Kara Pfeifer
206 - 4303 Albert Street S4S 3R6 Regina, SK, Canada

Detached home listings are at an all-time low in Regina, shifting us into a seller’s market. One of the best things you can do to gain an edge as a buyer is to get yourself pre-approved before you start your home search. Your realtor will be able to narrow down your search to fit your specific budget, and I will have your file up to date and ready to get you a quick lender approval. If purchasing a home is part of your 2021 financial plan, give me a shout and I’ll help you get in the best position to buy!

We made it! Through a year full of uncertainty, opportunity, anxiety, discovery, isolation, and growth. However 2020 was for you, I wish you all the best in 2021! ... #NYE #HappyNewYear #Upward #Onward #NewPossibilities

Reflecting on this wild ride of a year, I can’t help but feel overwhelmed with gratitude. I feel so blessed to have my little network of friends and family. In January, I made the terrifying leap from a stable job of 8 years with great pay, benefits, and pension to pursue my passion for real estate and financial education. My friends and family members were there every step of the way as I made this big transition. Being surrounded by people who encourage you to branch off ...and go for it is something I treasure. I am beyond grateful for my mentors: two top-producing mortgage brokers who took me under their wise wings. While I have worked with many great people in my adult life, I have never really had this level of guidance, support, tough love, and encouragement from professionals in my field. These two people have truly changed my life, and I can’t wait to continue making them proud throughout my career as a mortgage broker. I also had the opportunity to work alongside some incredible realtors and lawyers. It has been amazing to watch how those in the real estate industry have adapted to continue providing excellent service to our clients through two-ish lockdowns and continually changing guidelines to follow. My four-legged office assistant, Luna, of course must be mentioned. A proud 12-time Employee of The Month winner, she has a way of always knowing when I need to get up and away from the desk for a game of tug of war. The biggest thank you goes out to every person who trusted me with their home financing needs this year. Playing a small roll in some of the biggest moments in these people’s lives is something I will always feel so blessed to be able to do. Thank you to anyone who reached out to me for advice or strategic future planning. Thank you to everyone who has read, liked, or shared my content. I’m not sure if you can tell, but I could discuss mortgages, real estate, and finances FOREVER. Thank you for allowing me to pursue this passion day after day. No matter what 2021 has in store, I am so ready to further grow, learn, and improve in every way. Until then, I wish you a happy holiday season, however it may look for you.

Check out my latest article in the October issue of Neighbours of Emerald Park & White City. In this article, I explain how a Purchase + Improvements mortgage works, and why it’s a great option for many home buyers. Imagine finding a great house in your ideal location. During the showing, you can’t help but notice the dated shag carpet, gawdy floral wallpaper, inefficient old windows, and the shingles that have weathered just a few too many wild Saskatchewan win...Continue reading

Earlier this year, the Canada Mortgage and Housing Corporation made a now-infamous prediction that home prices would fall by up to 18% over the course of 2020 and into 2021. Instead, prices have since risen by approximately 22% to $603,000, as of November. That discrepancy illustrates how difficult forecasting the housing market has become due to the economic uncertainty created by the pandemic....Continue reading

Kara Pfeifer - Mortgage Broker - Buying a home is a big investment. With so much at stake, it’s important learn what you can about the home buying process as ...well as understanding the "language of mortgage lending. A recent survey conducted by the Financial Consumer Agency of Canada, and the Bank of Canada in 2019 suggested that homeowners don’t have a good understanding of the terminology used in mortgage lending. A large percentage -- 74% of homeowners or soon-to-be homebuyers -- did not fully understand what a mortgage term or amortization period were. So, to help you better understand what you’re getting into, here is a partial list of terms to increase your mortgage knowledge. Adjustable Rate Mortgage (ARM): A type of mortgage in which the interest rate applied on the outstanding balance varies throughout the life of the loan. The interest rate resets based on the lender’s Prime rate plus or minus a variance. With most ARM mortgages, different from VRM mortgages (variable rate mortgages) the mortgage payment adjusts automatically with each change in interest rate. Adjustment Date: A date used by the borrower and lender to move payment dates to a schedule that suits the borrower. Between the funding date and the adjustment date, the borrower typically pays interest only vs. principal and interest. Amortization Period: The number of years over which you have to repay a loan. The most common period is 25 years for a first-time homebuyer. Benchmark Rate: A qualifying rate set by the Bank of Canada and can be adjusted at any time. All insured and insurable mortgages must meet the standard affordability tests (Gross Debt Service and Total Debt Service) "as if the interest rate is the Benchmark Rate. Also referred to as a "stress test. Designed to ensure that borrowers and the housing market can sustain higher interest rates. Bridge Financing: (Also referred to as Interim Financing) A loan against a property being sold allowing the owner to use their equity to purchase a new property and take possession of the new property before the Closing Date of the sale. There must be a firm sale of the property being sold. Closed Mortgage: A mortgage whose term cannot be altered until maturity, unless the lender agrees and the borrower agrees to pay a fee called a pre-payment penalty. Collateral Charges: Unlike a standard mortgage, a collateral charge is often re-advanceable, meaning the lender can lend you more money after closing without you needing to refinance and pay a lawyer. A collateral charge may not be transferable -- it cannot be assigned (switched) to a new lender like a regular mortgage. Deposit: Money placed under the care of a third party (real estate representative, lawyer or notary) by the purchaser when he makes an Offer to Purchase. The money is paid to the vendor upon closing the sale or returned if the conditions are not satisfied. This is typically held in trust. Downpayment: The part of the home purchase money that is not paid out of the mortgage loan. Equity: The total value of the owner’s interest in a property, calculated as the value of the home less the total outstanding obligations. Fixed Rate Mortgage: A mortgage for which the rate of interest is fixed for a specific period of time (See term). Gross Debt Service Ratio (GDS): The percentage of the borrower’s gross monthly income that is used for monthly housing payments (principal, interest, taxes, heating costs, and half of any condominium fees). HELOC: A home equity line of credit (pronounced hee-lock) is a loan in which the lender agrees to lend a maximum amount within an agreed period (called a term), where the collateral is the borrower's equity in his/her house. These are often re-advanceable. Insurable Mortgage: This type of mortgage can now be considered the new "insured mortgage. These are still eligible for default insurance but may be portfolio-insured at the lender’s expense or high-ratio insured at the client’s expense. Insured Mortgage: A mortgage transaction where the default insurance premium is paid by the client, as is typical in a high-ratio mortgage. Interest Rate Differential (IRD): A compensation charge that may apply if you pay off your mortgage prior to the maturity date, or pay the mortgage principal down beyond the amount of your prepayment privileges, usually in a fixed-rate mortgage. Loan-to-Value: The amount of the mortgage loan compared to the value of the property. Monoline Lender: Monoline lenders focus on just mortgages as opposed to banks and credit unions which offer a variety of services. Mortgage Default Insurance: If you have a high-ratio mortgage (more than 80% of the lending value of the property) your lender will probably require that you purchase mortgage loan insurance, which is available from CMHC, Genworth Canada or Canada Guaranty. Mortgage Life Insurance: Provides coverage for your family should you die before your mortgage is paid off. This insurance can be purchased through your mortgage professional. Open Mortgage: Allows the borrower to pay any amount of the principal, including the entire balance, off at any time without penalty. You may pay a higher interest rate for the flexibility of an Open Mortgage, but perhaps warranted if a sale is anticipated or in the case of buying property to fix up and sell. Portable Mortgage: A mortgage with an option that allows a buyer to transfer a current mortgage to a new property. (Subject to full borrower and property approval) Qualifying Rates: The rate used to qualify a borrower for a mortgage. Lenders use these rates to calculate your debt-service ratio, which is the ratio between your debt and income. This serves as a gauge of your ultimate ability to repay the obligation over the life of the mortgage. Stress test and Stress Test Rate: Similar to Benchmark Rate and used for uninsurable mortgages. The Stress Test rate is the higher of the contract rate plus a government defined increment, currently at 200 basis points, or the current Benchmark Rate. All uninsurable mortgages must meet the standard affordability tests (Gross Debt Service and Total Debt Service) "as if the interest rate is the Stress Test rate. Designed to ensure that borrowers and the housing market can sustain higher interest rates. Term: The length of time that mortgage conditions, including the interest rate you pay, are in effect. At the end of the term, the borrower (you) can pay off the mortgage or renew for another term. Mortgage terms can range from six months to ten years; the most common is 5 years. Total Debt Service Ratio (TDS): The percentage of the borrower’s gross monthly income that is used for monthly housing payments (principal, interest, taxes, heating costs, and half of any condominium fees) AND any other debt servicing obligations (credit cards, auto loans, student loans, lines of credit, student loans, etc.) Un-insurable mortgage: These mortgages are not eligible for default insurance and apply to refinances, rental properties, stated income clients, and on purchases greater than $1M. Variable Rate Mortgage (VRM): A type of mortgage in which the interest rate applied on the outstanding balance varies throughout the life of the loan. The interest rate resets based on the lender’s Prime rate plus or minus a variance. With most VRM mortgages, different from ARM mortgages (Adjustable Rate Mortgage), the mortgage payment does not adjust automatically change with each change in interest rate. The lender typically reminds you that you may adjust the payment by contacting them. Of course there are more, but these seem to be the ones that homebuyers often ask about. If you need clarification or have question, contact your mortgage professional. #teamauthentic #mortgagemonday #mortgagetips #mortgagelingo #mortgageknowledge #mortgageadvice #homefinancing #saskmortgagebroker #karapfeifermortgages

Financial literacy equips you with the skills necessary to make informed and effective financial decisions. After a year of uncertainty, this is a great time to analyze your personal finances and pinpoint areas you’d like to learn more about. The first step you take to increase your financial literacy does not have to be a big one! Take advantage of free resources such as podcasts and reputable online articles and blog posts. Make a small investment into some classic per...sonal finance books or courses. Working with a financial planner is also a great way to get personalized advice from someone who understands your specific situation. #financialliteracy #financialliteracymonth #personalfinance #financialeducation #financialresources #financialbooks #financialpodcasts #financialplanner #karapfeifermortgages #abettermortgageexperience #tmg #tmgthemortgagegroup #mortgagebroker #mortgagebrokersk #reginamortgagebroker #reginasaskatchewan #reginask

"According to CMI, Canadians as a whole have a good track record in keeping their mortgages up to date, even under trying circumstances."

To those who left and never returned. To those who returned and were never the same. To those still serving today.... Thank you

Don’t panic if you’re not ready to buy a home right now. It’s looking more and more like we will be seeing low interest rates for the next few years. You don’t need to wait until you’re in the perfect position to qualify for a mortgage before reaching out to me. I can work with you to come up with a plan that will help you get into a great position to buy within the next few years. Assessing your current situation is the best place to start. Financial education is one of my... greatest passions; I love discussing strategies for building it rebuilding credit, systematically saving up for or looking into other sources for a down payment, and preparing you for all the costs associated with owning a home. The best time to buy a house is when YOU are in the best position to do so, not when the market is. https://www.canadianmortgagetrends.com//bank-of-canada-si/

Kara Pfeifer - Mortgage Broker -Interest rates are at an all-time low and competition among lenders to offer favourable rates is high. It’s always a good idea... to read the fine print to make sure you’re getting the best mortgage product, at the best rate, for your particular need. Because lenders do differ, it’s important to know what features are important to you before deciding on a lender. Here are six characteristics of mortgages to assist home buyers assess their offers: 1. Blend and Extend. The "increase and blend option has been around for almost 20 years and may be an option in some situations. For example, if your current lender doesn’t allow a change in the maturity date, then you’re locked into the remaining time left on the term. While that’s not the end of the world, in a rising rate environment this can be inconvenient. If you’re moving up, and buying at your maximum loan-to-value, you probably don’t want just a 1 to 2-year term, and with the new benchmark rule, you may not even qualify. If rates have dropped since the original mortgage you could run into the "Interest Rate Differential (IRD), which might be too large and you can’t move. 2. Early Payout Penalty Calculation. Some chartered Banks are known for their extremely large IRD penalties. If you don’t know whether you’ll keep the mortgage for the entire term then make sure you understand the payout penalty. 3. Mortgage Registration. Is the mortgage registered as a non-standard charge, either a running account, or a collateral charge? If so, then it becomes challenging to switch this mortgage out to take advantage of lower rates, although collateral switches are becoming more widely available. Consider this scenario: If the lending institution knows you will have to incur $1,000 or more in possible costs, as well as put in the time and effort to complete a refinance with another lender, then there might be little incentive to offer you best rates at renewal time when a small rate reduction might be enough to keep your business. On the other hand, there are advantages such as making it easier to qualify with fewer expenses down the road if you need to access additional funds. 4. Pre-Payment Privileges. Is the lender offering 10/10, 15/15, or 20/20? That means allowing prepayments of 10%, 15 % or 20% annually on the outstanding balance of the mortgage. Also, can these lump sum payments be made anytime per year or only at the mortgage anniversary? And how easy is it to make lump sum payments? Do you have to go into the branch, call a 1-800 number? Or can you simply go online and do it. These are important factors to consider. 5. Porting Features. This feature can vary from lender to lender. Read the fine print, especially if you know you might need to move before the mortgage maturity date. Some lenders require a sale and purchase to occur on the same day in a port, which can be inconvenient. A more flexible, and available program allows typically up to 60 days gap or 60 days overlap; and then there can be exceptions allowing longer periods beyond that. 6. Online Access. All of the chartered Banks offer online access as do a number of monoline lenders. Generally online access allows you to see your balance, make additional lump sum payments, or make a payment increase. This can be a time-saving feature for tech-savvy consumers. There is more to getting a mortgage than just rate. I can help you navigate the mortgage terms and find the best product for your needs. #teamauthentic #mortgagemonday #mortgagetips #mortgageknowledge #homefinancing #mortgagefeatures #saskmortgagebroker #karapfeifermortgages

The Great Rate Debate: Fixed vs Variable. Variable rate mortgages offer excellent flexibility and low penalties for breaking your mortgage. Towards the latter half of 2019, variable rates were flying off the shelves. At that time, for many qualified borrowers they were going for as low as prime 1%. A lot has changed since then, from cuts to prime rate and scaled-back variable rate discounts, to the Bank of Canada’s launch of the Quantitative Easing program. This eased liqu...idity concerns, and kept bond yields low throughout much of the year. Bond yields dictate fixed rates. This led to a dramatic shift in mortgage selection by borrowers. In a recent BMO survey, a majority of homebuyers (57%) said they would choose a fixed rate when it comes time to renew. 8% said they’d be more likely to choose a variable rate. There are several reasons why fixed rates have grown in popularity in recent months. 1 Fixed rates are now very competitive, if not even lower, than current variable rates in some cases. 2 Having a historically low rate locked in for five full years offers stability that many home buyers are looking for. If you are in the process of shopping for a mortgage and are undecided whether to take a fixed or variable rate, I can help you understand the pros and cons of each. I offer personalized solutions based on your goals and needs. Check out the entire blog post on my website: https://karapfeifer.ca//fixed-or-variable-in-these-unusual