Sunday, January 30, 2011

Home Energy Retrofit Grants – Deadlines for Eligibility


Home Energy Retrofit Grants – Deadlines for Eligibility


The federal and provincial governments provide grants to homeowners who undertake renovations that improve the energy efficiency of their homes.  These programs are coming to a close as of March 31, 2011.  See deadlines for eligibility below.

Details

Before undertaking any renovations:
Homeowners must first have an energy audit of their home performed by a licensed service organization (list of auditors provided at government web site address provided below).  The evaluation report provides customized recommendations for renovations to improve the energy efficiency of the home.  Once the homeowner has completed the renovations, a second audit must be undertaken within 18 months of the first one to determine the change in the home’s energy efficiency.


Deadlines for eligibility: 
Home energy retrofit grants are provided by both the federal and provincial governments.  Both programs are ending as of March 31, 2011.  To be eligible for federal grants, homeowners must have booked a pre-retrofit audit BEFORE March 31, 2010 and have the post-retrofit audit completed by March 31, 2011, or within 18 months of the date of the pre-retrofit evaluation (whichever comes first).   Homeowners who booked a pre-retrofit audit AFTER March 31, 2010 can only access grants from the provincial government, but must also complete their post-retrofit audit completed by March 31, 2011.


For more information visit:

For renovation related loans are also available click http://torontomortgagetrends.com/Refinancing.php

___________________________________________________________
Home Electrical Safety Test – DIY do it your self and score your test- evaluation>>>>FREE DOWNLOAD
___________________________

What you should know about Knob & Tube

Knob and Tube Wiring in Residential Installations

What you should know about aluminum wiring

Aluminum Wiring in Residential Installations

Finding an Authorized Contractor

To find the Authorized contractor nearest you

If you are looking for a listing of Licensed Contractors in Ontario, please click here for the ECRAESA listing of Licensed Contractors.
The Authorized Contractor Program was developed by ESA to recognize those Licensed Electrical Contractors and HVAC Installers who consistently perform Ontario Electrical Safety Code compliant work.
The Biological, Chemical and Mold Testing Report, ESA Cover Sheet, ESA Requirements Checklist and Structural Report (if required) may be submitted by:
E-mail: hygiene.reports@electricalsafety.on.ca
Fax: 1-905-712-7845
Mail: ESA,
400 Sheldon Drive, Unit 1, Cambridge ON N1T 2H9

This blog communication is for public awareness and public responsibility, for client and customer benefit and best intrest in mind.


Vijay Gandhi is an Re/max Real Estate sales Personnel &  independent mortgage planner- industry insider & CENTUM Agent. If you are purchasing, refinancing or renewing your mortgage, contact Vijay or apply for a Mortgage Check-up to obtain the best available rates and terms.

As always, if you have questions about the 50/50 mortgage product and whether it’s right for you, or other mortgage-related questions, I’m here to help!
Whether you are planning to buy-sell-lease-invest your first home or your investment, contact us today!We’d love to hear from you!
Please leave a detail message; I will get back to you soon as possible…

Thanks for visiting my web sites:
vijaygandhi.com , icxforsale.com & torontomortgagetrends.com
Mortgage Rates Are At Historical Lows. Easy OnLine Application. Apply And Get The Best Mortgage Rate!   Variable Mortgage  2.1%   5 Years Fixed  3.49%    Prime   3.00%
*condition apply/sub. to availability
Appropriate expert advice from a Lawyer, Chartered Accountant or Tax Consultant to be /should be sought in regard to capital Gains or any legal, Tax, Financial issues and exemptions and other issues or concerns.
Please contact me should you have a question in this regards for Buying or Selling Real Estate Related matters. *we do not represent builder/s directly.
The information provided in this blog is for information purpose only; Author is not Liable for any Misuse or any other, Use the info on your risk. Please verify the codes from local and federal laws and use right professional advice in any of the matter here above or anywhere in my article.
Author is Licensed Real Estate Agent and Mortgage Agent, and provides service in the respective field only. For other services please consult right professional at your choice.

Vijay Gandhi,
Sales Representative- REALTOR®,
RE/MAX Dynasty Realty Inc. Brokerage*
Mortgage Agent
CENTUM Metrocapp Wealth Solutions Inc., Brokerage*
C: 647. 267. 6338
(Direct-Leave Message or Text)
O: 416.335.4335 | 905.471-0002
(24x7 Page me-Have me)
F: 905.471.7441
E: vtgandhi@yahoo.com , vgandhi@remax.net
W: 
 www.vijaygandhi.comwww.gtarealtyagent.com
 www.icxforsale.com | www.condosupermarket.com
“YOUR PERSONAL REAL ESTATE & MORTGAGE ADVISOR® FOR LIFE”
Please call me TODAY for a No Obligation Buyer Consultation or Pre-Listing appointment!
The referral of your friends & family is the greatest compliment you can give me. Thank you for your trust.

Please, forward my name, phone number & e-mail address to your friends, relatives, clients.

Sunday, January 23, 2011

Buying a Home: Electrical Current Safe. Safety 1st .


Buying a Home: Electrical Current Safe. Safety 1st .

 

Buying a home is one of the largest investments that we can make, and you want to minimize any surprises.

It is recommended that a record search be conducted with the Electrical Safety Authority to ensure that no outstanding work orders exist on the property that you are considering purchasing. Your lawyer can request a record search to check if ESA has any recorded outstanding defects on the property, or open notifications.

If you are not sure the wiring meets Ontario Electrical Safety Code requirements, you can request that the owner arrange for a general inspection as part of the terms and conditions of purchase. The general inspection will identify if there are any electrical defects that need to be corrected. The existing owner will be responsible for correcting any defects – or can negotiate with the potential purchaser to assume responsibility.

In addition, it is recommended that you ask the previous owner for copies of “Certificates of Inspection” for any electrical installations/modifications that have been conducted since the original construction of the home.

Home Electrical Safety Test – DIY
do it your self and score your test- evaluation>>>>FREE DOWNLOAD

What you should know about Knob & Tube

Knob and Tube Wiring in Residential Installations

What you should know about aluminum wiring

Aluminum Wiring in Residential Installations

Finding an Authorized Contractor

To find the Authorized contractor nearest you

If you are looking for a listing of Licensed Contractors in Ontario, please click here for the ECRAESA listing of Licensed Contractors.
The Authorized Contractor Program was developed by ESA to recognize those Licensed Electrical Contractors and HVAC Installers who consistently perform Ontario Electrical Safety Code compliant work.
The Biological, Chemical and Mold Testing Report, ESA Cover Sheet, ESA Requirements Checklist and Structural Report (if required) may be submitted by:
E-mail: hygiene.reports@electricalsafety.on.ca
Fax: 1-905-712-7845
Mail: ESA,
400 Sheldon Drive, Unit 1, Cambridge ON N1T 2H9
Following are links to Professional Listings of persons or agencies that may conduct the required testing in compliance with ESA’s Health and Safety requirements. It is the responsibility of the facility owner to confirm that ESA requirements can be met prior to engaging the services of a person or agency.

CRBOH - Canadian Registration Board Occupational Hygienists Directory of Consultants in Occupational and Environmental Health and Safety - 2007 Public Database Search for Persons Certified for the Practice of Industrial Hygiene by the American Board of Industrial Hygiene

Certificates of Inspection

  • The Electrical Safety Authority is encouraging the public to request copies of the “Certificate of Inspection” for all electrical work done in their homes/businesses. The General Inspection provides the end-use customer with a record that all electrical work in their home/business complies with the requirements defined in the Ontario Electrical Safety Code.
  • The Certificate of Inspection is sent to the permit applicant -- ask your contractor for a copy of the Certificate.
This blog communication is for public awareness and public responsibility, for client and customer benefit and best intrest in mind.


Vijay Gandhi is an Re/max Real Estate sales Personnel &  independent mortgage planner- industry insider & CENTUM Agent. If you are purchasing, refinancing or renewing your mortgage, contact Vijay or apply for a Mortgage Check-up to obtain the best available rates and terms.

As always, if you have questions about the 50/50 mortgage product and whether it’s right for you, or other mortgage-related questions, I’m here to help!
Whether you are planning to buy-sell-lease-invest your first home or your investment, contact us today!We’d love to hear from you!
Please leave a detail message; I will get back to you soon as possible…

Thanks for visiting my web sites:
vijaygandhi.com , icxforsale.com & torontomortgagetrends.com
Mortgage Rates Are At Historical Lows. Easy OnLine Application. Apply And Get The Best Mortgage Rate!   Variable Mortgage  2.1%   5 Years Fixed  3.49%    Prime   3.00%
*condition apply/sub. to availability
Appropriate expert advice from a Lawyer, Chartered Accountant or Tax Consultant to be /should be sought in regard to capital Gains or any legal, Tax, Financial issues and exemptions and other issues or concerns.
Please contact me should you have a question in this regards for Buying or Selling Real Estate Related matters. *we do not represent builder/s directly.
The information provided in this blog is for information purpose only; Author is not Liable for any Misuse or any other, Use the info on your risk. Please verify the codes from local and federal laws and use right professional advice in any of the matter here above or anywhere in my article.
Author is Licensed Real Estate Agent and Mortgage Agent, and provides service in the respective field only. For other services please consult right professional at your choice.

Vijay Gandhi,
Sales Representative- REALTOR®,
RE/MAX Dynasty Realty Inc. Brokerage*
Mortgage Agent
CENTUM Metrocapp Wealth Solutions Inc., Brokerage*
C: 647. 267. 6338
(Direct-Leave Message or Text)
O: 416.335.4335 | 905.471-0002
(24x7 Page me-Have me)
F: 905.471.7441
E: vtgandhi@yahoo.com , vgandhi@remax.net
W: 
 www.vijaygandhi.comwww.gtarealtyagent.com
 www.icxforsale.com | www.condosupermarket.com

“YOUR PERSONAL REAL ESTATE & MORTGAGE ADVISOR® FOR LIFE”
Please call me TODAY for a No Obligation Buyer Consultation or Pre-Listing appointment!
The referral of your friends & family is the greatest compliment you can give me. Thank you for your trust.

Please, forward my name, phone number & e-mail address to your friends, relatives, clients..

Saturday, January 22, 2011

Light Rail Transit & Scarborough Condos – Good and Bad sides

Light Rail Transit & Scarborough Condos – Good and Bad sides


Scarborough CONDO home owners and residences will benefit tremendously from Light Rail Transit (LRT) on Sheppard Avenue East – from Don Mills Subway Station to Meadowvale Road. LRT makes public transit more efficiency and enjoyable from Kennedy Rd  to the East along Sheppard Avenue and to the West – Don Mill Subway Station. Not only does Toronto Transit City Light Rail Plan make overall environment greener most likely it will increases the value of all CONDO units in Scarborough. Pre-construction activities & Resale have been up because of that. The specific LRT construction schedule is being confirmed 2010.
 
Sheppard Avenue East   Light Rail Transit (LTR)


Connection at Don Mills Subway Station
The Sheppard Avenue East Light Rail Transit (LRT) will provide a fast, reliable, and comfortable way to travel on Sheppard Avenue between Don Mills Subway Station and Meadowvale Road. The LRT is planned to enter a tunnel just west of Consumers Road, travel under Highway 404 and connect directly to the subway level at Don Mills Station. The modern electrically-powered light rail vehicles will operate in dedicated transit lanes, separated from traffic.
What key benefits will this project bring to the City and Scarborough in particular?
Like everywhere across Toronto, there will be considerable growth in the Sheppard corridor in the future. By separating transit from general traffic, this project can provide a fast, reliable – i.e. predictable – ride for customers. More people will find transit attractive, so we are taking a major step towards ‘Building a Transit City”. Toronto’s Official Plan is premised on such an approach to making transit a more attractive travel option as the City grows.
The City’s Official Plan (OP) designates certain sections of the city as ‘Avenues’ where they plan to develop a more urban and pedestrian friendly street environment – this includes the section on Sheppard Ave from Victoria Park to McCowan. Light Rail Transit (LRT) will help create development in this area that is more dense, varied and transit-oriented.
Project Overview
The Toronto Transit Commission and the City of Toronto will construct an LRT line from Don Mills Subway Station to Meadowvale Road which will improve transit operations on Sheppard Avenue East significantly.
• The LRT will operate in reserved lanes in the middle of Sheppard Avenue East between
Consumers Road and Meadowvale Road.
• West of Consumers, the LRT is planned to operate in a tunnel under Highway 404, and
connect directly to the subway level at Don Mills Station.
• The associated road works include a major widening of Sheppard Avenue between
Pharmacy Avenue and Meadowvale Road to incorporate the LRT, two traffic lanes in each direction, separate left turn lanes, and new bicycle lanes.
• The project will include a grade-separation of Sheppard Avenue under the Agincourt GO line.
LRT Connection between Consumers Rd. and Don Mills Station
The Sheppard East LRT will enter a tunnel just west of Consumers Road,
travel under Highway 404 and ‘butt up’ against the east end of the subway platform. This
would allow transferring customers to walk from the subway to the LRT along a single
continuous platform without having to change levels.
  
The purpose of the project 
The TTC and the City of Toronto want to identify the best way to provide high quality transit service in the Sheppard Avenue East corridor, from Don Mills Subway Station, to Morningside and potentially as far east as Meadowvale Road, in a manner whichis affordable. It makes transit a much more attractive travel option relative to the private auto; and it supports the City’s growth objectives of a better variety and density of transit-oriented developments.
The projected annual ridership of the route
In 2021, it is expected that the Sheppard East LRT will carry 17 million riders a year. Based on further, detailed forecasting (premised on development levels as far into the foreseeable future as possible – 2031) we can expect to be carrying 3000 people per hour in a single direction on the busiest point on the line.
Technology
There are two basic criteria that are generally required for a facility to be called “LRT”: electrically powered rail vehicles with power supplied from overhead wires – which allows them to operate on a city street – and operation of these vehicles in a dedicated right-of-way. The vehicles can be operated individually, or attached together and operated in ‘trains’. This right-of-way can take many forms – from lanes in the middle of the street, to hydro corridors or abandoned railway corridors
In addition to the above, all-door loading (not just front doors) is characteristic of modern LRT lines in North America and there is normally a much greater distance between stops, relative to a typical bus route.
LRT preferred over a subway extension
The design of a transit service is based on the number of people it is expected to carry per hour in a single direction at the ‘peak point’, the busiest spot on the line. City planning forecasts for the Sheppard Avenue corridor into the foreseeable future show a peak point demand in the order of 3000 people per hour. This demand can easily be accommodated by LRT, particularly given that the new light rail vehicles being designed for the TTC will be about twice the size of a standard Toronto streetcar, and can be easily ‘coupled’ to operate as two-car trains, if single vehicles operation is getting too frequent to avoid vehicles catching up and ‘bunching’. A peak point demand of 3000 per hour is well below what would be required to justify the much higher cost of a subway.
 
Preliminary cost estimates of a surface LRT – such as that proposed on Sheppard Avenue, including vehicles, is estimated to cost roughly $40 million per kilometre. In comparison, recent estimates for the extension of the Spadina/University subway, from Downsview station to Steeles Avenue, are over $200 million per kilometre (including vehicles).
LRT preferred over buses
LRT is more comfortable for riders, quieter, has no emissions on the street, and is far superior in carrying capacity in a constrained environment such as an arterial roadway. Buses in dedicated lanes, sometimes called BRT, or bus rapid transit, cannot easily accommodate 3000 people – the peak hour demand projected on Sheppard Avenue – unless the bus ROW includes by-pass lanes at intersections to allow some buses to operate “express” and pass “local buses” stopped to serve customers. To illustrate the problem, it would require 40 articulated buses per hour to accommodate a peak hourly demand of 3000 people. That is a bus every 1 ½ minutes. Even with dedicated lanes, buses operating this close together would catch up to one another and ‘bunching’ would result if some of them don’t operate express. Given that there are a variety of important objectives for Sheppard Avenue – in addition to high quality transit – such as a comfortable walking environment, attractive streetscaping, bike lanes, etc., there is not sufficient width available to allow for the construction of a by-pass lane to be added to the transit right of way.
Speed of LRT vs Buses 
In terms of reduced travel times, in the p.m. rush hour, the bus service on Sheppard Avenue is scheduled to operate at an average speed of about 17kph. For purposes of comparison, the average speed of TTC subways is in the order of 30kph. It is expected that the LRT will travel at speeds of about 22km-25km depending on the number of stops in the final design.
Therefore the travel time savings on Sheppard using an LRT are projected to be considerably faster than bus service in the p.m. peak period, when there is the greatest interference from traffic. Keep in mind that those are today’s figures – the average speed of a bus in mixed traffic would be expected to decrease as the city grows; given that the LRT is to operate in separate lanes, it will be protected from increasing traffic congestion.
The LRT run in the middle of the street
In designing dedicated transit lanes, any crossings by other traffic must have a traffic signal to ensure everyone knows who has the right-of-way. On Sheppard Avenue, or any roadway where there are very frequent un-signalized intersections and driveways, the side of the road option is not feasible because they would all have to be signalized.
The Sheppard LRT connect to the existing transit network (SRT)
SRT is a separate study looking at optional alignments – that study will determine the location of and design of the interface between the two lines. The SRT (Scarborough Rapid Transit) study website is also located at www.toronto.ca/involved .
At a minimum, it must extend far enough east to intersect with the Scarborough Malvern LRT line. At present, that line is proposed on Morningside, but that EA study will evaluate Neilson as a potential alternative. In any event, the Sheppard East LRT EA study is evaluating going as far east as Meadowvale
Traffic, Parking and Other 
East of Pharmacy, Sheppard has two through traffic lanes in each direction and the road will be widened to maintain these lanes. However, there are some existing right turn lanes that may be removed to allow more space for a better pedestrian/cycling environment and better urban design. West of Pharmacy, where there are three through lanes in each direction, we expect a reduction to only two through lanes, consistent with the section to the east. However, our designs to date do not include a reduction to the number of lanes on Sheppard in the vicinity of the Hwy 404 overpass.
Left turns across the right-of-way will only be permitted where there is a traffic signal. Between traffic signals, there will be no left turns permitted from Sheppard into un-signalized intersections or driveways, or from those locations, onto Sheppard. However, there will be separate left turn lanes provided at the signalized intersections and motorists will be able to make “U” turns from these lanes; a motorist on Sheppard who now makes a left turn into a midblock driveway could, with the LRT in place, simply go past the driveway, to the next signalized intersection, and make a “U” turn to return to his/her destination.
Noise or vibration from the LRT
There will be very little noise – the greatest problem with noise on light rail lines is created at locations where the vehicle must operate through a loop to turn around. This creates ‘wheel squeal”. The vehicles on Sheppard are planned to be ‘double-ended” – ie. have an operators’ cab at both ends so it can be operated in either direction. It will reverse direction at each end of the line, similar to the operation of a subway, and therefore will not need loops. TTC will design the trackbed to dampen vibration and ensure it is kept at an acceptable level; as part of the EA study, TTC will be undertaking a vibration assessment. 

Vijay Gandhi from RE/MAX is dedicated to providing you with a home you’ll love to live in. Contact him as by email
From all economic indicators, it appears that higher interest rates are on the way in 2012.
What would your monthly payments be at current home prices in your neighborhood?  Compare your options using CENTUM Mortgage Calculators.
Vijay Gandhi is an independent mortgage planner- industry insider & CENTUM Agent. If you are purchasing, refinancing or renewing your mortgage, contact Vijay or apply for a Mortgage Check-up to obtain the best available rates and terms.
Have you considered a 50/50 Mortgage?
As always, if you have questions about the 50/50 mortgage product and whether it’s right for you, or other mortgage-related questions, I’m here to help!
Whether you are planning to buy-sell-lease-invest your first home or your investment, contact us today! We’d love to hear from you!
Please leave a detail message; I will get back to you soon as possible…
Thanks for visiting my web sites:
Mortgage Rates Are At Historical Lows. Easy OnLine Application. Apply And Get The Best Mortgage Rate!   Variable Mortgage  2.1%   5 Years Fixed  3.49%    Prime   3.00%
*condition apply/sub. To availability

Target for the Overnight Rate
Key interest rate: target for the overnight rate

Appropriate expert advice from a Lawyer, Chartered Accountant or Tax Consultant to be /should be sought in regard to capital Gains or any legal, Tax, Financial issues and exemptions and other issues or concerns.
Please contact me should you have a question in this regards for Buying or Selling Real Estate Related matters. *we do not represent builder/s directly.
The information provided in this blog is for information purpose only; Author is not Liable for any Misuse or any other, Use the info on your risk. Please verify the codes from local and federal laws and use right professional advice in any of the matter here above or anywhere in my article.
Author is Licensed Real Estate Agent and Mortgage Agent, and provides service in the respective field only. For other services please consult right professional at your choice.

Vijay Gandhi,
Sales Representative- REALTOR®,
RE/MAX Dynasty Realty Inc. Brokerage*
Mortgage Agent
CENTUM Metrocapp Wealth Solutions Inc., Brokerage*
C: 647. 267. 6338
(Direct-Leave Message or Text)
O: 416.335.4335 | 905.471-0002
(24x7 Page me-Have me)
F: 905.471.7441
E:
vtgandhi@yahoo.com , vgandhi@remax.net
W:  www.vijaygandhi.com
www.gtarealtyagent.com 
 www.icxforsale.com | www.condosupermarket.com
Please call me TODAY for a No Obligation Buyer Consultation or Pre-Listing appointment!
The referral of your friends & family is the greatest compliment you can give me. Thank you for your trust.
Please, forward my name, phone number & e-mail address to your friends, relatives, clients..
Your comments on the subject is most welcome…

Please discuss the recent developments in your community connected to this project and find out the ways and get advice if it is connected to your real estate interest from us .Thank you.



Monday, January 17, 2011

New Mortgage Regulations Announced on 17 Jan 2011

New Mortgage Regulations Announced on 17 Jan 2011


Quantcast
Finance Minister Jim Flaherty has announced new mortgage regulations.

Link1 : http://www.theglobeandmail.com/report-on-business/video/ottawas-new-mortgage-rules/article1872591/
Video Link from Globe and Mail Link 2
Link 1
http://www.theglobeandmail.com/report-on-business/video/ottawas-new-mortgage-rules/article1872591/
January 17, 2011

As many of you heard this morning on the news the changes about Mortgage market by Finance minister.
Here is a quick Update, stay tuned for updates on this topic.

This morning, Finance Minister Jim Flaherty has announced new mortgage regulations aimed at reducing Canadians’ soaring household debt.

Flaherty has unveiled three new rules:

(1) Mortgage amortization periods will be reduced to 30 years from 35 years.
(2) The maximum amount Canadians can borrow to refinance their mortgages will be lowered to 85 per cent from 90 per cent.
(3) The government will withdraw its insurance backing (i.e. CMHC insurance)on lines of credit secured on homes, such as home equity lines of credit.

The new rules come on the heels of a Bank of Canada announcement that Canadians’ domestic debt burdens have hit record levels.

The change in amortization and refinance borrowing limits will go into effect on March 18, 2011 and the change in insurance on home equity lines of credit will go into effect on April 18, 2011.

The first change is likely to have the largest impact. Buyers who purchase a home with less than 20 per cent of the value of the home are required to purchase government-backed mortgage insurance through Canada Mortgage and Housing Corporation.

Under the new rules, mortgages amortized over longer than 30 years will no longer qualify for that insurance, making it effectively impossible to get a highly leveraged mortgage of more than 30 years in Canada.

While Flaherty called the changes “moderate,” they did not include an increase to the five per cent minimum down payment Ottawa requires for a home purchase. They also stopped short of a proposal that surfaced last week which would have required 100 per cent of condo fees to be included in the list of expenses that are measured against income when financial firms consider a mortgage candidate. Currently, only 50 per cent must be included.

The ratio of household debt to disposable income has reached 147 per cent and household debt has reached $1.4 trillion.

The International Monetary Fund has called household debt the No. 1 risk to the Canadian economy.

Here is net impact of the first change a client with 90K income that could qualify for 415K with 5 % down, Now the same client will qualify for 397K, another way to look at it is that 4K more in income would be needed to qualify for 415K purchase price. THIS IS EFFECTIVE AS OF MARCH 18 for Mortgages and April 18 for Line of credit.

Here is the link to the official change: http://www.fin.gc.ca/n11/11-003-eng.asp

Action for realtor B2B partners: It is a good idea to touch all clients in pipeline to make sure their approvals are valid in their benefit.
If you need to run a quick scenario by me feel free to call at your convenience.
For more information on the regulations and their impact on our industry, please contact Vijay at vgandhi@remax.net

Vijay Gandhi from RE/MAX is dedicated to providing you with a home you’ll love to live in. Contact him as by email

From all economic indicators, it appears that higher interest rates are on the way in 2012.
What would your monthly payments be at current home prices in your neighborhood?  Compare your options using CENTUM Mortgage Calculators.

Vijay Gandhi is an independent mortgage planner- industry insider & CENTUM Agent. If you are purchasing, refinancing or renewing your mortgage, contact Vijay or apply for a Mortgage Check-up to obtain the best available rates and terms.

Have you considered a 50/50 Mortgage?

As always, if you have questions about the 50/50 mortgage product and whether it’s right for you, or other mortgage-related questions, I’m here to help!

Whether you are planning to buy-sell-lease-invest your first home or your investment, contact us today! We’d love to hear from you!
Please leave a detail message; I will get back to you soon as possible…

Thanks for visiting my web sites:
vijaygandhi.com , icxforsale.com & torontomortgagetrends.com
Mortgage Rates Are At Historical Lows. Easy OnLine Application. Apply And Get The Best Mortgage Rate!   Variable Mortgage  2.1%   5 Years Fixed  3.49%    Prime   3.00%
*condition apply/sub. To availability

Target for the Overnight Rate
Key interest rate: target for the overnight rate

Appropriate expert advice from a Lawyer, Chartered Accountant or Tax Consultant to be /should be sought in regard to capital Gains or any legal, Tax, Financial issues and exemptions and other issues or concerns.
Please contact me should you have a question in this regards for Buying or Selling Real Estate Related matters. *we do not represent builder/s directly.
The information provided in this blog is for information purpose only; Author is not Liable for any Misuse or any other, Use the info on your risk. Please verify the codes from local and federal laws and use right professional advice in any of the matter here above or anywhere in my article.
Author is Licensed Real Estate Agent and Mortgage Agent, and provides service in the respective field only. For other services please consult right professional at your choice.

Vijay Gandhi,
Sales Representative- REALTOR®,
RE/MAX Dynasty Realty Inc. Brokerage*
Mortgage Agent
CENTUM Metrocapp Wealth Solutions Inc., Brokerage*
C: 647. 267. 6338
(Direct-Leave Message or Text)
O: 416.335.4335 | 905.471-0002
(24x7 Page me-Have me)
F: 905.471.7441
E:
vtgandhi@yahoo.com , vgandhi@remax.net
W:  www.vijaygandhi.com
www.gtarealtyagent.com 
 www.icxforsale.com | www.condosupermarket.com
“YOUR PERSONAL REAL ESTATE & MORTGAGE ADVISOR® FOR LIFE”

Please call me TODAY for a No Obligation Buyer Consultation or Pre-Listing appointment!
The referral of your friends & family is the greatest compliment you can give me. Thank you for your trust.
Please, forward my name, phone number & e-mail address to your friends, relatives, clients..
Your comments on the subject is most welcome…

Related links:

Saturday, January 15, 2011

The Variable-Rate Mortgage – Temptress to Us All

The Variable-Rate Mortgage – Temptress to Us All

Ahh, the variable rate mortgage, temptress to us all. It offers you the lowest borrowing cost in exchange for the security of your locked-in rate. History shows that variable has been the right call for Canadians about 90% of the time,  but for the other 10% of the time, history also shows you would have lost more vs. fixed when you bet wrong, than you on average would have saved vs. fixed when you bet right. So it’s the right call, except when it isn’t. And there’s the rub.

If you can’t afford to have rates go up then you shouldn’t go variable. The qualifying standard for high-ratio insurance on variable five-year rates takes away some of the guesswork (rightly in my view). In simple terms, if prime rates are at 3% and the posted five-year rate is at 5.5%, variable-rate applicants must show that they can afford their payment if it increases to 5.5%. It means government money won’t be used to insure variable-rate borrowers with less than 20% equity in their properties who can’t afford to have their rates go up. Hard to argue with that.
One more point before we get into the glories of all things variable. Every lender and broker will make a big deal of the fact that you can convert your variable rate to fixed at any time, and it’s nice to have that option. But don’t imagine that, if variable rates increase by 2%, fixed rates will still be at today’s levels. In reality, if variable rates have risen to the point where you are ready to convert, fixed rates will in all likelihood have done the same, making them more expensive than they are today. It’s not reason enough to forgo choosing variable-rate products, but you should make your choice knowing exactly what you are trading off.
And now for the good parts. For starters, the rates are lower. In normal economic conditions shorter term loans demand a lower risk premium, resulting in a lower rate. Borrowing at a variable rate also makes the prepayment penalty cheaper. Since the bank’s interest rate differential (IRD) penalty can’t be used, your payout penalty is limited to three months interest (which is usually less than half the cost of the IRD penalty for fixed-rate mortgages). Even if rates do go up, they will probably increase over time and the more money you save in the interim, the more they will eventually have to go up before you end up being worse off.
One of the biggest knocks on real estate as an asset class is its illiquidity. Variable-rate mortgage loans that total less than 80% of the property’s appraised value can be combined with a line of credit, which is re-advanceable. This gives you the option to reborrow up to your original loan amount at any time.
The biggest benefit of having a variable-rate mortgage is realized when borrowers use the money they are saving (by having a lower rate) to pay down their mortgage faster. The most prudent approach is to set your payments at the equivalent five-year fixed rate, which will dramatically reduce the life of your loan. From a cash flow perspective, if rates rise later, your payment doesn’t have to change until it exceeds the fixed rate you used to set your payment.
While variable-rate products come with some additional risks, when used prudently, they offer enhanced flexibility and the opportunity to significantly shorten the life of your mortgage. Tempted?
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From all economic indicators, it appears that higher interest rates are on the way in 2012.
What would your monthly payments be at current home prices in your neighborhood?  Compare your options using CENTUM Mortgage Calculators.
Vijay Gandhi is an independent mortgage planner- industry insider & CENTUM Agent. If you are purchasing, refinancing or renewing your mortgage, contact Vijay or apply for a Mortgage Check-up to obtain the best available rates and terms.
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