Blog Articles
What Is An Interest Adjustment Date?
The interest adjustment date (IAD) typically falls on the 1st day of the month following your mortgage closing date. The interest adjustment date is the period of time between the date the funds are advanced and the beginning of your first payment period. Typically, this forms part of your closing costs but not in all cases.
Self-Employed Borrower’s Guidelines Loosened by CMHC
On July 19th, 2018, CMHC announced changes for self-employed borrowers qualifications. These changes will make it easier for self-employed Canadians to qualify for a mortgage. In the announcement, CMHC declared "Self-employed Canadians represent a significant part of...
What Is A Monoline Lender?
WHAT IS A MONOLINE LENDER? When you use a licensed Mortgage Professional, you will get access to their vast network of lending partners. These partners include Chartered Banks, Credit Unions, Monoline Lenders, and private lenders. This post will focus on monoline...
What Is A Collateral Charge Mortgage?
WHAT IS A COLLATERAL CHARGE MORTGAGE? Your mortgage gets registered with the Land Title Office in one of two ways: a standard charge or a collateral charge. This post will focus on the latter. So what exactly is a collateral charge mortgage? Most Banks and Credit...
5 Ways To Kill Your Mortgage Approval
5 WAYS TO KILL YOUR MORTGAGE APPROVAL For many, buying a new home is a very rewarding experience. Oftentimes, it is the biggest investment in a person's life. It can also be a very stressful time, especially for first time buyers who aren't familiar with all the...
Poloz Opens The Door For A Rate Hike In July
BANK OF CANADA LEAVES RATES UNCHANGED BUT HINTS INCREASES COMING As expected, the Bank of Canada held rates steady at 1.25% for the third consecutive month but said that first-quarter growth was stronger than expected and that developments since April suggest that...
What Is The Interest Rate Differential (IRD) Penalty?
WHAT IS THE INTEREST RATE DIFFERENTIAL (IRD) PENALTY? If you choose a fixed mortgage term and need to pay out or refinance during your term you will be faced with an interest rate differential (IRD) penalty. A mortgage is a contract and if you break your obligations,...
Refinancing Your Mortgage in 2018
REFINANCING YOUR MORTGAGE IN 2018 Changes to the Mortgage Qualification rules have been very dynamic in the past decade. In an effort to curb runaway real estate prices, Governments at all levels have been making changes. For a full breakdown of all the mortgage...
7 Reasons Why You Might Break Your Mortgage Term
7 Reasons Why You Might Break Your Mortgage Term During the popular 5-year mortgage term, 60% of borrowers will break their mortgage. Think about that for a second. You have a 60% chance of breaking your term and triggering an early renewal penalty. (Assuming you...
A History of Mortgage Rule Changes In Canada
A HISTORY OF MORTGAGE RULE CHANGES IN CANADA With runaway home prices in some Canadian cities, it's important to look at the mortgage rule changes over the last decade. Most Canadians opt for the 5-year term and only start doing research when their term is up for...
