Rick Bossom AMP Bayfield Mortgage Professionals

05/24/2017

The Bank of Canada announced today that, yet again, it's maintaining the target for the overnight rate at ½ percent.

The Bank gave a number of reasons for its decision, including:

• inflation continues to remain below its two percent target (which is in line with the Bank's April projection);

• various economic uncertainties continue to cloud the global and Canadian outlooks; and

• export growth remains subdued in the face of ongoing competitiveness challenges.

The Bank also mentioned in its announcement that macroprudential and other policy measures have not yet cooled their targeted housing markets, but they have contributed to more sustainable debt profiles. Robust consumer spending, and improved labour market and increased business investment are all signs the Canadian economy is looking "encouraging".
If you have any questions about how this announcement could impact your mortgage decisions in the near future, please feel free to give me a call.

02/16/2017

The role of a mortgage broker is not always fully understood by the general public but to make things clear... A mortgage broker works to get you the best mortgage for your situation, period. We facilitate mortgages whether it’s the best rate on your dream home when times are good; or a private mortgage that saves you from a foreclosure when times are bad. Yes, we get great rates for good credit/income borrowers and yes, we get private mortgages that take into account the greater risk when borrowers have bad credit or no provable income. We even have access to stated income mortgages for business owners who, by choice have reduced their income through business write-offs. These examples are real life situations and we have the ability to find the lender that best suits you. Call me to see what your options are, It doesn't cost you anything.

You have options. I can get your mortgage from Big Banks, local Credit Unions, Trust companies and financial institutions who only go through mortgage brokers.

02/01/2017

With Mortgage Insurance premiums increasing in March I thought I would share 10 benefits of mortgage insurance. Call me if you have any questions.

12/15/2016

Down Payment Assistance from BC Government for First Time Home Buyers!....

New program released helps first time home buyers with the down payment up to $37,500 contact me for more details but here are some highlights:

-Must reside in the home
-Be a first time home buyer
-Lived in BC for a year
-combined income of less than $150,000 a year
- Must have saved half of minimum down payment required

This program starts January 16th 2017, contact me for more details!

10/18/2016

Mortgage brokers are working to make the Government’s new insured mortgage regulations fair for all Canadians:

CMBA (Canadian Mortgage Brokers Association) has asked the Government to take another look at the insured mortgage regulation changes announced on October 3, 2016, to better align Canadians with homeownership opportunities. The following recommendations have been proposed to the Department of Finance:

1. Exempt all insured mortgages with terms greater than 7 years from the requirement from qualifying borrowers at the Bank of Canada's posted 5 year fixed rate (currently 4.64%).

2. Permit first time home buyers a one-time exception to amortize insured mortgages over 30 years, instead of 25 years.

3. Modify the requirement of limiting amortizations on insured mortgages to 25 years, by enabling borrowers with a loan to value ratio of 70% or less to amortize up to 30 years.

4. Exempt all insured mortgages with principal amounts of $499,000 or less from the requirement to qualify borrowers at the Bank of Canada’s posted five-year fixed rate (currently 4.64%) and permit qualification at the true contract rate associated with a 5 year fixed term.

The new Government regulations try to address the issue of some Canadian’s who to have taken on too much debt in hot Real Estate markets of select areas of Canada. This should be a concern to all but I feel what CMBA is recommending is a moderation of a direction taken by the Department of Finance to reduce the perceived (or real) threat of adverse economic conditions in Canada. The Government’s new regulations may lead to increased interest rates, less mortgage lender competition and reductions in home prices all over Canada. In an attempt to stabilize the market, this could in fact be the self-fulfilling prophecy of a market correction we want to avoid.

10/05/2016

The "significant changes" we are about to experience in Government mortgage rules in both high ratio and conventional mortgages are concerning to say the least. This is a very good article that should give you more understanding of the situation. If you have any questions, please contact me.

Written by VERICO Economist Michael Campbell: The Ghost of the Sub Prime Mortgage Crisis Haunts the Finance Minister By now you will have seen the details of the significant changes to the mortgage market announced by the Finance Minister but how will they impact the market? In a nutshell – it will…

09/30/2016

Interesting read about Credit Union thoughts and the market....
Just think, the trickle/spill over effect will be keeping demand high in the valley as well.

Affordability crisis to hit young professionals and new families the hardest, observer warns

09/17/2016

Every day we are being bombarded to “Buy! Buy! Buy!” and it’s so easy to get trapped into that cycle. An internet search pulls up information suggesting we see as many as 5,000 ads a day and those ads sneak up in apps, facebook scrolling, buses, everywhere.... So what do these ads do to our personal finances? CreditCards(.)com states in 2015 46% of Canadian household’s had credit card debt. I know it’s not you, and it’s most likely your neighbours because you see their lifestyle choices but let’s just look at some information on the interest that someone around here is paying:

Most people don’t know credit cards compound interest daily, which means the interest charges are being added to your balance every day! Let’s look at how this works:

Say your credit card APR (annual percentage rate) is 19% and you have a 5,000 balance today. Daily interest is 0.052% (19% divided by 365 days)

Today’s interest $2.600 new balance 5,002.60
Tomorrow’s interest $2.601 new balance 5,005.20
Next day’s interest $2.602 new balance 5,007.80
Another day’s interest $2.604 new balance 5,010.40
Another day’s interest $2.605 new balance 5,013.00
Then another $2.606 new balance 5015.60
And another $2.608 new balance 5,018.20

Did you know that nearly half of the world’s population lives on less than $2.00 a day? I’m not saying pay off your credit card and start supplementing somebody’s wages (though a decent thing to do); but what could you do with an extra 80 dollars a month, every month? That's basically what the interest charge works out to on $5,000. What happens if your credit card balances are not $5,000 but $10,000? Albert Einstein said “Compound interest is the eighth wonder of the world. He who understands it ... earns it ... he who doesn’t ... pays it.”

We can all benefit from understanding how interest works and how it can dramatically increase the price we pay for our chosen lifestyle.

09/09/2016

Mortgage brokers have so many options for so many people. Here is a quick look at a reverse mortgage product that is available.
If you or your parents/grandparents are 55 or older (no max age limit), have equity in their home and want to stay in their home for longer, but lack the cash flow they need or would like, CHIP (Canadian Home Income Plan) may be just the solution for them. They can access to up to 50% of the equity in their home, but with NO MONTHLY PAYMENTS REQUIRED for as long as one applicant lives in the home. They can choose to make payments if they like, but no payment is actually required. In a nutshell, a reverse mortgage gives people the freedom to have some extra cash flow each month or access a sum of money, without the stress of adding a new monthly payment into the budget.
If you are interested in finding out ways to access the equity in your home please call for more information.

08/08/2016

A lucky music student from Long and McQuade will receive a month's worth of lesson's of their choice because of R.M.'s personal referral.

If you refer a client to me you can receive a month of lesson's or give them to a student who may not otherwise be able to take lessons. The gift of music is one of the kindest gifts a person can give and to learn an instrument can last a life time. Please ask for details

06/14/2016

If you have applied for a mortgage loan and the lender has asked for a co-signer, it doesn't mean you are being flatly turned down for that loan. It means your situation is very close to being approved with that lenders guidelines but they need a little more security the loan will be paid on time without difficulties to you, or them. Read more at: http://yourmortgageinfo.ca/getting_or_being_a_cosigner.html

Learn about why you may need a co-signer, what a co-singer is, how to remove a co-singer and information for people thinking of co-signing.