Derek Sherbinin - Blog

Just returned from the Century 21 Canada conference in Edmonton

derek.sherbinin@century21.ca — Tue, 27 Sep 2011 00:00:00 GMT

Well, I just returned from the Century 21 Canada conference which was held in Edmonton, AB. It was FANTASTIC!!! Century 21 is truly an amazing company! Not only are we a part of the most recognized real estate brand IN THE WORLD, we are also connected to the most real estate offices and sales associates in the world.

Century 21 Canada has announced a number of new and very exciting things that will be available shortly to both their sales associates and their clients. Stay tuned for some very exciting things to be released by Century 21 in the very near future!!

Century 21 Agents - Smarter. Bolder. Faster.

Century 21 Mountainview Realty - KASLO office NOW OPEN!!!!

derek.sherbinin@century21.ca — Thu, 09 Jun 2011 00:00:00 GMT

Century 21 Mountainview Realty has now opened an office in downtown Kaslo!!! Located at 213 - 5th Street, right beside the Rosewood cafe. Kul Nijjar is our dedicated Realtor working in our Kaslo office so please feel free to stop by and say Hi or call us at 250-505-4722. Century 21 Mountainview.... with offices in Castlegar, Nelson, Nakusp and Kaslo for TOTAL West Kootenay exposure!! Let our team of professional Realtors help you find your new home or assist you with the sale of your current home. Visit us online at www.century21mountainview.com!!

Realtors at Century 21 Mountainview Realty to assist with BC Seniors Games

derek.sherbinin@century21.ca — Thu, 09 Jun 2011 00:00:00 GMT

The Realtors at Century 21 Mountainview Realty have jumped on board to assist with the hosting of the BC Seniors Games coming to Castlegar, Nelson and Trail from August 16 - 20, 2011. The BC Seniors Games is an annual, multi-sport event hosted by a different BC Community each year. They are one of the largest Games organized within BC with approximately 3,500 participants, aged 55 plus from all over the Province. For more information, call our office today toll free at 1-877-930-4600 or visit us online at www.century21mountainview.com.

Mortgage fears are exaggerated says Canadian Association of Accredited Mortgage Professionals

derek.sherbinin@century21.ca — Thu, 20 Jan 2011 00:00:00 GMT

A new study released by CAAMP concludes that very few Canadians face unaffordable increases in mortgage costs and Canadian lending criteria are already tight.

The report entitled, “Revisiting the Canadian Mortgage Market – The Risk is Minimal” states that “lenders and borrowers have been highly prudent in the mortgage market … and a vast majority of borrowers have left themselves considerable room to absorb increases in interest rates.”

The study said 79 per cent of mortgages are fixed rate and mostly for terms of five years or longer, leaving 21 per cent of borrowers with variable rates and more exposure to changes in interest rates. The study was based on about 59,000 mortgage loans (excluding renewals or refinances of existing mortgages) totaling just under $16 billion, which were funded during 2010, which represents about one-quarter of the total mortgage activity.

The study reported that the average gross debt service (GDS) ratio was 19.6 per cent, well below typical lender standards of 32 or 35 per cent used to qualify borrowers. The average total debt service (TDS) was 28.9 per cent, still well below the 45 per cent lender standard.

For fixed rate mortgages the GDS was 22. 5 per cent and the TDS was 32.5 per cent.

According to the report a 2.5 per cent rise in interest rates for variable mortgages would see the average GDS would increase to 24.6 per cent and the average TDS would increase to 33.7 per cent. CAAMP’s research indicates that of the mortgages funded in 2010, only 800 to 950 would exceed the 45 per cent TDS ratio.

For fixed rate mortgages, a one per cent increase in interest rates would increase the average GDS to 22.5 per cent and the average TDS to 32.5 per cent and less than one per cent (1,000 to 1,350) would have TDS ratios of more than 45 per cent.

The Association also found that among the high ratio loans approved in 2010 – with the reduced amortization period (30 years versus the prior 35 year limit), a small minority (about 2 per cent) would have TDS ratios above 45 per cent and those loans would probably not qualify. Some of those consumers would still be able to buy, by buying lower priced homes.

The report cited job loss or reduced income as the main reason for mortgage defaults, saying that “Unaffordable premium increases are a negligible risk factor at present and in the near-to-medium term future.”

A third cause is unaffordable increases in mortgage payments, something that caused difficulty in the U.S. as low introductory rates were replaced by market rates and payments that rose substantially. Stated the report “But this third category of risk is the source of recent concerns about future threats. This study concludes that very few Canadians face unaffordable increases in mortgage costs.”

The above information was shared by www.mortgagebrokernew.ca