Tag Archive for: Halifax Mortgage Broker

Point of no return

There are still many of us still riding out on a variable rate mortgage, even though there have been 5 rate changes this year and the strong possibility of another one soon. At the time it was the easiest decision out there as rates were low and the fixed rate while still low was about a percent and a half higher than the discounted variable rate.

Now there are a few things that those of us still on a variable rate should be aware of. These are the Trigger Point and the Trigger Rate. Firstly the Trigger Rate is the point that you are no longer paying interest and principal on your mortgage but only paying interest. Meaning that you are no longer paying it down. The Trigger Point is when the balance on your mortgage now exceeds the amount of your original principal due to the increase of mortgage rates.

Hitting the Trigger Rate may not warrant a call from your lender, however hitting the Trigger Point mostly likely will. This is because your mortgage now exceeds the initial principal balance and since you were no longer paying interest & principal your loan was increasing due to the fact that the increasing rates and your set payment no longer covered the new interest on the loan.

Solution now would be to simply increase your payments to bring it back below the trigger point or switch over to a fixed rate so you are paying both interest & principal. Feel free to give me a call if you are in this situation.

Today I am thankful for the schools finely being open again here in Halifax, quick solutions and partners who stepped up to help solve it and invitations from colleges to attend events.

I look forward to hearing from you in regard to your mortgage needs.

Patrick

p.s- You can click on this link to start the process whenever you are ready. Schedule your meeting with me here.

p.s.s- I should tell you that I am licensed in Nova Scotia Brokerage (2021-3000179) Broker (2021-3000180), Ontario(M18001555) & in British Columbia(BCFSA #504098).

p.s.s.s You can download my new mortgage app here

Growing pains

There is always a little discomfort to growth, whether physical or emotional or financial. It’s relatively easy to do nothing and stay within your comfort zone. Real growth requires work and sometimes blood, sweat and tears. My girls are going through that this year as it is their first year away at university. One is adapting easier than the other but I know that they are both growing and becoming better.

We are going through some growing pains right now with the economy and financial markets. The rapid increases to inflation over the past year has effected us all and as a result we have had to change adapt along with it. Some say that we have been spoiled over the past 15 years with record low interest rates and that the party is now over and it’s time to higher prices of everything and that will include higher borrowing costs.

There is no way to avoid change in life but the better you adapt the more you will grow. Sticking your head in the sand and trying to pretend that it won’t effect you is not a winning strategy. Experts are recommending that you monitor your investments closely and adjust them often if required. This is also true with your personal finances, just because you have always bought your lunch throughout the week doesn’t mean that should continue so you can cope with the rising costs all around you.

Today I am thankful for clients who I had thought had disappeared came back for assistance, the growth that my girls are experiencing as I know that they will be better as a result and each new book that I have read this year that has expanded my growth potential.

I look forward to hearing from you in regard to your mortgage needs.

Patrick

p.s- You can click on this link to start the process whenever you are ready. Schedule your meeting with me here.

p.s.s- I should tell you that I am licensed in Nova Scotia Brokerage (2021-3000179) Broker (2021-3000180), Ontario(M18001555) & in British Columbia(BCFSA #504098).

p.s.s.s You can download my new mortgage app here

Generator Safety Tips

I woke up this morning to a request from my wife to run out and get a generator when the stores open. Hurricane Fiona is predicated to be a generational storm in size and intensity. The last major hurricane we had was Juan in 2003 which saw major damage and many of us without power for over a week.

So with Fiona due to hit us overnight I was off to the big box stores when they were opening their doors and was lucky enough to get a generator from Costco today. So if this is you as well, here are few safety tips.

  1. Pick a generator that will produce more power than you need.
  2. To avoid being electrocuted make sure to only use it once the rain and storm has passed. Electricity and water are not a good combination.
  3. Make sure the generator is off and cool before refueling.
  4. Use a heavy duty outdoor rated extension cord to connect to the generator. Speciality cords can come with the device.
  5. DO NOT use a gas powered generator inside your home.
  6. Use highest grade gasoline to power the device or add fuel stabilizers to insure it runs better.
  7. Do not overload your generator, only plug in what is absolutely essential.
  8. Do not plug your generator into a wall plug or try to connect it to your panel yourself.
  9. From my brother, turn off the carburetor and let the motor use the remaining fuel in the line before storing it for later use.
  10. Lastly but most importantly, don’t forget to ground it if necessary. RTFM for the instructions for your model.

Today I am thankful for the close proximity of the big box stores to my house, a fresh supply of generators that arrived this morning and several generous tips on it’s operation from my brother.

I look forward to hearing from you in regard to your mortgage needs.

Patrick

p.s- You can click on this link to start the process whenever you are ready. Schedule your meeting with me here.

p.s.s- I should tell you that I am licensed in Nova Scotia Brokerage (2021-3000179) Broker (2021-3000180), Ontario(M18001555) & in British Columbia(BCFSA #504098).

p.s.s.s You can download my new mortgage app here

August inflation numbers

The inflation numbers for August 2022 for both Canada & the United States came out over the past week. In Canada our inflation rate dropped from 7.6% to 7%, and in the US it decreased from 8.5 to 8.3. While both are retreating from the highs of a few months ago, we are still well off the comfort level of 2%.

As a result of the still too high inflation rate, the US Federal Reserve delivered it’s third straight 75 basis point increase to their interest rates yesterday. To many economists this bakes in with pretty much certainty that the Bank of Canada will follow suit with another large rate increase when it meets next on October 26th. The only thing that could change the amount of the rate change would be the CPI (inflation) numbers that will be coming out on the 19th of October.

So while we are improving and prices of goods and gasoline are coming down, according to the central bankers it is just not retreating fast enough. A lot could happen in the next month to determine the size of the next rate change from the central bankers.

Today I am thankful for a warm muggy fall day which was perfect for a run this morning, the idea’s that come from reading great books and opportunities that come from working long hours.

“Inflation is when you pay fifteen dollars for the ten-dollar haircut you used to get for five dollars when you had hair.” Sam Ewing

I look forward to hearing from you in regard to your mortgage needs.

Patrick

p.s- You can click on this link to start the process whenever you are ready. Schedule your meeting with me here.

p.s.s- I should tell you that I am licensed in Nova Scotia Brokerage (2021-3000179) Broker (2021-3000180), Ontario(M18001555) & in British Columbia(BCFSA #504098).

p.s.s.s You can download my new mortgage app here


Not Shrek’s Fiona

Batten down the hatches as Fiona is heading our way. She is scheduled to make landfall early Saturday morning and right now she is aiming towards CBRM. Given her arrival is still a few days away, it’s best to take the time now to prepare.

Here are a few things to take into consideration as we prepare for the arrival of the storm.

  • Be prepared to spend a few days with out power
  • Make sure vehicles are full of gas and BBQ propane tank is topped off
  • Charge up all your electronic devices and if you have battery back ups make sure they are charged as well.
  • Move to higher ground if you are in an area that is prone to flodding
  • Have supplies of food, water & medicine that will last you at least a week.
  • Have a battery powered radio
  • Make sure that your first aid kit is stocked up
  • If you need to use a generator, please do it safley
  • Last but not least, make sure that you check on your friends & elderly neighbours

Today I am thankful for files that took longer than I expected to close and are finely funded, my girls getting time to spend with family in Ontario and the calm before the storm.

I look forward to hearing from you in regard to your mortgage needs.

Patrick

p.s- You can click on this link to start the process whenever you are ready. Schedule your meeting with me here.

p.s.s- I should tell you that I am licensed in Nova Scotia Brokerage (2021-3000179) Broker (2021-3000180), Ontario(M18001555) & in British Columbia(BCFSA #504098).

p.s.s.s You can download my new mortgage app here

Switching

Over the course of the pandemic when the real estate market was on fire and everything and I mean everything was selling for well above the list price, the majority of people opted to go with the variable rate as opposed to the fixed. You see it was simple math at the time, as fixed rates were about 1% percentage point more expensive.

Well now thanks to soaring inflation and recent moves by the Bank of Canada, that rate disparity has all but disappeared. So if you are getting a bit nervous with your variable rate, then just reach out to your lender and ask to switch to a fixed rate for the remaining term. This is one of the advantage of the variable rate, you switch to a fixed with the same lender with out a penalty. If this will give you more peace of mind, then do it.

Today I am thankful for a quick fix for a credit card issue, a morning call with one of my girls at university and the shorter days of fall which is perfect for sleeping.

“You can only exceed your limits if you’ve discovered them.” Roel van Sleeuwen

I look forward to hearing from you in regard to your mortgage needs.

Patrick

p.s- You can click on this link to start the process whenever you are ready. Schedule your meeting with me here.

p.s.s- I should tell you that I am licensed in Nova Scotia Brokerage (2021-3000179) Broker (2021-3000180), Ontario(M18001555) & in British Columbia(BCFSA #504098).

p.s.s.s You can download my new mortgage app here

Clarity

When doing something as important as your mortgage and complex regarding the paperwork, then clarify definitely helps. Also the details matter. Getting all the details right the first time allows your file to be approved faster and will also help with answering any of the clients questions the first time around. So be clear, be concise and pay attention to all the little details and everything will go much better.

Today I am thankful for the 70 years of service that Queen Elizabeth gave to Canada and the rest of the commonwealth nations, patient clients who helped with the details while I clarified their questions and the slower pace of the day as some of the banks were closed to mark the Queen’s funeral.

“The world is not the most pleasant place. Eventually, your parents leave you and nobody is going to go out of their way to protect you unconditionally. You need to learn to stand up for yourself and what you believe and sometimes, pardon my language, kick some ass.” ~ Queen Elizabeth II

I look forward to hearing from you in regard to your mortgage needs.

Patrick

p.s- You can click on this link to start the process whenever you are ready. Schedule your meeting with me here.

p.s.s- I should tell you that I am licensed in Nova Scotia Brokerage (2021-3000179) Broker (2021-3000180), Ontario(M18001555) & in British Columbia(BCFSA #504098).

p.s.s.s You can download my new mortgage app here

High Standards

Whether personally or professionally, something that you should never ever do is to compromise your high standards. Not for friends, family, a neighbour, an old school friend or a potentially high commission. Once broken it is a slippery slope and if you do it for one then now you have to do it for everyone.

You have developed and maintained a high level of standards to a reason. You’re a professional and your reputation with your current and future clients is the life blood of your business. This is exactly how I feel and why I felt it was necessary to lose a file than have to make a concession for the standards on how I operate my business.

Today I am thankful for the good friends who have offered to help my daughter with a technical issue, an amazing handy man who came over at very short notice for some projects at our house and Sunday morning bacon for breakfast.

I look forward to hearing from you in regard to your mortgage needs.

Patrick

p.s- You can click on this link to start the process whenever you are ready. Schedule your meeting with me here.

p.s.s- I should tell you that I am licensed in Nova Scotia Brokerage (2021-3000179) Broker (2021-3000180), Ontario(M18001555) & in British Columbia(BCFSA #504098).

p.s.s.s You can download my new mortgage app here

Parity

par·​i·​ty | \ ˈper-ə-tē  , ˈpa-rə- \plural parities

Definition of parity

 : the quality or state of being equal or equivalent

Women have fought for parity with men in the workplace.

This is the topic of the day as we have reached the point where the fixed rates and the variable rates have reached parity. With the many increases to the Bank of Canada overnight lending rate, this has now given us a prime rate of 5.45. With the available discounts to prime of between prime -.55 to prime -.90 this takes us to pretty much parity with the fixed rate.

That being said you will still need to consider the various pro’s and con’s of each product before you make your final decision of where you want to go. Here are a few things to keep in mind.

The benefit of the fixed rate right now is that your payment will not change over the term (1-5 years) of your loan. The potential downside is a higher penalty if you were to break it prior to maturity. As for the variable rate, right now you are starting off pretty much the same as the fixed and it only comes with a 3 month interest penalty if you break it. However the downside is the talk from the Bank of Canada is that they are not done with the rate increases. At the end of the day pick the product that you are most comfortable with after seeing both sides.

Today I am thankful for a long bike ride with my friends this morning, deer on my lawn at 6am to eat the fallen apples and my wife’s eye for home decor deals.

I look forward to hearing from you in regard to your mortgage needs.

Patrick

p.s- You can click on this link to start the process whenever you are ready. Schedule your meeting with me here.

p.s.s- I should tell you that I am licensed in Nova Scotia Brokerage (2021-3000179) Broker (2021-3000180), Ontario(M18001555) & in British Columbia(BCFSA #504098).

p.s.s.s You can download my new mortgage app here

Friends & Flowers

I come from a big extended Cape Breton family, and growing up almost every weekend we would have some members of the family over to visit. You see my Mom was the glue for the family and they all flocked to her as she was a great listener and since we had a big house in the country the rest of the family used us as their vacation spot. Which was fine with us as we got to hang out with our cousins.

Brest cancer took my Mom 17 years ago on the 9th of Sept. This is the main reason I am doing the ride for cancer. So hopefully the funds that we raise will allow someone’s Mom to fight a little longer or possibly receive the cure or treatment that is needed. You can sponsor me here.

After Mom passed away we all got busy with our lives as most of us had young children at the time. However since the pandemic and that most of our kids are now grown up and at University or started their careers, we have had the opportunity to reconnect. Which brought me back to thinking of my Mom who would gather friends & family like flowers and cultivate the relationships over her lifetime. This is because the true joys of life are not the new TV, latest phone or fancy car but the deep connections that we develop with friends & family. If your Mom is still with you then give her a hug for me.

“Don’t walk in front of me… I may not follow
Don’t walk behind me… I may not lead
Walk beside me… just be my friend”
― Albert Camus

Today I am thankful for the great conversations I have with my brothers and cousins every Friday morning, a short hill run even when I didn’t want to do it and the completion of the renovations at my home.

I look forward to hearing from you in regard to your mortgage needs.

Patrick

p.s- You can click on this link to start the process whenever you are ready. Schedule your meeting with me here.

p.s.s- I should tell you that I am licensed in Nova Scotia Brokerage (2021-3000179) Broker (2021-3000180), Ontario(M18001555) & in British Columbia(BCFSA #504098).

p.s.s.s You can download my new mortgage app here