sarah schiess

What should I consider when buying multiple properties?

Great question! How much time have you got? 😉 If you plan to build a large property portfolio (more than 3 or 4 properties) you will want to talk with an experienced broker to make sure you’re positioning yourself properly from the start. If you’re considering purchasing a second home, or having one or two […]

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What is a monoline lender? (aka broker lender)

A monoline is simply a company that specializes in one type of financial service. The monolines that mortgage brokers deal with offer mortgages and do not offer credit cards, investments, bank accounts, etc. like a chartered bank would. Often, the only way to access these specialized lenders is through a licensed broker that is authorized […]

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What is the benchmark rate? (aka qualifying rate)

Often, lower rates are offered for shorter terms or for variable rate mortgages. Short term and variable rate mortgages are considered to be less stable than a longer term fixed rate mortgage because the payments are subject to change when the market changes. In order to ensure that payments will continue to be affordable even […]

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How do I make pre-payments on my mortgage?

As long as your mortgage allows you to make additional payments to principle (and most do), you can usually make pre-payments any one of these ways: contact your mortgage broker if your mortgage has online access, you will likely be able to make payments online call the customer service line for the lender if your […]

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How are default insurance premiums calculated?

Default insurance premiums are calculated as a percentage of your mortgage amount. (Purchase price, less your down payment) If your down payment is not borrowed, then the premium is 3.15% of the mortgage amount. It is a one time cost (not annual, not paid again at renewal) and that cost is most commonly added back […]

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How much are my mortgage default insurance premiums?

Determining how much you’ll pay for mortgage default insurance can be confusing. The premiums are calculated according to risk. The higher the perceived risk of the mortgage application, the higher the default insurance premium will be. There are a number of different factors that are taken in to consideration when risk is determined: the amount […]

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