thinking of buying.

Sometimes the best time to make the big leap is during times of a little bit of turmole in the market. An example is the oil market being turned upside down over the last year and hopefully that industry wll recover soon. Although there are folks expierancing difficult times right now, not all are in that situation. If your employment out look is strong and your income is stable now may be a good time to make a move up in housing or for the first time homeowner.

The first steps in the process is to give a call to your local friendly banker or mortgage broker and have a discussion about getting preapproved. I like to recommend getting answers to  two questions from the financial experts. The first question, the absolute maximum that they would give you for a mortgage, the second question and more importantly how much mortgage can you get based on your monthly comfort level.

Quite likley these 2 mortgage values will be different, but it will give you a range of house prices to look at.  Knowing your payment comfort level we can target those homes that are in that price range. However, knowing the high end that the bank will give you, gives you the option of stepping it up a bit if we find that absolute just gotta have home, but it happns to be above your comfort zone. Knowing the comfort level and your upper limit give you options.

Interest rates just edged up a bit yesterday, it seems the best rates are hovering around 2.54 for a 5 yr locked and 2.24 for the 2 and 3 year locked, but there are lots more options to look at, variable, open, prime plus /minus. These are all discussion points to have with your mortgage consultant. Most financial instututions and brokers can offer you a 90 or 120 day protection against any increases.  If at the end of that time you have not closed on a property yet, no problem, you just get another 90 or 120 day protection at any new current rate that they have to offer.

Happy house hunting

Cheers for now.

 

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