HQ Mortgages Inc.
902-B Newgate ave P3A5J9 Greater Sudbury, ON, Canada

Where Are Mortgage Rates Going? With so much unknown in our economy and real estate markets, there is one sure thing - interest rates are on the move upwards. BUT, this is only fixed rates. Variable rates remain at all-time lows. Fixed rates have increased by approximately 30bps (.30%) over the last couple of weeks.... Why is it that only fixed rates are increasing? Fixed rates are based on the bond yield market. As bond yields increase, eventually, so do the fixed rates. There has been pressure building in the bond yield market for a while now and it was only a matter of time. Whereas, variable rates are dictated by the Bank of Canada (BOC) and based on many things including the health of our economy and consumer debt load coupled with what upside/downside there would be if they change the prime lending rate Currently, the BOC prime lending rate is 2.45%. If you have a variable rate mortgage, you either have a discount or premium added to this rate. Ie. Prime (2.45%) - 1% (discount rate) = 1.45%. If you have a premium added to that prime rate then we really need to talk because there is an opportunity to save some money. As the BOC moves the prime lending rate of 2.45%, your discount stays locked in for the term (typically 5 years). So if the prime lending rate moves to 2.70% and your variable discount is 1%, your new interest rate is 1.70%. If you want to secure a fixed rate before they increase even more, please reach out to lock in a rate hold. If you want to see if we can save you money on your current variable rate mortgage, please let me know and I’ll run some numbers. Either way, we as Canadians are in a great spot from a mortgage rate perspective. Money is still cheap and it will be for the foreseeable future. Please let me know if we can help in any way.

Our very own Rico Johnston has made us very proud here at HQ Mortgages. With his hard work, dedication and amazing clients, Rico has won 2020's: Top 10 Agent Nationally in Units Top 20 Agent Nationally in Volume Top 10 Agent Provincially in Units and... Top 10 Agent Provincially in Volume Congratulations Rico, it's well deserved.

We would like to thank everyone for an amazing year despite all the craziness our world has been going through. Being apart of your mortgage team means a lot to us and we can't wait to see what 2021 will bring us. Please note that our office will be closed from December 21st and re-opening January 4th 2021.... If you have a mortgage closing with us, don't worry! We will be keeping track of everything and staying on top of it. Thank you again and we will see you all in 2021!

Another act of kindness, Ryan and Rico this is just so amazing.

While home inspection and home appraisal may seem similar, they are used for different purposes, and one can’t replace the other. Here are some quick points on the main purpose of each.

Only 1 month left until 2021! What a roller coaster of a ride 2020 has been. What are some of the great things that happened for you this year?

One of our Canadian mortgage insurers will be going by a new name! Sagen (pronounced say-jin)

Congratulations to this weeks Free Lunch Friday winner Donna from HQ Mortgages Inc.! Donna and her team get to enjoy delicious hamburgers and fries from Ricky-Lee's Da Bomb Diner If you would like to win this amazing lunch for your team, visit out website at kisssudbury.com to enter

As the year comes closer to an end, there are 4 mortgage predictions for 2021 1. Fixed and Variable rates will remain at all-time lows. -The bank of Canada and top economists have both stated they expect to see these low rates for some time to come. ... 2. Getting a mortgage for Self-employed individuals will become more of a challenge. -When qualifying for a mortgage we have to use a two-year average. If your business has been hurt by COVID and your numbers for 2020 are a lot less than they should be. It might be a good idea to start looking now before 2020's income comes into play. 3. Past mortgage deferrals will be scrutinized. -If you deferred any mortgage or payments on credit cards, loans, etc, that will open up a conversation from a bank/lender if you're looking for a new mortgage. They will want to know why you went into deferral and the story has to make sense to them. Right now, you can’t get a mortgage if you're still in deferral). Be prepared to answer these questions because they will be asked. 4. Mortgage funds will be harder to attain for everyone. -We are already seeing more questions about assets, credit reports, income, etc, and I predict this won’t change for 2021. Banks/lenders will be more cautious and will go through a deeper analysis of each file. Having said that, they are still open for business. But regardless of how solid your financial situation is, be prepared for more questions and requested paperwork than usual. There is a ton of uncertainty out there and everyone is learning and adapting on the fly. The mortgage world can be confusing which is all the more reason to have a mortgage expert help guide you through these crazy times. Call or send an email and we will be happy to discuss your options with you.

As you might have heard, interest rates in Canada are at an all-time low due to the uncertainty of COVID. So what does this mean for you? Great news, if you are currently in a variable rate, this means your rates are predicated on prime which is currently set at 2.45%. You either have a variable rate of prime (2.45%) minus or plus a spread.... If you have any unsecured or secured lines of credit, student loans, certain car loans, etc, you will be seeing low-interest rates for the foreseeable future. If you are currently at a fixed rate, this means you’re locked in for the remainder of your term at your current rate. There might be an opportunity to break your current fixed-rate mortgage and take advantage of the low variable or fixed rates BUT it would have to make sense. We will have to factor in a penalty and closing costs to see what the savings actually are. These low rates are good for everyone, it’s just a question if you can take advantage of them now or in the near future. If you’d like to see what your options are, please reach out and I’ll see what we can do.

Costs Associated with buying a home. Closing costs are just as important as your down payment, here are 6 things you may not have thought about when planning to buy your next home. 1 Home Inspection or Appraisal... A home inspection is always recommended, this makes sure you won't be surprised by any unexpected issues with the home. An Apprisal is not always necessary but may come into play if you bought the house for WAY over asking, it's a private sale etc. 2 Lawyer or Notary Fees To handle all the legal paperwork, you will be required to hire a real estate lawyer. Chances are, this will be one of your most significant expenses. 3 Taxes You may need to pay land transfer taxes or, if the seller has pre-paid for the year, you'll need to reimburse them for the rest of the year, depending on when you move in. 4 Insurance Before any financial institution lends you money, they will want to see that you already have property/home insurance in place for the purchase. 5 Moving Expenses Congratulations, you have a home, now you have to get all your stuff there! Don’t underestimate the cost of moving your stuff. 6 Utilities Hooking up new services to a property is more time consuming than costly. However, if you don’t have a history of paying utilities, you might be required to come up with a deposit for services. So there you have it, this most of the costs associated with buying a new property. However, this list is by no means exhaustive, so if you have any questions about your closing costs, or anything else mortgage-related, contact me anytime, I’d love to hear from you!