cut in the Bank of Canada's benchmark rate, which would ruin the benefit of variable-rate mortgages. The banks could in theory keep their prime rates untouched, but what a provocation this would be to customers, politicians and personal finance columnists. It wouldn't be worth it. A novel way to deke around the big bank rate squeeze is this slick strategy suggested by Mr. Gaetano. You start by grabbing a variable-rate mortgage with a low teaser rate of, say, prime minus one percentage point for a year or prime minus 1.75 points for six months. Normally, these deals are a trap because your total interest costs are higher than you'd face if you got a plain variable-rate mortgage with a maximum discount. In this case, though, you won't keep your variable-rate mortgage until the end of its term, which is usually three to five years. Instead, you'll wait for mortgage rates to decline over the next six months to a year and then exercise your right to convert at no cost to a fixed-rate mortgage. Borrowing costs on fixed-rate mortgages have fallen a bit this year, but the inflated spread between bond rates and mortgage rates suggests there's a lot of room for them to come down further. Another consideration is that the housing market usually picks up in the spring, prompting the banks to get more competitive on mortgage rates as they vie with each other for market share. Here's another variable-rate strategy suggested by Mr. Gaetano. If you've got miscellaneous debts at a high interest rate, think about refinancing your mortgage in a way that consolidates all your borrowings. It's not uncommon for people to use a home-equity line of credit for debt consolidation, and that's a smart move because your interest rate will be whatever the prime rate is. But with a variable-rate mortgage, you'll be able to borrow at prime minus a sizable discount. If you work hard to pay down your newly enlarged mortgage principal, this is the cheapest borrowing you'll ever do. |
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