Amortization is the reduction of a home mortgage by making payments to both the principal (what you originally borrowed) and the interest in differing ratios over the period of the loan. Your amortization schedule will break down how much of your monthly payment is applied to the principal balance and how much is allocated to…
Canadians are continuing to accumulate household debt at a record pace. Economists are warning that an interest rate shock could place many Canadians in financial peril. It may be a good time to review your household debt situation and consider making changes to protect yourself and your family from interest rate stress.
Improving your credit to qualify for a mortgage. Your credit rating is not the only factor lenders consider. They also look at your net worth and your current income, for example. They will also consider the value of the property and the current state of the market for real estate, as well as the current bank rate or prime lending rate. So don’t look for a precise correlation between your credit rating and the interest rate you will be offered.
Sometimes we get in over our heads financially, and before you know it debt has piled up higher than we can handle it. This might be due to a period of unemployment or illness, or simply from not having managed money carefully enough. There are several strategies to bring debt under control. One of these is “debt consolidation”.
There is a big difference between getting a brand new mortgage for the first time and getting a mortgage to replace one you already have. Here are some tips to get the mortgage you need at the best possible rate.
Neither fixed rate mortgages nor variable rate mortgages are “better”. Each one has advantages and disadvantages. The one that is better for you depends on your current situation, your plans and your comfort level with managing money.