Open House- The Real Estate and Mortgage Show: August 25, 2018
New real estate information available to the public, second mortgages, and more on this week’s episode of Open House: The Real Estate and Mortgage Show
The Supreme Court has ruled that the Toronto Real Estate Board (TREB) is now required to provide previous sale price information to potential buyers moving forward. This information has been privy to Realtors for a long time but the competition bureau has pushed to have this information published. Although there is some disadvantage to inexperienced Realtors, the majority are professional negotiators, marketers, and have the experience in creating the offers and counter-offers for the clients. If you’re listing your home, you need to make the best first impression and the biggest impact which Realtors will help you accomplish.
When there is an offer to purchase a home, your Mortgage Broker will need a copy of the Realtor MLS, which contains much more information than the public MLS, and will also require a copy of the Notice of Fulfillment that all purchasing conditions on the Agreement of Purchase and Sale have been met such as inspections. When purchasing privately, appraisals are always required to ensure fair market value.
Although people may compare their mortgage interest rates, there have been significant changes to the way that Mortgage Brokers quote their rates. They have become more tailored and are quoted based on the individual and property and less of a blanket rate for all customers. When it comes to putting a second mortgage on a property, interest rates are significantly higher and the terms can vary. There always needs to be an exit strategy as these lenders are not looking to keep this type of mortgage in their portfolio for extended periods of time. If you are late on mortgage payments, they are reported on your credit bureau and could impact your ability to negotiate your mortgage in the future.
If your mortgage is coming up for renewal and you are considering moving or selling, the majority of mortgages are portable but if you are not porting your mortgage and you may still be in the home after your renewal date, look for a variable-open mortgage and speak to your Mortgage Broker. If you are considering renovations before a sale, consult a real estate agent to ensure those renovations are worthwhile to the value of your home.