Happy New Year everyone and I hope that your holidays have been terrific!
I am going to provide some of our insight to the coming year and we trust that you will do your home work on your future purchases and call us when the time comes for the mortgage process. Here are some key points:
- We have seen Prime just recently drop from 6.25% to 6%
- Do we anticipate that to follow up with a drop again in 2008….yes….summer of 2008 should provide a time for lower rates and to hold steady for that period.
- Lenders are offering great opportunities for the 2012 Presidential Elections. I know it seems like a long time away…..but this is how great banks gain business from us and help us create the best options for you the mortgage holders. In short…….history tells them that during this period of Elections rates tend to fall lower then normal market rates. Which allows Re-financing opportunities to be well worth the payouts or keep in mind only taking shorter terms for the future.
- We saw 2007 have its struggles with new builds closing on time due to shortages in labor and supplies [depending on the market area] which at times proved to test the patience of the Purchaser’s. We know that these purchases for some were First Time Buyers and not having a place to move into can prove to be very scary. But if your buying in new construction, call us and we can help you build some secondary plans.
- Because of the U.S market in secondary mortgages was deflated drastically by B lenders it caused a ripple effect up here in Canada. Is that ripple effect over? No not yet we will see the effect of this for the balance of 2008. It really has only affected the B lenders in Canada that provide Second mortgages and some 1st mortgages that a traditional bank would not approve. It has definitely tightened up the awareness to all Brokers and Lenders to provide the best quality service to the mortgage holders. It is our responsibility to ensure that the Mortgage holders are not going to find themselves in a bad position in a few years at the time of refinance.
- How did the Market become weak in the U.S?……….What had happened was the mortgages and financing of all types became very easy to obtain down there for the past 3 to 4 years. The public was living in a “credit” world and when the terms of those loans became due to either negotiate new terms or find new lending solutions, the homes in which they leveraged before…….became less in value in which they received the loan at that time. What happened is the income that serviced the debts of the household stayed the same but became way less to debt service the payments of new. The only opportunity to get relief was to sell the home or enter into bankruptcy. Relying on the equity to increase each year to service the household debts is a risky way to live.
- What would be the best direction for 2008?…….The financial world says to be mature and responsible with your incomes and savings. If you do not need it or if you do…….is it needed today? Keeping that positive cash flow and “nest egg” steady with growth may be the best way to ride a very interesting wave to come.
KELOWNA REAL ESTATE REPORT
Provided by David Beeson
Click here to download the most recent information on the Real Estate Market in the Kelowna (PDF).
David Beeson — Realtor
Leesa Beeson — Real Estate Marketing and Home Stager
Phone: 250-768-2161
Cell: 250-575-2065>
Toll Free: 1-800-747-6954
Fax: 250-768-2342
Email: davebeeson@royallepage
About Bill 152
Under this legislation, a consumer may instruct a consumer reporting agency, such as Equifax or TransUnion, to include an alert in their file to verify their identity. The consumer reporting agency will then be required to forward the identify verification alert to every person or organization to whom information from the consumer’s file is disclosed. Any person or organization that receives the alert will be required to take reasonable steps to verify the identify of the person involved in the transaction.
Details of the regulation may be found here or here.
Regards,
Steve Faux
TD Economics Report
Click here to download the TD Economics Special Report PDF.
Steve's Rates
| Mortgage Term | Our Rates | Standard Rates |
|---|---|---|
| Variable Rate | 5.50% | 6.00% |
| 6 Month Closed | 6.75% | 7.35% |
| 1 Year Closed | 5.85% | 9.50% |
| 2 Year Closed | 6.20% | 7.50% |
| 3 Year Closed | 6.05% | 7.50% |
| 4 Year Closed | 5.95% | 7.54% |
| 5 Year Closed | 6.09% | 7.54% |
| 7 Year Closed | 6.20% | 7.85% |
| 10 Year Closed | 6.40% | 8.20% |
| 15 Year Closed | 6.40% | 0.00% |
| 18 Year Closed | 6.90% | 9.20% |
| 25 Year Closed | 7.00% | 9.50% |
Rates are subject to constant change, for the best rates call 1-866-993-8787.
Resources
Business Supporting Business — Thank You:
Investments
www.thenewwestside.ca
Insurance
Canyon Insurance covers all your needs, ask for Harry Mason
hmason@canyoninsurance.ca
FCm Travel Solutions
wes.flanagan@fcmtravel.ca
Private Home Sellers
www.privatehomesellers.ca
David Beeson
Realtor for the Kelowna Area
Royal Lepage Phone:1-800-747-6954
Email: davidbeeson@royallepage.com
Friends Supporting Friends — Thank You:
otis & huckleberry
www.otishuck.com
For Investments check out — www.renascencedevelopments.com
Ask for Lisa Thomas lisa@renascencedevelopments.com
A Quote to Note:
You miss 100% of the shots you never take!
— Wayne Gretzky
Contact
At Prolink Mortgage Inc., I have over 30 lending financial mortgage institutions in Canada with Steve Faux sourcing the best rates and the best products to suit your needs!
Direct Line — 1.866.993.8787
Direct Fax — 403.208.6542
Email — steve@yourmortgages.ca
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