Home & Commercial Mortgage Services - Northwood Mortgage
Call & Save
TODAY



Is There an Age Limit to Qualify for a Mortgage?

Posted onDecember 10/2014By

Many people are under the impression that once you reach a certain age, you won’t be able to qualify for a mortgage. Although there is some logic tied to that myth, it doesn’t make it true. In fact, as long as you’re a legal adult (over the age of 18), it’s illegal for a mortgage lender to decline you based on your age—regardless of being 21, 60, or 99-years-old, you can’t be denied a mortgage because of your age. But this isn’t to say that mortgage lenders are obligated to offer you a loan. Even if you’re in the prime of your life, you’ll have to prove to your lender that you can afford your mortgage and that the odds of you going into foreclosure are slim. Here are the factors that lenders do look at: Debt to Income Ratios Most lenders expect that your total monthly debts will equal…

Read More
0 Comment

Which Province Has the Lowest Mortgage Rates in Canada?

Posted onDecember 03/2014By

As of spring in 2014, hopeful homeowners in Ontario could sign up for a five-year fixed mortgage rate of only 2.89%, which in comparison to local trends of the area is a decently favorable rate. However if you go a further east, and you can secure a five-year fixed mortgage with only 2.84% interest, if you’re purchasing in British Columbia. Alberta, Saskatchewan, and Manitoba share the same rate as Ontario, while Quebec and all of the Maritime Provinces come in within two-hundredths under 3%. So why is this the case? It can seem slightly confusing that there is so much variation across provinces even though 5-year fixed mortgage rates are driven by 5-year government bond yields. The short answer is that mortgage rates don’t vary as much from province-to-province as they do from lender-to-lender. Cait Flanders of RateHub has recently offered a little insight on the matter: “Individual lending institutions…

Read More
0 Comment

What to do if Your Mortgage Application is Denied

Posted onNovember 28/2014By

Purchasing your own home is one of the most important financial decisions you’ll make. Applying for a mortgage is the first key step in the journey to home ownership, but if you’ve found your dream home and your mortgage application is denied, you could feel at a loss. You are much less likely to be denied a mortgage if you prepare thoroughly, so you should consult a mortgage advisor before making your mortgage application. It’s a good plan to obtain a pre-approval from the lender you choose, so you know what properties you can afford. This pre-approval is usually guaranteed for 90 days. Reasons a mortgage application might be denied If your application is denied, it’s because the lender does not believe you are able to make the repayments. It’s essential that you find out why your application was denied. Make sure the lender has all the paperwork they require,…

Read More
0 Comment

What’s the Difference Between a Closed Mortgage and an Open Mortgage?

Posted onNovember 25/2014By

The various types of mortgages can seem bewildering to the first time homebuyer, but understanding all your mortgage options will help you make the best financial decision when choosing your mortgage. This article explains the difference between a closed mortgage and an open mortgage. What is a closed mortgage? A closed mortgage agreement is a mortgage which can not be renegotiated, repaid, or refinanced for the duration of the mortgage (i.e., until the mortgage reaches maturity). If you wanted to make any changes to your mortgage, you would be subject to a prepayment charge. What is an open mortgage? An open mortgage agreement is much more flexible than a closed mortgage. You will be able to make prepayments at any time, and in some cases may be able to pay off the mortgage before the end of the mortgage term, with no prepayment charges. The interest rate for open mortgages…

Read More
0 Comment

What is a Mortgage Amortization?

Posted onNovember 18/2014By

Your mortgage amortization period is the total length of time over which your entire mortgage will be completely repaid. It might be helpful to compare this with your mortgageterm, which is the length of time you have a mortgage agreement with your current lender. Typical Canadian mortgages are 5-year terms with 25-year amortizations. Mortgage term Your mortgage term is usually from between 6 months to 10 years, depending on your lender and your financial situation. During this term, you receive the same rate. When your mortgage term is up, you will renew your mortgage either with your current lender, or with a new lender. Mortgage amortization Mortgage amortization periods affect your monthly mortgage payments. Longer amortization periods mean you have lower monthly payments, but because you are repaying the loan over a longer period, you will pay more in interest rates by the time your mortgage is paid off. All…

Read More
0 Comment

ReCENT POSTS

CaTEGORIES

ARCHIVES

Subscribe to RSS Feeds



Top