6 Feb

Edmonton Market Update: January 2017


Posted by: John Beard

Dominion Lending Edmonton – John Beard

Home for Sale - Mortgage Broker Edmonton

As I constantly strive to be the top mortgage broker Edmonton, remaining as knowledgeable and relevant as possible when it comes to the mortgage and real estate markets is significant.

For this reason, I am always monitoring both the local and national housing markets, analyzing statistics and determining where the market is headed.

As we approach the end of the first month of 2017, we can comfortably reflect on 2016 and how it performed against pervious years. Overall, the market was somewhat stable and prices remained relatively the same as 2015 with some slight drops.

The average sale price for an all-residential home (single detached, townhouses, condominiums, etc.) was $357,916 in December 2016. This was slightly lower than December 2015 and nearly the exact same as December 2014. Home sales fell for the second consecutive December. After recording 805 units sold in December 2014, sales fell to 747 in December 2015 before finishing at 716 last month.

Similar to November, December 2016’s average days that a home spent on the market increased across all home types. This is the norm for the month of December as the real estate market slows. Single family homes in Edmonton took an average of 62 to sell after November 2016 averaged 52 days. Duplex and townhouses took an average of 78 days to sell and condominiums averaged 80 days on the market in December 2016.

Total sales volume for last month was $178.5 million, a decrease from the $192.9 million total recorded in the same period last year.

Overall sales for the year totalled 16,170 units, which was down from the 2015 total of 17,325. Economic instability certainly affected this, however things remained quite steady overall.

If you’re considering buying or selling a home in the area, it’s important to consult a professional to help guide you through the process. I can offer low mortgage broker rates in Edmonton and area while finding you the right mortgage based on you and your family’s unique situation.

To be the best mortgage broker Edmonton, it’s important for me to treat my clients the in the best manner possible. If you’d like to learn more about how I can help, or have a question regarding your mortgage, I encourage you to contact me today!

Source: http://www.ereb.com/News&Events/LatestMarketStatistics.html

Source: http://www.ereb.com/pdf/MonthlyStats.pdf



10 Jan

Dominion Lending Edmonton: Variable Rate vs Fixed Rate


Posted by: John Beard

Dominion Lending Edmonton – John Beard

Dominion Lending Edmonton - Fixed Rate vs Variable Rate

As a mortgage broker part of the Dominion Lending Edmonton team, I am committed to helping my clients find the right mortgage – no matter what their specific situation is.

When clients come to me to obtain a mortgage, they are faced with the option of choosing between two types of rates: a variable interest rate or a fixed interest rate.

Each type has their own benefits and downfalls, and the choice should be made solely on what your unique situation requires and what your personal preference is. To help you get a better understanding of what each is, who it’s an ideal fit for and why it may be good for you, I’ve outlined some information for you to reference when you’re making the decision if you’re looking to get a mortgage in Edmonton.

Variable Rate

Also known as an adjustable rate, variable mortgage rates are designed to adjust from time to time based on the market conditions. A variable rate will fluctuate with the current rates of the market and thus end up being lower than a fixed rate. However, should the normal market rate increase, so will your variable rate.

This type of rate is attractive because it can be lower than a fixed rate. When the rate drops, more of your payments will go towards the principal amount of your mortgage rather than to interest, thus shortening the amount of time it takes to pay off your mortgage. However, this works both ways. On the other hand, the rates could rise and as a result, extend the time it takes to fully pay off your loan.

One way for you to determine if a variable rate is right for you is to see if you would be able to afford an increase in the interest rate. Evaluating factors such as income, expenses, and potential earnings should all be considered during this time.

Pro: Have proven to be less expensive than fixed rates over time

Con: Financial uncertainty

Fixed Rate

A fixed mortgage rate is essentially the opposite of a variable rate. Fixed rates are locked-in at the rate that you and a lender agree on for the duration of your term.

The biggest attraction to fixed rates is the ability to accurately and comfortably budget. With a fixed rate, a person will know exactly how much they will be paying each month and when they can expect their mortgage to be fully paid off.

A fixed rate is popular for people who prefer to know how much they are going to be paying and do not wish to risk things. Even if the prime interest rate rises, you will still be locked in at the rate you originally received.

Pro: Don’t have to worry about what you will be paying each month

Con: Prime rate could drop lower than fixed rate and end up being more expensive


In the end, the decision is yours. Are you more of the risk-reward type? Or, are you the kind of person who prefers the comfort of knowing the exact amount you will be paying in interest each month?

As a broker part of the Dominion Lending Edmonton team, I am here to help you make the decision that best fits your lifestyle. Whatever your mortgage needs require, I can guide you. For more information on how I can help, contact me today!


10 Jan

Dominion Lending Edmonton Market Update: December 2016


Posted by: John Beard

Best Mortgage Broker Edmonton – John Beard

Best Mortgage Broker Edmonton


Whether you’re a current homeowner or someone considering purchasing a home in the new year, being a homeowner is a big deal. If you’re looking for great mortgage broker rates Edmonton, a broker such as myself can help ensure that you get the deal that you deserve.

The end of 2016 also meant the end of yet another year in the Edmonton real estate market. As 2016 ended, the Edmonton Census Metropolitan Area experienced overall stability over the past 12 months, seeing stable prices and slight decreases throughout.

Overall, a total of 16,170 residential homes were sold last year, a decrease from the 17,325 experienced in 2015. The average number of days that a home spent on the market was also six days longer in 2016 compared to 2015, increasing to an average of 57.

Per the Chair of the REALTORS Association of Edmonton, the economic uncertainty played a role in the number of units that were sold in addition to inventory despite the prices being steady overall.

Looking at December 2016, the number of residential homes sold fell to 1,067 units in comparison to 1,278 from December 2015. Despite the slight dip in sales, the sales-to-listings ratio increased to 67% last month from 58% in the same month in 2015.

The average sale price for a residential home in Edmonton was $357,916 in December 2016, down slightly from the $364,438 average we saw in December 2015. This was a decrease of 2.27%.

Leading the way were single family detached homes with 424 units sold in December 2016, followed by condominiums and duplex/rowhouses with 202 and 69 sold units, respectively. 

The total sales volume from 2016 was $6.03 billion, a decrease from 2015 when $6.45 billion was generated and 2014 when a sales volume of $6.98 was experienced. However, with the 2016 holiday season now concluded, both home sales and listings are expected to jump once again.

If you’re interested in buying or selling a home in the area in the new year, consulting a mortgage professional such as myself can greatly benefit you. Using my professionalism, experience and knowledge of the local area, I can help ensure that you get the right mortgage for your specific situation.

As I continuously strive to be the best mortgage broker Edmonton, I am always looking out for any information that may help my clients secure the mortgage they need.

For more information on how I can help, contact me today!

Source: http://www.ereb.com/News&Events/LatestMarketStatistics.html

Source: http://www.ereb.com/pdf/MonthlyStats.pdf

15 Dec

Changes to the Canadian Mortgage


Posted by: John Beard

Mortgage Broker Edmonton

You may be wondering about the changes to mortgage rules in Canada. How will this affect you? What’s changed? I’ve been a mortgage broker Edmonton for many years and I’ve helped hundred of clients with mortgage solutions they can count on. I’ve highlighted the changes below.

Regardless of how much they have for a down payment, homebuyers seeking an insured mortgage will be subject to a mortgage rate stress test as of Oct. 17th 2016. This stress test measures whether the buyer could still afford to make payments if mortgage rates rose to the Bank of Canada’s posted five-year fixed mortgage rate.

This rate is usually significantly higher than what typical banks or other lenders can offer. For instance, TD has a five-year fixed rate mortgage at 2.59 per cent, while the Bank of Canada’s rate is 4.64 per cent. The stress test also sets a ceiling of no more than 39 per cent of household income being necessary to cover home-carrying costs such as mortgage payments, heat and taxes.

Previously, buyers with more than a 20 per cent down payment opting for mortgage insurance have escaped such scrutiny. Being able to obtain low-ratio insurance sold through two private insurers, but backed by the federal government, subject to a 10 per cent deductible. Starting Nov. 30th 2016, new criteria for low-ratio insurance will take effect. To qualify, the mortgage’s amortization period must be 25 years or less, the purchase price be less than $1 million, the property be owner-occupied, and the buyer have a credit score of 600 or more.

These new rules also have major tax implications. Beginning this tax year, all home sales must be reported to the Canada Revenue Agency. The gains from sales of primary residences will remain tax-free, but the government is aiming to block foreign buyers from purchasing and flipping homes while falsely claiming the primary residence exemption from capital gains tax.

Despite the changes, whether you’re looking at buying a new home, investment property or refinance an existing property, you’re in good hands. Together we’ll review the best options and I’ll support you every step of the way through the application and closing process – it’s part of why I strive to be the best mortgage broker Edmonton.

Contact me today for more information!

11 Aug

Should You Refinance Your Mortgage Or Not?


Posted by: John Beard

As I continuously strive to be the best mortgage broker in Edmonton I do what I can to provide my clients with as much knowledge as possible.

Many of my clients often approach me curious about refinancing their mortgage. They frequently wonder if they should refinance, what it requires and if it will benefit them. There are a few reasons why refinancing your current mortgage can benefit you in both the short and long run.

I’ve put together a few things for you to look at to help you better understand what refinancing is and whether or not it is something you may be interested in.

Get a shorter term and a lower interest rate

One of the biggest reasons why people refinance is for the opportunity to secure a lower interest rate than what they are currently paying as well as shortening the length of the mortgage’s term. If the benchmark interest rate is at least 1-2% lower than the one on your original mortgage, many expert believe that you can benefit from refinancing. By doing so you will obviously get a lower rate but you also have the chance to lower your monthly payments.

Additionally, you have the chance to shorten the length of your mortgage by choosing to refinance. This ties into obtaining lower rates because if you can acquire a lower rate you’ll also be able to get a shorter term without having to pay more for your monthly payments.

Consolidate some of your debt

Another reason people opt to refinance a mortgage is pay off current debts. The driving force behind this is that it makes more sense to pay off debt that you currently owe and has a high interest rate by using a mortgage that has a lower rate of interest. Instead of paying a high amount over time just in interest expenses alone on a debt, people are able to pay using their mortgage’s interest rate which can save them money long-term.

Switch your rate type

There is really two main types of rates that people have with their mortgage: a fixed-rate and an adjustable-rate. Simply put, a fixed-rate has a rate that is set and will not change for the duration of your mortgage’s term whereas an adjustable rate fluctuates based on the benchmark interest rates. Adjustable rates are popular if you believe rates will be lower than what you could get with a fixed-rate while a fixed-rate provides owners with the satisfaction of knowing they are paying a set amount every month and it will not change. An adjustable rate can be of benefit to those who are planning on selling their home in a few years as they can take advantage of low rates and lower monthly payments before they sell.

While consulting a mortgage broker in Edmonton like myself is the best way to get all of the information you need if you’re considering refinancing your mortgage, these three factors can help give you an idea of what you want to begin with.

For further reading about refinancing, check out this article: http://www.investopedia.com/articles/pf/05/033005.asp.

For all that you need to know about refinancing and for the best mortgage broker rates in Edmonton, contact me today!

11 Aug

Market Update – July 2016


Posted by: John Beard

As I continue to strive to be the best mortgage broker in Edmonton, monthly real estate market updates are something that I look forward to on a consistent basis as it allows me to stay on top of the latest trends in the local area.

In July 2016, the average sale price for a single-family home in Edmonton was $450,366. This was up by 3.45% from June 2016 and an increase of 3.07% from July 2015. The Chair of the Realtors Association of Edmonton says the average price rise has to do with the strength of sales for higher-end homes, pointing out that the median sale price was up 0.74% month-over-month and down 0.25% year-over-year.

In the Edmonton census metropolitan area, there were 1,515 all-residential homes sold this past July. According to the Association, this was down 15% and 16% month-over-month and year-over-year, respectively. This is expected, however, as it is normal for sales to slow in July after peaking in the months of May and June.

Additionally, there was a drop of 4.80% month-over-month in the number of residential listings for July 2016 with 2,895 homes listed. This was also a decrease of 7.27% from July 2015.

The average number of days that it took for a home in the Edmonton CMA to sell was 56 in July 2016, up three days from the 53 averaged in June 2016 and six days from the 50 recorded in July 2015. Leading the way for the month were single-family detached homes (52 days) followed by duplex homes (57) and condominiums (61 days).

At an average sale price of $257,482 last month for condominiums in Edmonton, there was a 2% drop in the average price compared to June 2016. One of the major reasons for the decrease is the fact that there was an increase of luxury properties sold that month which resulted in a boost of the average sale price for all condominiums. The July 2016 average price was in line with the July 2015 average. For a closer look at July 2016’s statistics, you can visit the Association’s website.

If you’re looking at buying or selling a home in Edmonton or its surrounding areas, I can certainly help you find the best deal. I offer a variety of mortgage solutions for those interested in buying a home, including mortgages for first-time home buyers.

I have been able to offer homeowners the best mortgage broker rates in Edmonton over the years no matter what their specific situation involves. Using mortgage calculators, I also help my clients determine how much they are really able to afford in monthly payments while finding them the best method that fits their lifestyle.

If you’re interested in purchasing or selling a home, allow me to show you how I am the best mortgage broker in Edmonton. I can equip you with the best mortgage rates with a favourable term that you can successfully pay off. To begin the process, to simply ask a question or for more information, I encourage you to contact me today!

11 Aug

3 Ways Mortgage Broker Can Help


Posted by: John Beard

If you’re at a point in your life where it is time to obtain a mortgage, you likely have some questions about the process.

As someone who continuously strives to be the best mortgage broker in Edmonton, I help people daily with their choice of how to get a mortgage. One of the most popular and effective ways to secure a mortgage is by going through a certified mortgage broker, like myself.

There are many benefits to working with a broker and I have outlined 3 Ways a Mortgage Broker Can Help You:

1. Expert Knowledge in Mortgages

The knowledge that a broker can pass along to you is something that sets apart brokers from banks. A broker focuses solely on mortgages and the different types of mortgages lenders have available whereas a bank can only provide information relating to that specific bank’s mortgage products.

A broker is able to offer you information and details on a wide variety of mortgage products that he/she thinks would be a great fit for you depending on your situation. A broker like myself will also explain everything in great detail so you know exactly what you are getting and what to expect before committing to anything.

2. The Focus is on You

It’s no secret that as mortgage brokers we rely on your referrals. Without good words and positive reviews from you we likely wouldn’t be very successful. That being said, we also care about you like no other. I understand that your time and money are two very valuable things, meaning I do my absolute best to schedule meetings and calls for times that work best for you while securing the lowest rates.

I have relationships with many mortgage lenders who are able to offer me discounted rates, allowing me to provide you with the most competitive numbers on the market. You can also expect a prompt response to any email, phone call or text message with an answer to your question(s). The personal relationship built between a broker and client is something that people tend to struggle to create with a typical bank employee.

3. Less Work For You

As a broker I always handle all of the necessary paperwork and negotiations that are often needed when someone is in the process of getting a mortgage. You be confident in knowing that all of your documents will be totally accurate and organized when working with me.

As I mentioned in a previous point, I have an established relationship with a variety of lenders. Not only does this instantly position a broker like me to have a better chance at getting the lowest rates, but it also increases the odds that negotiation tactics will work in talks compared to if you approached a lender on your own. Less work is involved for you when dealing with a broker!

By reviewing these three points when it’s time to obtain a mortgage you will have a better understanding of what a broker is and how they can help you.

If you’re looking for the most competitive mortgage broker rates in Edmonton, you have found the right person! Contact me today for more details and to start the journey!