Arrange your Mortgage – Get Pre Approved

December 28, 2007 · Filed Under First Time Buyers and Mortgages · 2 Comments 

Buying your first home? Second? Looking for an investment property in the St. John’s Real Estate market? The first step in buying real estate is obtaining a pre-approved mortgage.

The St. John’s real estate market is booming! Having your pre-approval in place will certainly work in YOUR favor.

A pre-approved mortgage is a mortgage for a set maximum amount and interest rate that is arranged by a lender (ie bank) prior to the purchaser finding a house.

With a pre-approved mortgage you will:

  • Know how much you can afford and what your payments will be
  • Lock in your interest rate at today’s rate (or lower if rates drop), usually guaranteed for 90 – 120 days
  • Demonstrate that you are a serious buyer, which can help in your negotiations with sellers and their agents

The key to choosing a mortgage is to know your options. The more you know, the more likely you’ll save money now and in the future. There are numerous types of mortgage options available, fixed rate, open rate, variable rate – they can even blend 2 different types to sort your needs.Payments can be set up on a monthly, bi-monthly, bi-weekly and even weekly basis. As well, you get to choose the date of the month to make the payment. By changing from monthly to a bi-weekly payments, a typical 25 year mortgage can be reduced to 21 years. Thats a LOT of interest saved.

A great way to save on interest costs and reduce the life of your mortgage is by making annual principal payments. $2000 extra a year on a 25 year mortgage will reduced the amortization period to 15 years.

There are lots of mortgage calculators on the internet. Play around with them. Try different scenarios.

Jeff Burton with RBC is a great resource when it comes to mortgages. Speak with your mortgage specialist today and determine the right options for you.

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Tips for First Time Buyers

November 13, 2007 · Filed Under First Time Buyers, Mortgages and Real Estate Articles · Comment 

Throughout my real estate career thus far, I have dealt with numerous first time buyers. One misconception I had was that first time buyers are young. They actually range from very young, to more seasoned individuals. Regardless of the age group, one thing remained constant – they have a lot of questions that need to be answered.

Mortgage information? Pre-approvals? Home Inspections? Where do we start looking? Downpayments? Closing costs? Writing an offer? Are we making a right decision?

These are just a few of the questions you’re bound to have at the beginning of your exciting journey to buying your very first home!
Although buying your first home can be overwhelming, your Realtor will be available to help you every step of the way. I know that I have made all my clients first time buying experience simple and straightforward and most of all fun, eliminating any confusion and doubt and allowing them the opportunity to enjoy their first home, worry-free.

There are a lot of great sites on the web to provide you with unlimited reading and insight. I do highly recommend going the extra step and calling a Realtor, Mortgage Specialist or Home Inspector, they will be highly worth the phone call. Remember, you can do this with no obligation.

Here are a list of sites I recommend reading as a first time buyer

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