VANCOUVER, BC (July 7, 2011) Dominion Lending Centres Clearlease Reports Mortgage rules changed in 2011, causing some confusion in the market for homebuyers and homeowners alike. However, while navigating these change July 7, 2011 may be relatively simple. With smart financial planning and saving practices you should still be able to finance your dream home while building your savings.
For prospective homebuyers, the biggest change is a reduction in the amortization period – the amount of time after which, if all monthly payments are made on time and in full, the mortgage loan will be repaid.
Under the changes the maximum amortization period was decreased to 30 years from 35 years for all new government-backed insured mortgages. For some homebuyers, particularly those looking for their first home, this change may make it harder to qualify for a mortgage. A shorter period for repayment will mean that your mortgage payments will be greater. However, this shorter period means your mortgage will be paid off faster and you will save on interest.
Although the shorter amortization period may make it more difficult to qualify for a mortgage, it may be a blessing over time as paying down your mortgage faster will give you more security and more cash to put toward other purposes — like retirement or your child’s education.
Generally, if you are just setting up your mortgage, it’s a good rule to go for a short amortization and not be tempted by the longest amortization possible. A longer-term obligation may seem appealing, as it will leave you with more cash in hand each month. However, if you seek out the shortest amortization schedule you can afford, you will pay down your mortgage faster and incur less in interest charges. Ask your financial adviser for advice on what strategy would be best for you.
For existing homeowners, the recent regulations do not cause any change in your existing mortgage. However, the biggest change is in the amount you can borrow against your home for refinancing. The maximum amount Canadians can borrow in refinancing their mortgages has been reduced to 85 per cent of the value of their homes, down from 90 per cent.
This is the second time in two years that the refinance limit has been tightened. In April 2010, it was reduced from 95 per cent of the value of your home to 90 per cent, and, with the latest reduction, this means a ten-percentage-point reduction in the amount you can borrow against your home.
This will mean you can borrow less against your home for things such as investing for retirement or for renovations. It may also mean that you will have to revisit your long-term financial plan — or explore other financing routes. A qualified financial adviser may be able to help.
While the recent rules will make home financing more difficult in some circumstances, in theory these changes should make for lower debt levels over time and could provide consumers with an incentive for more prudent financial management.
The reason Canada’s housing market is in much better shape that the US is because we have always had more stringent mortgage rules. The latest one which tightens up the amortization period and eliminates ‘no money down’ is another step the the right direction. Canada has a fraction of the Power of Sale properties that the US does. In this country, real estate continues to be one of your best investments. The bulk of the portfolios of the very wealthy, is made up of real estate.
Dominion Lending Centres Clearlease can assist you secure the lease funding your business needs and aid you with equipment financing.
Dominion Lending Centres Clearlease finance almost all types of equipment, technology and vehicles used for commercial purposes. We can help you finance the products you need at affordable monthly payments with a term and buyout option that meets your needs.
The best structure for your business is based on various factors including your monthly budget, time in business, credit tier, equipment cost and equipment type. Dominion Lending Centres Clearlease has worked with thousands of businesses across hundreds of industries. Through each transaction we continue to learn what business owners want, what they are challenged with and how creative financing can help turn those challenges into opportunity.
Some of the Business Equipment Dominion Lending Centres Clearlease Finance include:
Office Fitout, Office Furniture, Oxygen Machines, PABX, Photocopiers, Plasma & Display Screens, Point of Sales POS, Printers, Retail Fitout, RFID Systems, Salon Equipment, Scanners, Security Systems, Shelving & Storage, Software, Telephone Systems, Trucks, Water Systems, Workstations, Air conditioning units, Audio Visual, Biometric Technologies, Boats, Buses, Cars, Catering Equipment, Compressors, Computers, Laptops & other IT, Display Stands, Earth moving equipment, Fax Machines, Forklifts, Gaming equipment, Generators, GPS Systems, Hospitality Fitout, Kiosks & Touch Screens, Massage Tables & Chairs, Medical & Dental, Mining Equipment, Office Equipment.
Clearlease Equipment Lease Financing, Commercial Financing Mortgage Refinance Mortgage Auto Lease, Vendor Program – Dominion Lending Centres Clearlease
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About Dominion Lending Centres Clearlease
Dominion Lending Centres Clearlease Commercial (DLC Clearlease/Clearlease.com) is a fully diversified Lease Finance Mortgage Banking Brokerage Company specializing in Equipment Leasing, Automobile Leasing, Residential, Commercial Lending/Mortgage Financing. DLC Clearlease possesses the capability to accommodate financing needs ranging from a small second Home Mortgage to a Multi-Million Dollar Commercial Projects. No mortgage is too small or too large for this integrated Company.
Equipment Lease Financing in Vancouver, Surrey, Delta, Richmond, Langley, New Westminster, North Vancouer, West Vancouver, B.C. Also offering Automobile Lease Financing and Mortgage information. Founded by the Pidgeon brothers Alexander Pidgeon and Rene Pidgeon. Vancouver Commercial Lending,North Vancouver Commercial Lending,West Vancouver Commercial Lending,Surrey Commercial Lending,Richmond Commercial Lending,Delta Commercial Lending,Langley Commercial Lending,Coquitlam Commercial Lending,BC Commercial Lending,Private Commercial Lending
You may have recently seen a Dominion Lending advertisement on such media outlets as: Global News, CTV News, CBC Television, Rogers Sportsnet or possibly heard the great Don Cherry, a Canadian Sports legend, discuss Dominion Lending Centres.
Contact DLC Clearlease.com:
Dominion Lending Centres Clearlease
HEAD OFFICE, Bentall Two, Suite 900, 555 Burrard Street, Vancouver, BC, V7X 1M8, CANADA.
Mr. Alexander Pidgeon, Editor in Chief
Tel: (604) 696-1221 ext. 199
eMail: [email protected]
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