MORTGAGE TIP
Take advantage of the lower interest rates and maybe this is the time to pay out other loans or credit cards? You have an Auto payment on a rate higher than 4% or loans or credit cards. If might make some good "cents" to let your line of credit on your home carry your home expenses for awhile? For more information on the Line of Credit, contact Your Mortgage Broker at www.yourmortagges.ca
HOME ASSIST PLAN
Let us help you during times of financial hardship. Financial difficulties can hit at any time and can be due to a variety of causes. For example, a downturn in the economy, loss of a job, a marriage breakup, a serious illness or accident, death of a wage earner in your household, or a significant increase in mortgage interest rates at renewal time, etc. All mortgage and Line of Credit are based on the criteria of each individual borrower and should be discussed individually. Call 1-866-993-8787 and ask for Steve.
Or you may email your enquiries to steve@yourmortgages.ca or visit www.yourmortgages.ca
GAS TIPS
Tips are from a 31 yr worker in the petroleum industry to get more of your money's worth for every gallon: "Here at the Kinder Morgan Pipeline where I work in San Jose, CA we deliver about 4 million gallons in a 24-hour period thru the pipeline. One day is diesel the next day is jet fuel, and gasoline, regular and premium grades. We have 34-storage tanks here with a total capacity of 16,800,000 gallons."
- A. Only buy or fill up your car or truck in the early morning when the ground temperature is still cold. Remember that all service stations have their storage tanks buried below ground. The colder the ground the more dense the gasoline, when it gets warmer gasoline expands, so buying in the afternoon or in the evening....your gallon is not exactly a gallon. In the petroleum business, the specific gravity and the temperature of the gasoline, diesel and jet fuel, ethanol and other petroleum products plays an important role. A 1-degree rise in temperature is a big deal for this business. But the service stations do not have temperature compensation at the pumps.
- B. When you're filling up do not squeeze the trigger of the nozzle to a fast mode. If you look you will see that the trigger has three (3) stages: low, middle, and high. You should be pumping on low mode, thereby minimizing the vapors that are created while you are pumping. All hoses at the pump have a vapor return. If you are pumping on the fast rate, some of the liquid that goes to your tank becomes vapor. Those vapors are being sucked up and back into the underground storage tank so you're getting less worth for your money.
- C. One of the most important tips is to fill up when your gas tank is HALF FULL. The reason for this is the more gas you have in your tank the less air occupying its empty space. Gasoline evaporates faster than you can imagine. Gasoline storage tanks have an internal floating roof. This roof serves as zero clearance between the gas and the atmosphere, so it minimizes the evaporation. Unlike service stations, here where I work, every truck that we load is temperature compensated so that every gallon is actually the exact amount.
- D. If there is a gasoline truck pumping into the storage tanks when you stop to buy gas, DO NOT fill up; most likely the gasoline is being stirred up as the gas is being delivered, and you might pick up some of the dirt that normally settles on the bottom.
COMPARE YOUR MORTGAGE TODAY
I wanted to show a calculation difference using a Fixed rate from 3 yrs ago verses rates today. Two solutions will be provided. One as a Line of Credit that can be offered from my office and the other is a Fixed mortgage.
Three Years ago, Fixed Mortgages were about 5.10% for a FIVE year fixed mortgage. Based over a 25 year Amortization period. The monthly payments on a $400,000 mortgage would have been $2,349. Now let us say that three years later your home is worth more, you have more in monthly debts and it may seem like it never ends? Your same mortgage can provide the pay out of all those debts and lower the monthly payment.
With today`s Five year fixed rate [ 4.98% ] now lower and with an Amortization period over 35 yrs and 40 years, you are going to see the savings today.
Let us agree that your current mortgage is : $400,000 over 25 years at a rate of 5.10% = $2,353.17 a month in payments. Now add the $500 a month or more for $65,000 in credit cards debts [ can be more or less ] your monthly payments of mortgage and credit cards is $2,853.17. Your New mortgage becomes the only debt of $465,000 and we pay out all your other debts [credit cards, loans, student loans, LOC`s or auto loans]. In all likely hood, the Refinance may save you about $500 a month on extra credit card and loan debts payments. As you can see I can reduce the monthly obligations from $2,853.17 to one monthly payment of $2,325.81.
Now the Line of Credit is at Prime which is currently at 3.5% plus 1% = 4.5%.
Let us take the same $465,000 [ mortgage + debts ] and that would be $1,727.62 a month. The Line of Credit is Interest Only and Amortized over 25 yrs. The minimum requirement is required.
Call me to discuss your options or if you know of a close friend, family member or co/worker in need of some financial relief... let them know I can help. www.yourmortgages.ca
See the loan examples below
| LOAN AMOUNT | PAYMENTS |
|---|---|
| $400,000 | $2,000.70 |
| $500,000 | $2,500.88 |
| $600,000 | $3,001.05 |
| $700,000 | $3,501.23 |
BANK OF CANADA MAKES DEEP CUT
Breaking News from The Globe and Mail
HEATHER SCOFFIELD - Tuesday, December 09, 2008
OTTAWA — The Bank of Canada has dramatically cut its key interest rate by a hefty three-quarters of a percentage point, blaming a “broader and deeper” global slowdown for driving Canada into recession.
The central bank's overnight lending rate now stands at 1.50 per cent, a generational low and the likes of which have not been seen since the 1950s.
In response, however, Canada's major banks cut their prime lending rates by only half a percentage point, to 3.5 per cent, rather than following with a full three-quarters of a point reduction.
Canada's central bank joins a host of other central banks in making larger-than-usual rate cuts as their economies quickly fall victim to a stunning slowdown in global demand, led by a deeply troubled U.S. economy.
“While Canada's economy evolved largely as expected during the summer and early autumn, it is now entering a recession as a result of the weakness in global economic activity,” the bank said in its first clear-cut declaration of a country in recession.
Economists had expected a somewhat smaller half-percentage-point cut, although markets were factoring in the larger cut delivered by the bank Tuesday.
The last time the Bank of Canada cut its key rate so deeply was in the panic following the terrorist attacks of September 2001.
This time, the global recession and lower commodity prices are choking off the amount of money flowing into the country and undermining confidence, prompting consumers and businesses to have second thoughts about spending, the bank said.
The bank warned that global conditions are getting worse.
“The outlook for the world economy has deteriorated significantly and the global recession will be broader and deeper than previously anticipated.”
Financial markets around the world are still “severely strained,” the bank noted, and even though governments are doing what they can to thaw the freeze in credit, “it will take some time before conditions in financial markets normalize.”
Global growth should eventually benefit from rate cuts and fiscal stimulus around the world, the bank noted.
The bank did not say when it anticipates an end to the Canadian recession. But it said that the depreciation of the dollar and slowly improving credit conditions should help.
Most economists figure the Canadian economy will contract for at least two consecutive quarters, and many peg the recession dragging on longer than that – a sentiment bolstered by the loss of 71,000 jobs in November.
Still, the Bank of Canada did not make any promises for future rate cuts. Rather, the bank pointed out that it has now cut rates by 1 1/2 percentage points in the past two months, and indicated it will keep an eye on developments to decide whether more cuts are needed.
“The bank will continue to monitor carefully economic and financial developments in judging to what extent further monetary stimulus will be required to achieve the 2 per cent inflation target over the medium term,” the statement said.
Rising inflation is no longer an obstacle to more rate cuts, economists say, and the bank also signaled that its own outlook is for a lower rate of inflation than forecast just six weeks ago.
The central bank's key rate is normally a benchmark for other rates of lending to households and businesses. However, those lending rates have not come down as steeply as the central bank's rate over the past year and a half, because of the global credit crisis.
The Globe and Mail
Steve's Rates
| Mortgage Term | Our Rates | Standard Rates |
|---|---|---|
| Variable Rate | 4.20% | 6.01% |
| 6 Month Closed | 6.10% | 6.45% |
| 1 Year Closed | 4.35% | 5.60% |
| 2 Year Closed | 5.05% | 6.25% |
| 3 Year Closed | 5.00% | 6.25% |
| 4 Year Closed | 4.79% | 6.09% |
| 5 Year Closed | 4.89% | 6.75% |
| 7 Year Closed | 6.00% | 7.20% |
| 10 Year Closed | 6.15% | 7.25% |
| 15 Year Closed | 6.55% | 0.00% |
| 18 Year Closed | 6.65% | 0.00% |
| 25 Year Closed | 6.65% | 8.65% |
Rates are subject to change with very little notice and certain conditions may apply to individual mortgage applications, QAC, E&OE
For the best rates call 1-866-993-8787.
Resources
Business Supporting Business — Thank You:
Investments
www.thenewwestside.ca
John Ferrier Head Teaching Professional
CPGA Class A
#320 - 1405 Stevens Road, Kelowna, BC.
Tel: 250-769-0339
Email: kelowna@urbanlinks.net
Twice the Fun Games - Al Samson
1783 Ross Road on the Westside
Tel: (250) 769-4346
Fax: (250) 769-4347
www.TwiceTheFunGames.com
Rockworld - Natural and Manufactured Stone , Fireplaces & Stoves, Sales & Installations
Brent Copeland
PH: 250-769-7250
Jocko Toic - Consultant
Investors Group Financial Services
2-2429 Dobbin Rd. Westbank, BC V4T 2L4
Ph. (250) 768-4546 Cell (250) 869-9636
Fax (250) 768-9005 Toll Free (866) 768-4546
Email jocko.toic@investorsgroup.com
Success starts with a Sound Plan
Private Home Sellers
www.privatehomesellers.ca
ROOMS BY ROSELYN
Painting and Design
Roselyn Anderson
PH: 250-469-0899
EMAIL: rosely_anderson@hotmail.com
BENSON SALLOUM WATTS
For residential legal call
Shaun Langin
PH: 250-861-5678
Email: slangin@BensonSalloumWatts.com
Friends Supporting Friends — Thank You:
Krystal Beisick
www.krystalbeisick.com
For Investments check out — www.renascencedevelopments.com
Ask for Lisa Thomas lisa@renascencedevelopments.com
A Quote to Note:
Youth is when you're allowed to stay up late on New Year's Eve. Middle age is when you're forced to.
- Bill Vaughn
Also a member of the Okanagan Mortgage Lenders Association
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 — 250.768.0535
Direct Fax — 250.768.0510
Email — steve@yourmortgages.ca
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