We are thrilled to welcome Scott Thomson to the MMG Mortgages team!
With close to a decade in the mortgage business, Scott has mastered the ability to stay on top of an ever-evolving industry. Scott has become a leader both in the mortgage arena and in his community. We are so excited to watch him grow with MMG and to work together with all of his amazing creative energy.
Welcome to the team, Scott!
• Are you withdrawing funds from your RRSP or retirement account for your down payment?
You are classified as a first time buyer if you have not owned a property in your name over the past 5 years. If this is you and you have a retirement account that you want to withdrawal from, the maximum amount is $25,000.00 per person, tax free (or $50k per couple). Don’t over withdrawal, or it will result in expensive taxes and fees.
• Not all mortgages are created equal. It’s not just about the rate.
Every mortgage has features and perks tied to it such as pre-payment ability, portability, transferability and possible payment holidays. Make sure to always ask your mortgage professional if you have these features available and beware of “restricted mortgages”.
• Always get a second opinion.
In this day and age, it is tougher to get approved for what you ideally want. Just like mortgages, not every bank is created equal. Every bank has their own internal guidelines. Some lenders are more lenient then others with reviewing your application. A broker can help you navigate which bank will approve you for the best rate, product and the highest approval amount. There is no charge to use a broker so don’t pigeon hole yourself in only visiting one bank and having one option.
• Always get pre-approved!
When your mortgage professional provides you with the maximum qualification amount for your new home, did they review your credit, your income documents and your down payment details? Beware of the quick 60 second online mortgage approvals. They are not accurate and could set you up for failure.
• Further to the above, be sure to ask if this approval amount is for the purchase of a single family home, condo or town home.
If you intend to purchase a property with condo fees, these amounts need to be included in your monthly debt and this will reduce the maximum approval amount.
• Don’t over-borrow and always do your research of what your total closing costs will be.
Aside from the down payment, there are also legal fees, home inspection costs, possible condo document review fees and potential land title transfer fees (province dependent).
Happy birthday to this South African beauty! Not only is Deane a kick ass mortgage broker, he is also the guy that always makes you smile when he walks in a room. We are so very lucky that Deane is part of the MMG family and we are wishing him a very happy birthday and year to come!
Did you know at MMG we have a full TEAM working on your file? True story! Our full time underwriters and office operations crew make sure all of our transactions get the priority attention they need! We’ve got an amazing model for tackling the complex transactions that today’s market is creating. Connect with us!
Happy Birthday Jacki!
We looked for famous quotations, thought of phrases, we even tried to compose some verses, but Couldn’t find anything suitable to describe such an incredible person. You are one hell of a mortgage broker, mentor to others, your sensible and smart, Fun and Loving. And aside from all of your vast business accomplishments you are The best Mom and The best friend to everyone. Be proud of your age: this year you are wiser, smarter and closer to senior discounts. Yesssss!
Happy birthday from your MMG Mortgages Family!
Such a wonderful evening at our MMG Staff Christmas Party over the weekend! THANK YOU to the MMG Staff and Brokers for being such a great, hardworking team. Lucky to have each of you! And thanks to all who made it out for such a great night! We are so thankful for all the continued support and amazing partnerships!
Have you ever wondered what some of the material differences are between the big banks and the smaller monoline lenders? (mono – meaning a bank who only deals in mortgages). Here is a great article from our friends at MERIX Financial who explain some of the differences of how mortgage payout penalties can be calculated. Although this might not be the case with every bank, this is a very good example of what often occurs. REMEMBER: Not all mortgages are created equal!
"Heather was AMAZING! She walked us through our roller coaster journey from renovation plans to land buying and home building plans to buying an existing home, took the time to answer all of questions, and ended up securing us a more than competitive interest rate on a mortgage that allowed us to buy our dream home! She made the entire experience seamless and “easy”! I would not hesitate to use them again or to refer them to anyone and everyone! Thank you MMG mortgage for your patience with us and for helping us in our journey!!!"
Another great review from one of our amazing clients! Thanks so much Danielle!
""Heather was fantastic to work with.
She is incredibly knowledgeable, professional and quick to respond which set our nerves at ease being first time home buyers. Heather really listened to us carefully and answered our questions and gave us invaluable guidance. I would recommend Heather and MMG Mortgages to anyone looking for an insightful and experienced mortgage broker."
Possession dates don’t match up? No problem, we have a solution for you with flexible bridge loan options. Multiple lending options, no payments required until your property sale, minimal set up fees and easy qualification.
The major lenders will only lend up to 50% of the land's market value, Luckily, we have a few smaller lenders that will consider 75% land market value, and this is predominantly in the urban city center locations, or small acreages close to the city limits. Alternatively, the down payment and lending value depends on the maximum number pf acres and vicinity of the land but we can consider up to 160 acres pending the zoning is country residential, agricultural or residential.
For many homeowners, the biggest question is “How can I pay off my mortgage as fast as possible?” Owning your home outright provides you with greater financial freedom, flexibility and the ability to focus on other financial goals like retirement or saving for your child’s education. It doesn’t even have to be that hard - you’ll be amazed how small changes in your mortgage terms and payments can make a big difference. Here are some simple strategies to help you pay your mortgage off faster. These tips will help reduce your amortization:
1. Make your regular mortgage payments more frequent: Save interest and become mortgage-free sooner by choosing biweekly or weekly payments rather than monthly payments. This will have the effect of making two extra monthly payments every year, without even noticing it.
2. Increase your payment amount when you can: If you’ve had a mortgage for a while, you’re likely used to the routine of making regular payments. Now might be a good time to consider if you could afford to increase your payment a bit. Also, whenever your household income rises (i.e. salary increase, new job, etc.), consider increasing your mortgage payment at the same time.
3. Increase or double-up your payment: To help pay off your mortgage sooner, you can double your current mortgage payment of principal and interest on any regular payment date or increase your payment amount up to 20%. This additional amount will go directly towards your principal without any cost or penalty. The increase of payment options varies with each lender. Ask MMG what your options are. These payment increases will always be in addition to making lump sum payments.
Renewing Your Mortgage
Your financial situation may have changed since you obtained your last mortgage. Renewing your mortgage is the ideal time to reassess your borrowing needs and choose the right mortgage, term and payment option to suit your lifestyle today.
Renewing Your Mortgage with MMG Mortgages is Easy
Well before your renewal date, you'll receive a renewal agreement in the mail from both your mortgage holder and MMG that outlines current terms and interest rates. Before selecting the best rate on your renewal document from your lender, take this time to call MMG and allow us to shop the market for you. More often then not, there is more competitive pricing available when transferring your mortgage to a new financial institution.
Keep this idea in the back of your mind. You can decide when it’s the best time to renew your mortgage, even if it’s before the maturity date. Sometimes, the rates have dropped and paying a small penalty to escape your contract is more valuable then you think. If you can save on the interest rate, this can compensate for the penalty paid and/or also help save on the amortization and monthly payment amounts. Contact us and together we’ll look at how you can lock in to a new rate and term to better meet your needs.
Feeling overwhelmed by all the different mortgage options? Here’s a quick breakdown of the different mortgage types.
A mortgage that is no more than 80% of the purchase price (or appraised value) of the property. This is a minimum of 20% down payment and you would avoid having to pay a mortgage insurance premium. You have the option to obtain a 30 year amortization with this mortgage type.
A mortgage in which a borrower places a down payment of less than 20% of the purchase price of a property. Loan must be insured. Insurance premiums are charged based on your down payment amount (5%, 10%, 15%). The insurance premium is added to the mortgage and the maximum amortization is 25 years. If you hold an existing high ratio mortgage, you are not eligible for a refinance.
Home Equity Line of Credit (HELOC)
A revolving line of credit secured by your home at a much lower interest rate than a traditional line of credit. A HELOC cannot exceed 65% of your home's value, however, coupled with a mortgage, the maximum lending value would be 80% of the property. Interest rates are predominately variable, and your payments are interest-only, which can keep your overall costs down. Not available for high-ratio.
Always ask your broker if your mortgage has restrictions that could affect pre-payment options, mortgage transferability, and the saleability of your property. Contact us today!
We had an awesome time taking over the Life in Calgary Instagram account for a week this summer! We had a blast sharing bits & pieces of our lives in Calgary. Calgary truly is an outstanding city that we are proud to call home.
Did you know that you can use your unsecured credit (credit cards, LOCs) to come up with some or all of your down payment?
Lock in a 7 year rate today at an incredible low rate of 3.44%. That’s the same rate as the going 5 year fixed term. With a 7 year mortgage, you are only locked in for 5 years, but guaranteed the rate for 7 years. With the uncertain economy and rising interest rates there is no better time to re-evaluate your existing mortgage term, and consider options with a longer rate guarantee. Contact us today to lock in this rate!
To our amazing clients Errol & Jun: Thank you so much for the fantastic review! We’re so happy we could assist with financing the build of your dream home!
Are you thinking of building a new home? MMG specializes in construction financing. Call us today for more information about our draw mortgage program!
MMG Mortgages invites you to enjoy some cocktails & canapés at the Grand Opening of the new Cornerstone Homes show home in the community of Artesia! You don't want to miss this beautifully appointed custom home!
Come enjoy happy hour with us at 22 Whispering Springs Way on Thursday, May 10, 5:00-7:00pm.