Real Estate

The Official Mortgage Rates Thread

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Feb 2, 2014
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JayLove06 wrote:
Feb 3rd, 2019 3:56 pm
Question. What are the differences between buying property over $1M vs under $1M What are the extra costs if any? I'm looking in the $1M range but if I can save money and/or headaches by looking under $1M I'm all ears.

It seems there's a big difference between a 9.5M home and a 1.05M home.
You have to put at least 20% down for a million dollar purchase and rates will be higher as Paul mentioned.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative
President's Club Award Winner At The Mortgage Architects
PLATINUM CLUB Award Winner At Century 21 Innovative
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JayLove06 wrote:
Feb 3rd, 2019 3:56 pm
Question. What are the differences between buying property over $1M vs under $1M What are the extra costs if any? I'm looking in the $1M range but if I can save money and/or headaches by looking under $1M I'm all ears.

It seems there's a big difference between a 9.5M home and a 1.05M home.
Most of this was answered in my post directly above yours. Pricing for a home with a purchase price of $999,999 or less will be lower than one with a purchase price of $1,000,000 or greater. There are no extra headaches or any other additional costs other than a slightly higher rate. Really, what should be most important is buying the home you love, even if the rate might be a little higher.
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
Newbie
Jan 16, 2019
2 posts
Hi All,

Looking for some advice as I am first-time home buyer, Please help!!
Mortgage: 649,000$
Which city is the property located in? Vaughan, ON
Is the property owner-occupied or a rental? Owner-Occupied
Is the mortgage CMHC insured? yes
Closing date property? Feb 27th 2019
Current Income including spouse: 160,000 $

As of now National bank is giving me 3.34 fixed rate for 5 yrs which is approved, but got to know hsbc with cmhc insured is giving @3.24% is it best to stick on to NB or try HSBC given the short duration?
Also will it affect the already approved loan?
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sudivand wrote:
Feb 3rd, 2019 8:41 pm
Hi All,

Looking for some advice as I am first-time home buyer, Please help!!
Mortgage: 649,000$
Which city is the property located in? Vaughan, ON
Is the property owner-occupied or a rental? Owner-Occupied
Is the mortgage CMHC insured? yes
Closing date property? Feb 27th 2019
Current Income including spouse: 160,000 $

As of now National bank is giving me 3.34 fixed rate for 5 yrs which is approved, but got to know hsbc with cmhc insured is giving @3.24% is it best to stick on to NB or try HSBC given the short duration?
Also will it affect the already approved loan?
You can definitely switch lenders as you are not committed until you sign with your lawyers office. With National Bank, you would have a collateral charge mortgage, which would mean there are some additional fees to switch at the end of your term. Legal and appraisal fees, in addition to your discharge fee. These fees amount to around $1,400 in total. There are more and more lenders now that will cover some, or even all of these for you, however options may be a bit more limited and you may pay a slightly higher rate to have ALL fees covered.

Big banks (including HSBC) also have the harshest penalties of all mortgage lenders should you find yourself in a position where you need to break the mortgage early. Penalty can be as much as 500% more than most non-bank lenders (this applies to fixed mortgage rates only).

Lowest rates through brokers right now would be 3.29% for a 5 year fixed.
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
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Feb 2, 2014
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sudivand wrote:
Feb 3rd, 2019 8:41 pm
Hi All,

Looking for some advice as I am first-time home buyer, Please help!!
Mortgage: 649,000$
Which city is the property located in? Vaughan, ON
Is the property owner-occupied or a rental? Owner-Occupied
Is the mortgage CMHC insured? yes
Closing date property? Feb 27th 2019
Current Income including spouse: 160,000 $

As of now National bank is giving me 3.34 fixed rate for 5 yrs which is approved, but got to know hsbc with cmhc insured is giving @3.24% is it best to stick on to NB or try HSBC given the short duration?
Also will it affect the already approved loan?
3.29% 5-year fixed or 2.75% 5-year variable.

I would very much consider variable. Lower rate, better penalty calculation and it’s convertible to fixed!
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative
President's Club Award Winner At The Mortgage Architects
PLATINUM CLUB Award Winner At Century 21 Innovative
Newbie
Jun 15, 2013
2 posts
Toronto
Can my partner and I get an approval for a new purchase from one of the brokers here?
I have been at my current job for almost 3 months and probation is 6 months. My previous employment was in the same industry for last 5 years, same role (public sector). My partner has been at his job for 4.5 years.
My income: 81K. Partner income: 65K.

-Purchase price: $640,000
-How much is the down payment? 25% ($160,000)
-Where it the property located? ON
-When is the closing date? March
-Will the property be owner-occupied or a rental? Owner occupied
Newbie
Aug 30, 2016
2 posts
Montreal
Hello,

Long time reader of RFD, first time posting in the mortgage thread. Renewal coming up May 2019. Looking to refinance current property to fund a purchase on a new home (offer accepted). Please feel free to PM me with rates as well.

REFINANCE:
- How much is the mortgage owing? 310k
- Roughly, what is the current market value of the property? 480k
- Which city is the property located in? Brossard, QC
- Is the property owner-occupied or a rental? Owner occupied, but will convert to rental
- Who is your current lender? Desjardins
- Do you have a HELOC tied to the mortgage? yes (unused)
- Is the mortgage CMHC insured? Yes
- When did you buy the property? May 2014
- When is your renewal date? May 2019

PURCHASE:
- What is the target purchase price? 470k (offer accepted)
- How much is the down payment ready? With refinance, 20%
- Where will the target property be located? Montreal, QC
- Will the property be owner-occupied or a rental? Owner occupied
- Family gross income: 175k

Thank you
Deal Addict
Nov 26, 2011
1951 posts
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Ottawa
Thank you Phill Cragg for the response. How can I go about getting a pre-approval from you? Are the rates going to be presented to me during pre-approval or later? Also had another question for the forum if anyone can chip in. Say I am getting a new build. Is there any Ontario Land Transfer tax on a new build or is it just the HST which is already included in the new build price.

Thanks
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Jan 31, 2018
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masoud100 wrote:
Feb 4th, 2019 2:15 am
Thank you Phill Cragg for the response. How can I go about getting a pre-approval from you? Are the rates going to be presented to me during pre-approval or later? Also had another question for the forum if anyone can chip in. Say I am getting a new build. Is there any Ontario Land Transfer tax on a new build or is it just the HST which is already included in the new build price.

Thanks
Sent you information
Phil Cragg
Mortgage Broker
Mortgage Outlet Inc Broker License #12628
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three2one wrote:
Feb 3rd, 2019 11:23 pm
Can my partner and I get an approval for a new purchase from one of the brokers here?
I have been at my current job for almost 3 months and probation is 6 months. My previous employment was in the same industry for last 5 years, same role (public sector). My partner has been at his job for 4.5 years.
My income: 81K. Partner income: 65K.

-Purchase price: $640,000
-How much is the down payment? 25% ($160,000)
-Where it the property located? ON
-When is the closing date? March
-Will the property be owner-occupied or a rental? Owner occupied
Yes, since you have a solid history of working in the same industry, then this shouldn't be an issue at all. Options will be a bit more limited, as most lenders will require you to be past your probation period by time of closing. There should still be some great rates available however! I'll shoot you a PM with a bit more info.
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
Deal Addict
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Jan 31, 2018
1440 posts
223 upvotes
three2one wrote:
Feb 3rd, 2019 11:23 pm
Can my partner and I get an approval for a new purchase from one of the brokers here?
I have been at my current job for almost 3 months and probation is 6 months. My previous employment was in the same industry for last 5 years, same role (public sector). My partner has been at his job for 4.5 years.
My income: 81K. Partner income: 65K.

-Purchase price: $640,000
-How much is the down payment? 25% ($160,000)
-Where it the property located? ON
-When is the closing date? March
-Will the property be owner-occupied or a rental? Owner occupied
You will be fine reach out to any of the brokers myself, Paul , Kevin, Connor or Andre and you will be in great hands

Phil
Phil Cragg
Mortgage Broker
Mortgage Outlet Inc Broker License #12628
Deal Addict
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Jan 31, 2018
1440 posts
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moikmoik wrote:
Feb 3rd, 2019 11:38 pm
Hello,

Long time reader of RFD, first time posting in the mortgage thread. Renewal coming up May 2019. Looking to refinance current property to fund a purchase on a new home (offer accepted). Please feel free to PM me with rates as well.

REFINANCE:
- How much is the mortgage owing? 310k
- Roughly, what is the current market value of the property? 480k
- Which city is the property located in? Brossard, QC
- Is the property owner-occupied or a rental? Owner occupied, but will convert to rental
- Who is your current lender? Desjardins
- Do you have a HELOC tied to the mortgage? yes (unused)
- Is the mortgage CMHC insured? Yes
- When did you buy the property? May 2014
- When is your renewal date? May 2019

PURCHASE:
- What is the target purchase price? 470k (offer accepted)
- How much is the down payment ready? With refinance, 20%
- Where will the target property be located? Montreal, QC
- Will the property be owner-occupied or a rental? Owner occupied
- Family gross income: 175k

Thank you
Sent as requested
Phil Cragg
Mortgage Broker
Mortgage Outlet Inc Broker License #12628
Newbie
Dec 8, 2013
27 posts
10 upvotes
Hello,

Looking to get pre-approved for a refinance of our sole property that we want to convert into a rental and use part of the equity for a new home. We are starting to shop for a home and would like to have our finances and pre-approval sorted out first.

REFINANCE:
- How much is the mortgage owing? 140k @ 2.09%
- Roughly, what is the current market value of the property? 380k
- Which city is the property located in? Kanata, ON
- Is the property owner-occupied or a rental? Owner occupied, but will convert to rental
- Who is your current lender? Industrial Alliance
- Do you have a HELOC tied to the mortgage? No
- Is the mortgage CMHC insured? No (Purchased with 25% downpayment)
- When did you buy the property? January 2014
- When is your renewal date? January 2020

PURCHASE:
- What is the target purchase price? 600k-700k
- How much is the down payment ready? With refinance, 20% for both properties
- Where will the target property be located? Kanata, ON
- Will the property be owner-occupied or a rental? Owner occupied
- Family gross income: one 100k+ stable income since 2012 & one self-employed income fluctuating between 0-100k+ in medical field since 2012

Thank you
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Jan 31, 2018
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agilowen wrote:
Feb 4th, 2019 10:07 am
Hello,

Looking to get pre-approved for a refinance of our sole property that we want to convert into a rental and use part of the equity for a new home. We are starting to shop for a home and would like to have our finances and pre-approval sorted out first.

REFINANCE:
- How much is the mortgage owing? 140k @ 2.09%
- Roughly, what is the current market value of the property? 380k
- Which city is the property located in? Kanata, ON
- Is the property owner-occupied or a rental? Owner occupied, but will convert to rental
- Who is your current lender? Industrial Alliance
- Do you have a HELOC tied to the mortgage? No
- Is the mortgage CMHC insured? No (Purchased with 25% downpayment)
- When did you buy the property? January 2014
- When is your renewal date? January 2020

PURCHASE:
- What is the target purchase price? 600k-700k
- How much is the down payment ready? With refinance, 20% for both properties
- Where will the target property be located? Kanata, ON
- Will the property be owner-occupied or a rental? Owner occupied
- Family gross income: one 100k+ stable income since 2012 & one self-employed income fluctuating between 0-100k+ in medical field since 2012

Thank you
You should reach out to any of the brokers on the forum to do a full analysis of your situation

For the refinance :

Unfortunately refinance rates are higher

variable 5 yr 3.20%

Fixed 5 yr 3.54%

For the purchase

5 yr variable 3.20%

5 yr fixed 3.44%

Phil
Last edited by rateconnect on Feb 4th, 2019 2:35 pm, edited 1 time in total.
Phil Cragg
Mortgage Broker
Mortgage Outlet Inc Broker License #12628
Deal Addict
Nov 26, 2011
1951 posts
185 upvotes
Ottawa
rateconnect wrote:
Feb 4th, 2019 9:00 am
Sent you information
I still have not seen the information you sent. I also just found out your located in Ottawa as well so I can come in person if need be as well.

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