The Minister of Finance rule changes for insured mortgages takes effect April 19, and there is a big house price gap for qualification if you plan on using a variable rate mortgage instead of a five year fixed rate mortgage.

Take for example you were told the maximum payment for a mortgage you could have to qualify for a mortgage was $2,348 per month.   That will cover you for a $500,000 home purchase with 5 percent down, using a 4.64% five year fixed rate amortized over 35 years.

April 19, the lenders are obligated to use the Bank of Canada website "post

If you are looking to buy a home in the country, there are some additional considerations to your buying decisions and perhaps restrictions on the choice of financing you have available to buy a home in the country.

• Water quality- recent tests should be done for your own sake, but the lender will usually ask for oganic and mineral content of a well.   If you have community treated water, this is not an issue.
• Water quality- a well digger's report and recent flow test should be done for your own sake, but the lender will usually as for the rate of the water

Good realtors do not like to disappoint home buyers or home sellers by working on offers for people who will not be able to get home financing for the price range they are looking.  For that reason, they ask potential buyers to get pre-approved.

But, with a pre-approval, the mortgage broker should also pre-condition a potential home buyer for the kind of home they will be looking for.

For example, let's say you are looking at neighbourhoods that are closer to the city core.  You have seen the new construction in the farther reaching suburbs and really like the newn

The long awaited day has arrived: the visit to the lawyer's office to sign for property transfer and mortgage on your new home.   And, to bring in the rest of the cash needed to complete the purchase.

You will be something called a Statement of Ajustments or Consolidated Cost Estimate-Buyer, or title by any other name that serves the same service.   The lawyer is providing a balanced credit and debit explanation for the expenses of buying the home.

On the credit side, you will see:

• the deposits you have already made,
• Taxes levied

What's the old joke, even a broken watch is correct 0.14% minutes of the day?

Any one who tells you real estate values have to come down are going to be right as long as they say it long enough.

Many people dislike and avoid looking at a bunch of numbers. They see numbers as a bunch of mean, swiggly lines that are just made to confuse them.  And, there are a lot of numbers in condo balance sheets, income statements, reserve studies, and budgets.

Are you looking at buying a condo and are not analytical when it comes to numbers?  It makes sense to pay a professional to review the numbers for you and give you the condensed version of what the numbers say.

Do you already own a condo, and can not be bothered to read the numbers or pay a

In the late sixty's and early seventy's, some guys with their psychedelic Flower Power VW vans had bumper stickers saying, " Cash, grass or ass- no one rides for free!"

Some of them changed to bankers, Brooks Brothers suits, Beemer 7's and a different bumper sticker saying, "Penalty, blend and extend- no one gets out for free!"

How do these bumper stickers result in the same for you?

CASH and Penalty:   Fixed rate mortgages are due a penalty of the GREATER of 3 months interest; or, the difference between your cur

Increase of fixed rate with new mortgage rate hold- saves money!

March 29, several lenders announce their fixed rate 3,4, and 5 year term interest rates are going up from .40 to .60 percent.

We have one situation where a customer owing $171,586 for another 37 months was quoted a payout penalty of $8,232.45.  Rates are scheduled to increase tomorrow.  As of tomorrow, based on tomorrows higher rates, his penalty went down to $6,554.37.    That's a savings of $

March 29- Fixed Rate increases announced: fixed or variable, now?

4.91% has been the average prime rate based on Bank of Canada weekly statistics kept since January of 1999.

Today, prime is still 2.25% and many have questioned if taking a variable rate is still a good idea.  2.25% is the lowest recorded prime rate since 1999.  It has been as high as 7.50% since 1999.  In the early 80's it got as high as 22.

On Global News Calgary, Friday, March 26, on the Consumer SOS segment by Tony Tighe, I was asked about what may be the result of new changes to allow GST to be charged on some components of Financial Services.  This may add to that interview.  

Recent Federal Budget proposals include charging GST on some components of Financial Services.   This is where the financial services involves Investment Management, Credit Management and Faciliatory Services. 

How may this effect your mortgage rate?   To this point, when you use the services of