Real Estate Buying Tips

Before You Buy Real Estate Here are Six Tips To Know.

Mortgage Regulations Have Changed . . .

Mortgage regulations have changed and are always subject to change. Over the past few years legislation has resulted in having wider options, wider than ever before. An integral part of the Donia Difference that you get when you select Mike as your Real Estate Agent is that he works with Ron Gallo: a Mortgage Specialist with the Royal Bank of Canada. Both Ron and Mike can help you find the subtle changes in the way you approach mortgage shopping and even the small differences in the way you structure your mortgage which can literally cost or save you thousands of dollars and years of expense.

With Mike Donia As Your Real Estate Agent You Get the Right Information

Buying a first home? Maybe you are making your move to buy your next home? Either way it is important to be in the know in terms of Real Estate matters. With Mike as your agent he will steer you clear of the pitfalls that industry research reveals is common to many home buyers make when mortgage shopping. As mentioned above having the best Mortgage Specialist (as well as the Donia Difference) can have a significant impact on the outcome of this critical negotiation. When handled correctly, these issues could result in a mortgage that will cost you less over a shorter period of time.

To Do List Know Before Obtaining a Mortgage

Even in advance of committing to monthly mortgage payments be certain to understand and apply these six knowledgeable facts about Real Estate. Effective consideration of these important areas can make your payments work much harder for you.

GET A PER-APPROVED MORTGAGE Before You Before You Go Searching For the Dream Home To Buy

Pre-approval is easy, and can give you complete peace-of-mind when shopping for your home. Mortgage Specialist Ron Gallo with the Royal Bank can provide you with written pre-approval at no cost and no obligation, and it can be done quite easily over-the-phone. More than just a verbal approval from your lending institution, a written pre-approval is as good as money in the bank. It entails a completed credit application and a certificate, which guarantees you a mortgage to the specified level when you find the home you’re looking for.

What Will Be The Monthly Dollar Amount You Will You Commit To? What Is Your Comfort Level?

With Mike as your agent he will be asking you questions such as this, and so will Ron. When you discuss your mortgage pre-approval with Ron you will want to know what level you qualify for and also pre-assess for yourself what monthly dollar amount you feel comfortable committing to. Your situation may give you a pre-approval amount that is higher (or lower) than the amount of money you would want to pay out each month. By working back and forth with Ron and the Royal Bank of Canada we will be able to determine what this monthly amount is, and what value of home this translates into at today’s rates. Once you have the Pre-Approved Mortgage Mike won’t waste time looking at homes that are not in your price range.

Time To Think About Long Term Goals And Expected Situation To Determine The Best Type Of Mortgage.

Before you commit to a certain type of mortgage you should be asking yourself; * How long do you think you will own this home? * What direction are interest rates going in and how quickly? * Is your income expected to change (up or down) in the near term, impacting how much money you can afford to pay to your mortgage? It’s questions such as these that both Mike and Ron  will ask of you. As your Real Estate Agent and your Mortgage Specialist we will help you determine the most appropriate mortgage you should be seeking.

Note The Prepayment Privileges + The Payment Frequency Options

Ron can show you how by increasing the frequent payments (for example weekly or biweekly) can literally shave years off a mortgage. By simply structuring your payments so that they come out more frequently, it will significantly lessen the amount of interest that you will be charged over the term. Similar reasoning that the authorized pre-payment of a certain percentage of your mortgage, or an increase in the amount you pay monthly, will have a major impact on the number of years you will have to pay and could shorten your payment term considerably. These two payment options can cut years off your mortgage, and save you thousands of dollars in interest. However, not every mortgage has these pre-payment privileges built in, so make sure you ask the proper questions.

Mortgages Are Available That Are Both Portable And / Or Assumable

A portable mortgage, where available, allows one to carry over a mortgage when you buy the next home. Doing this enables one to avoid paying any discharge penalties. It means that you will not have to go through the entire mortgage process again unless you are making a move up to a much more expensive home.

An assumable mortgage is one that the buyer for your home can take over when you move to your next home. This can be a very powerful tool at the negotiating table, making it much easier and more desirable for a buyer to buy your home, and again as with the portable mortgage above lets you save on any discharge penalties.

You should seriously consider dealing with Our Mortgage Expert: Ron Gallo with the Royal Bank of Canada.

Enlisting Ron’s services can make a significant difference in the cost and effectiveness of the mortgage you obtain. When you shop for a mortgage with Ron and the Royal Bank they will work to make the process faster thereby avoiding costly delays. Typically there is no cost or obligation to inquire.

Mike Donia is the professional real estate agent that professionals recommend.

Contact Mike: Email: mdonia@trebnet.com

Tel: 905.456.3232 or 416 233- 9000

 

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