by Martin Shao

By not paying attention to a few simple steps, many Canadians who apply for mortgages end up losing money because of these costly mistakes.

Procrastination

To some extent, we all procrastinate. And occasionally we benefit from it. This doesn’t apply when arranging for a mortgage. Believe it or not, some apply for a mortgage just days before their closing or mortgage renewal dates. This is simply wrong.

As soon as you start thinking about buying, you should talk to your bank or mortgage broker. This process is called getting a pre-approved mortgage. This guarantees the best rate for up to 120 days even though the rate may fluctuate higher during that time. If during this time you find a better rate elsewhere, you can also apply for it. The pre-approval is not an obligation to borrow; it is the lender’s obligation to provide you with the best rate. 

Many people have the idea that mortgage refinancing is only used in cases where you are in financial difficulty and need money. Through refinancing, you can clear up any arrears you have on your payments and get a little bit of extra cash to pay on other bills. While this is possible with mortgage refinancing, this is something that is quite common. By refinancing the mortgage on your home, you can actually save money in lower monthly payments and pay the home off in a shorter period of time.

You do have to know the ins and outs of mortgage refinancing because there are costs involved here too. You have to choose the right plan for you. One major factor to look at is the current interest rate. When you bought your home, the interest rate may have been high and thinking it was going to rise more, you locked in your mortgage for five years. When the interest rate takes a nosedive, you can save money by refinancing at a lower rate. Even though you will have to pay more fees, the money you save will far outweigh the extra costs.

Bank foreclosure chooses no one. Even you can fall as a victim. This must not lead though to the mentality that those banks are merciless because they can afford to see people being left homeless. They are only doing their part. After all, loan borrowers are fully aware of the conditions that come along with the loaning contracts. As clients make use of collaterals, they become aware that in the event that they miss out paying back their dues to the banks, the properties which they used as collateral will be foreclosed.

There are several reasons as to why bank foreclosure auctions take place. Let us first look into the basic logic why loans get unpaid and properties get foreclosed. There are countless of circumstances that come along one's way such as illness, divorce, loss of job, vices, and many others. These incidents let the ball roll which eventually lead to being unable to pay back the loans. One must realize that the inability to pay the loan will mean ruining your financial reputation and credential. This can be a big problem on the family's security and future.

by Jane Finch

With the festive season fast approaching, it's not only the shops and retail outfits that are getting ready for the sudden onslaught of customers.

As well as Estate and Lettings Agents, Removal and Shipping companies are getting ready for Christmas as well. After the Summer and Easter holidays, this is one of the busiest times of the year for moving home.

Anyone that was unlucky enough not to complete their house sale in the summer months is now desperately trying to make sure that they move this side of Christmas, so that all the loose ends are tied up before the New Year. Also Christmas and the New Year see the end of many tenancy agreements, so therefore the renting market becomes saturated with vacant properties to let.