Edmonton Mortgages and CAAMP certification

If you are an Edmonton resident looking to obtain an Edmonton mortgage, your first step should be to choose a reliable, ethical and resourceful mortgage broker. Easier said than done, right? Especially for first time, inexperienced home buyers.
So how exactly do you know that the mortgage broker you are looking at is qualified, educated, experienced, and resourceful?
Answering the above question may be easier than you think, thanks to the Canadian Association of Accredited Mortgage Brokers, better known as CAAMP. CAAMP is a national association dedicated to educating and representing the Canadian Mortgage industry. CAAMP membership has well over 10,000 members. Ask your prospective Edmonton mortgages broker if they are one of CAAMP’s members.
According to CAAMP, if your mortgage broker is CAAMP certified, that means that they:

1. Are a CAAMP member in good standing and abide by the CAAMP Code of Ethics.

2. Have a minimum level of experience in the mortgage industry, demonstrate proficiency
AND provide proof of experience using Option 1 or Option 2 below

Option 1 - Proficiency Course
• Provide proof of at least two years of experience in the mortgage industry AND
• Provide proof of successful completion of the CAAMP Challenge Exam OR a CAAMP approved proficiency course.

Option 2 - Five Year Rule
• Provide proof of five or more years of experience in the mortgage industry AND
• Provide letters or e-mails of reference from two AMP members in good standing. The
References must recommend that the applicant be granted the AMP and may be included as one of the documents used to provide proof of experience.

3. Complete CAAMP's mandatory pre-accreditation course, Ethics and Responsibilities for Mortgage Professionals, either online or in seminar format

The above information is an excerpt from this CAAMP PDF

Independent Mortgage Companies Offer Flexibility

There is a common misconception among the general home purchasing public that traditional lenders, such as banks, are always the better way to go. This is not necessarily true. For people from all walks of life, independent mortgage brokers are often the better way to go.

Surprisingly, most people think they are out of options. Until, that is, they decide to see their mortgage broker. Reputable independent mortgage companies have a vast network of resources right at their fingertips. It is very unlikely that these resources would be available to the average homebuyer. This vast network usually means a better power to negotiate. In other words, mortgage brokers will negotiate a great deal and offer their clients very flexible terms.

On another note, an experienced independent mortgage broker can also provide assistance outside of the realm of first time mortgages. They will also people with financing, home equity loans, investment properties, and so much more.

Calgary Mortgages May Require Tough Negotiations

If you are seeking a mortgage in Calgary, you are likely aware that there are a lot of options. Some of these options are cost effective and some are costly. Of course there is a grey area when searching for the mortgage option that is right for you. It is necessary to do your research and to be prepared to negotiate.

If you are like most Calgarians, you are busy. You have a life. You do not have time to spend hours researching your mortgage options and even if you did, are you prepared to negotiate and haggle? This is why you need someone in your corner. Someone who knows everything you need to know about Calgary Mortgages and has all possible resources at his or her fingertips.

An experienced independent Calgary mortgage broker will be able to help you immensely in the mortgage application processes because they can negotiate on your behalf with several, perhaps a hundred or more lenders.

Call a trusted Calgary mortgage broker to ensure you are getting the best possible deal available to you.

Vancouver Mortgages Are Not Out of Reach

This particular entry is aimed at the population of Vancouver who, for whatever reason, may not fit into the desirable profile of a mortgage applicant at a “traditional” lender. Not sure if you fit into this category? Maybe you are:

· New to the country / lacking a credit history
· A commission based sales person / entrepreneur
· Stuck with a bad credit history
· Recovering from a bankruptcy

As the housing prices in Vancouver and surrounding areas seem to skyrocket and banks become more cautious, many “non-traditional” borrowers are finding that mortgages in the Vancouver area are a little out of reach. I feel, however, that if you do not fall into the “traditional” Vancouver mortgages applicant category, this does not mean that you are the problem. It simply means that a traditional lending scenario many not be in your best interest. My suggestion would be to call a resourceful and experienced mortgage broker in Vancouver. He or will likely have a vast amount of viable mortgage options available to you.

Shopping for Ottawa Mortgages Online

Thanks to the power of the Internet and flexible mortgage brokers, shopping for Ottawa mortgages from your home could not be easier.

An experienced and resourceful Ottawa Mortgage broker should now be able to help bring a abundance of tools and options right to your home office or favourite arm chair. They should also be able to answer whatever questions you may encounter during the home purchasing process. Are you wondering if your mortgage should go through a bank, a private company, or an investment trust? Simply ask your trusted Ottawa mortgages broker. While you are at it, ask about home equity loans for renovating your new home or investment property. You may be surprised to find that you might qualify for a home equity loan with as much as 100% financing!
If you are looking for a convenient, flexible mortgage and / or home equity loan, contact your online Ottawa mortgage broker!

Toronto Mortgages are Still Affordable

I am constantly hearing people opine about the Toronto housing market. There are a lot of misconceptions floating around and these misconceptions seem to be growing with every dinner party I attend.
One of the most common misconceptions I am hearing is regarding the affordability of mortgages. The truth is Toronto Mortgages are still very affordable. The same goes for home equity loans. If they weren’t, why would so many people you know be choosing now as the time to downsize, upsize, move to a nicer neighbourhood or closer to a school? Among my close friends, I can think of two who just moved (one downsized and one upsized) and one other person who is in the process of finding a new place closer to the downtown Toronto core.
Many Torontonians who have no plans of moving in the near future are still taking advantage of low mortgage rates in Toronto. They are purchasing investment properties and second residences.
So, while dinner party conversation may be interesting and entertaining, it is important to make your real estate and investment decisions based upon something a little more substantial. Contact your trusted Toronto Mortgage expert today.

Toronto Mortgage and Real Estate Markets Remain Steady

According to the Globe and Mail, prices of resale homes in the Greater Toronto area have been steady through to August (the last month for which data is available).
The average price stood at $376,236 in 2007, and has gone up 2.2 per cent to $384,605 for the

January-to-August period in 2008, according to the Toronto Real Estate Board. For new detached houses, the average price for January-to-August stood at $536,404 throughout Greater Toronto, up 4.9 per cent from the same period in 2007 from $511,322, according to CMHC.

An important indicator of local housing prices is the arrears rate:

The percentage of residential mortgages that are behind current payments by 90 days or more stands at 0.27 per cent, according to data compiled by the chartered banks and reported by the Canadian Association of Accredited Mortgage Professionals. This accounts for about 20,000 to 25,000 of residential mortgages in Canada.

To put things in perspective, during the last major recession in 1992 the arrears rate was 0.6 per cent.

Ask a Mortgage Broker About Deferred Mortgages: Short-term Gain for Long-term Pain

Jonathan Kesselman, an Economics professor at the University of British Columbia, proposes deferred mortgages where a government body would guarantee the mortgages against default for an insurance fee paid by the buyer. Prof. Kesselman’s idea is to soften the impact of high interest rates and inflation on young people presently shut out of the housing market. Presumably, the government body would be Canada Mortgage & Housing Corporation. Let’s examine Prof. Kesselman’s argument in theory and practice:

Theory: A young person’s income is low at the start of his/her career, but earnings are expected to increase over time if the person is a professional.In the first few years of the deferred mortgage, the buyer does not pay all of the interest to the lender. Postponed interest is added to the total outstanding mortgage capital. The interest increases as the mortgage ages, but the mature buyer is better able to handle the increase because he/she has an established career and earns more. The lender cannot lose on this deferment, because the Canadian government insures repayment.

Practice case study: Young Simon’s family gives him a $20,000 deposit for graduation. He purchases a small, 100-year-old house worth $120,000 in Hamilton, which he thinks is a viable commuting distance to Toronto. He is delighted that his initial monthly mortgage payment of $763.22 is less than rent on a Toronto apartment. However, he soon finds out the charming old property requires extensive modernization and maintenance. A $100,000 mortgage at 8% interest today rolls up to $147,000 by 2013, and $216,000 by 2018 through the magic of compound interest. Simple Simon has negative equity. He decides he no longer can stand the commute to and from Toronto, which eats four hours from his day in traffic snarls. He moves back to Toronto and rents out his Hamilton property. He can only charge the going rate of $800 per month, and continues to lose money on his rental property. Simon cannot sell his property for a profit.

While this scenario is not the debacle of an American subprime mortgage with balloon payments, a deferred mortgage is still not a worthwhile solution for young Canadian buyers. Talk to your mortgage broker about safer options.