MORTGAGE EDGE
IT'S ALL ABOUT YOU!!!
IF YOU’RE CONSIDERING PURCHASING OR RE-FINANCING TO A CHEAPER RATE, DEBT CONSLOIDATION or HOME RENOVATIONS…The TIME IS NOW
It’s January 2012, fixed mortgage rates are at historical lows…a 5 year fixed rate can be had for 3.15% and even 2.99%. Does it make sense to refinance your mortgage and consolidate that car loan, student loan, credit card, line of credit or other debt? The answer is an overwhelming YES!
Compounding interest rates are a killer. If you have $20,000 or more in non-mortgaged debt, then you should consider consolidation. Especially with today’s record low interest rates.
Here’s an example of one situation:
Rate Balance Payment
Mortgage 3.99% $300,000 $1,349
Car loan 6.00% $24,000 $563
Credit Cards 18% $10,000 $300
Line of credit 7% $10,000 $300
mortgage penalty $2,993 $0
Totals $346,993 $2,512
And here’s what the new situation could look like after consolidating their debts:
Rate Balance Payment
Mortgage 3.15% $346,993 $1,487
Car loan $0 $0
Credit Cards $0 $0
Line of credit $0 $0
mortgage penalty $0 $0
Totals 3.15 $346,993 $1,487
So in this example, we are reducing the monthly payment by $1,025.00. Let’s take some of that money and put it towards your new mortgage… if you took $500/mth and put this towards your mortgage for 5 years, you would reduce your amortization to 10 years and 7 months. Clearly, this is worth breaking the mortgage and paying the penalty.
(keep in mind, the penalty could be higher if the lender uses an Interest Rate Differential to calculate the penalty… Always speak with your Mortgage Lender to ensure the penalty is accurate).
I simplify the process of finding the right mortgage for you by tracking down the best mortgage rates, terms and options – saving you time and money.(oac)
Please feel free to contact me at (519) 537-7828 should you have any further questions or concerns. Your complete satisfaction is my top priority
Call me if I can Help!!!
I value your business.
My very best personal regards,
Dan (Tasos) Efstatheu
Phone: 519-537-7828
Website: www.firstratemortgages.ca
License # MO8006633 | Mortgage Edge Broker License #10680
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