MY TORONTO

Mortgage insurance benefits the lender if a borrower with less than a 20% down payment defaults on their loan.   Most conventional mortgages greater than 80% and all FHA loans require the borrower to have this coverage. Private mortgage insurance on conventional loans can range from 0.5% to 2.25% based on the loan-to-value and the credit worthiness of the borrower.   A $350,000 mortgage would have a monthly mortgage insurance premium of $146 a month at the low-end of the scale and over $600 on the high-end. You may request that your mortgage servicer cancel the PMI when the principal balance reaches 80% of the original value at the time the loan was made.   You should have received a PMI disclosure form when you signed the mortgage documents stating the date.   If you have made additional principal contributions, it will accelerate the date. Other criteria considered to cancel the PMI on your loan is: The request must be in writing. You must be cu...

SHAWN All you need is love. But a little chocolate now and then doesn't hurt. - Charles M. Schulz   SHAWN VENASSE, Sales Representative The Elli Davis Team - Royal LePage Real Estate Services Ltd. (Brokerage) 55 St Clair Ave West Toronto, ON M4V 2Y7 (416) 670-7042 shawn@ellidavis.com ...

This strategy is not about trying to negotiate the best price; it is about beating out the competition and buying the home.   It may be difficult to understand until you have lost a few homes to better offers but when the reality of the situation is that there are not that many homes on the market, the competition heats up and different tactics are necessary.   Sales in December were annualized at 6.76 million, a 22.2% increase year over year according to the National Association of REALTOR®.   The median sales price is $309,800 which is up 12.9% from the previous year.   Inventory for December fell to 1.9 months' supply from 3.0 months' supply in December of 2019.   Six months inventory is considered a balanced market. Things that work in a buyer's market will not work in a seller's market.   The shortage of available homes for sale has led to not only shorter market times but multiple offers that have sales prices above the listing price.   B...

Many homeowners with mortgages pay for both types of insurance but only one of them protects the owner. Homeowner's insurance covers damage to your property and losses from fire, burglary, vandalism, and other named natural disasters.   When an insured has a loss, they file a claim with the insurance carrier which would be subject to the deductible mentioned in the policy. If the homeowner has a mortgage on the property, the lender will require that the borrower carry adequate insurance on the property and name the lender as an additional insured.   This protects the lender that the home will continue to be sufficient collateral for the loan in case of a loss. Mortgage insurance is not like homeowner's insurance in that it is solely for the protection of the lender if the borrower defaults on the loan.   Usually, lenders require mortgage insurance on any loan greater than 80% loan-to-value.   Occasionally, they may require it on some loans less than 80% based o...

  NUZZEL NEWSLETTER - 31 JANUARY 2021

 

Staying at home in 2020 caused of lot of owners to think about how nice it would be to have a larger home to accommodate the additional activities that come along with isolating.  Particularly for people with children at home or possibly, the potential of either adult children or parents coming to live with them. There are other owners who are trying to weigh the pros and cons of selling their larger home and downsizing.  For entirely different reasons, the advantages could be very appealing to an owner.  A smaller home is easier to maintain and usually, has lower utilities, insurance, and property taxes. Some people might be considering the convenience and ease of mobility of a single level home.  It may be finding a location with proximity to the activities they are now interested in.  A newer home might have less maintenance and be more energy efficient. Married taxpayers who have owned and occupied a principal residence for two years can exclude up to ...

It has been a long year, and it is ok if you are tired of staring at those kitchen cabinets you’ve frankly hated for years. 2021 is a year about promise and change, and you can start the process in your very own home. There are lots of ways to give your cabinets a new look, whether you prefer something more classic or super contemporary. There is an option for every budget, and most of the time you will not even need to replace your cabinets or counters, unless you just really want to. Remake Those Cabinets to Create Your Dream Kitchen When it comes to giving your cabinets new life, you have options. Some are simple and do not require a lot of effort; some are quite challenging and may generate a great deal of mess and confusion. They are all valid options, though, depending on just how much time you are willing to put into the project. You will have the most flexibility if you are working with wooden cabinets, whether they have been painted previously. Laminated cabinets (also sometim...

While a second wave of COVID-19 is hurting Canadians now, the economy should rebound strongly later in the year. The Bank is forecasting growth of around 4 percent this year and close to 5 percent in 2022. For a full copy of the report, click HERE ! For more information on or from The Bank of Canada click HERE !

Rental homes whether they be single-family detached properties, condos, two, three or four-unit properties share many of the same benefits.   Most people instinctively understand many of the working parts because they are the same as their home.   They have a basic understanding of value and how to maintain the property.   The service providers for a home would be the same for a rental home. These properties allow an investor to obtain a large loan-to-value mortgage at fixed interest rates for up to thirty years.   They appreciate in value, currently exceeding many other assets; have defined tax advantages and allow an investor more control than many alternative investments. Most lenders require 20-25% down payment and will finance the balance at rates close to owner-occupied homes.   Buyer closing costs will add another three to four percent to the amount of cash needed to close.   It is also prudent to have available funds for repairs and maintenanc...