Vancouver Mortgage Blog
Vancouver Mortgage Blog hosted by Active Rain Real Estate Network will be posting mortgage related news and articles affecting home owners in British Columbia. Real estate market postings on sale activities and pricing trend can be found on my blog at http://activerain.com/blogs/ebizniz.
Home Financing - Buying & Selling
Home buyers who are buying and selling at the same time should work out their financing beforehand. When you are only able to carry one mortgage, you obviously need to free up the equity in your present home when trading-up. You should sell first and then commit on buying another property when you are certain your sale will complete in time.
When you only have limited equity and income, you bank will only advance you the loan when you have a firmed sale on your current home. The ideal situation is when you can time the sale of your home to complete before the closing date for the home you are buying. A situation may develop that financing by the bank is with-held because a home seller cannot sell his home in time to complete his purchase.
Bridge financing can normally be work out with the bank when the home seller has a firmed contract on hand. There is a small cost for obtaining the bridge financing from your bank. Your bank may assist (check with your bank first on their bridging loan policy) in providing the down payment to bridge finance you home purchase. When your home is sold later (normally within 60 days), you repay the bridge loan to your bank.
Most home owners are concerned about the mortgage interest rates they are paying. Good mortgage management goes far beyond getting a good rate. While most home owners are aware and express the desire to pay off their mortgages early, a more disciplined approach and active management of their mortgages can help them save thousands of dollars in mortgage interest payments.
Money Merge Account
Pre-payment and weekly, bi-weekly payments are adopted by most home owners. A more concerted and aggressive mortgage repayment program can effectively reduce a 35 years mortgage to one-third the time, and saving home owners hundreds of thousands of dollars in mortgage interest.
More information on the Money Merge Account Program can be view here.
You can email me for more details on accelerating the repayment of your mortgage.