To consolidate your debts or reduce your debt obligations, no matter what your requirement is, consider picking up the best refinancing options after going through the vital tips mentioned in this article. Learn from the top Mortgage Broker Ontario about essential mortgaging tips that can save you from paying extra. From loan penalties and prepayment issues to portability issues, choosing a suitable loan product requires considerable contemplation. Review some of the best suggestions given by top mortgage brokers in the country and help yourselves from falling into undesirable obligations.
Top tips to make smart mortgage refinances
Prepare yourself to make the biggest decisions like second mortgages, HELOC, investment purchases, and other refinance with this amazing set of tips.
Falling for lower interest rates might not be smart every time.
While it is true that loans with lower rates are the main criteria for any borrower, it is important to note that lower-rate mortgages may not be profitable every time. There is no guarantee to it. A lower rate is lucrative only and only if other factors like penalties, prepayment, and portability go easy on the borrower. And with a second mortgage or investment in tow, a lower interest rate is only one among several reasons that make a loan product feasible.
Ensure that your lender offers flexible prepayments
Prepayment flexibility is an important factor if you are likely to pay more than your obligations. However, prepayment clauses for several loan products are quite tricky. The lenders usually allow borrowers to pay a certain percent of the loan balance as a lump amount, known as prepayment. The amount is beyond your mortgage amount and does not invite any penalties. While some lenders allow the prepayment capacity to be 20 percent, many fix this amount to 10 percent, not allowing the borrowers to repay the loan quickly.
So if you wish to make your loan payments as fast as possible, consider borrowing from an institution that allows flexible prepayments.
Ignoring the mortgage penalties can be disastrous.
Penalties must be the last thing one would have in mind while considering a refinance. But experts warn of a harsh backlash if borrowers by any chance fail to pay on time. While most Canadians prefer a fixed-rate mortgage to variable rates, it is imperative to note that the fixed-rate mortgages from bigger banks invite higher penalties. And if by any chance you are likely to break your mortgage, choose the loan products that have lower penalties and higher rates.
Read fine prints thoroughly to understand the portability clauses
Do you intend to sell your property during your loan term? Then it is highly recommended to choose loans that have portability clauses. Portability ensures that your mortgages can be seamlessly transferred without incurring high penalties. Ensure that you read your portability clauses to avoid mistakes in the future.
Be mindful of collateral or standard charges.
If your mortgage clauses come with collateral or standard charge, then it indicates that you are allowed to HELOC in the future. But the renewals are deemed to be challenging in these cases. Hence, make sure that you sign up only if your lender offers the best rates for renewal.
Ensure your mortgage application is not in jeopardy
Ensure that you do not quit your job, take auto loans, or make enormous purchases on credit cards. These can put your mortgage applications in jeopardy as these affect your credit and income significantly.
Refinances can be quite tricky. If you are not accustomed to the loopholes, the chances are high that you end up committing the wrong loan products. Seek help from the best mortgage brokers in your area and save your time, money, and, most importantly, your credit scores.
Growing old is never easy. Age-induced lassitude and vulnerability to illnesses often force seniors to opt for a system that offers an assisted living. Although the country is witnessing a rise in village models and co-housing assisted facilities, naturally occurring retirement communities are the perfect blend of independent and assisted living. Kelowna Retirement Communities are considered a successful implementation of assisted living. Find out more about other types of assisted facilities in the country that provide a perfect haven for the needy during the pandemic.
While retirement communities are considered the best-assisted living facility, the facility is far less friendlier than long-term care. Long-term care steers ahead of retirement communities in terms of affordability and the assistance provided. If you want to know how then you must continue reading the article that lays down major differences between both these concepts.
How are retirement communities in Canada becoming the perfect solace for older adults?
Retirement communities are more of a blended living that comprises the luxury of living alone and the privilege of getting attended by a caregiver. The community living allows seniors to live in their desired suites while enjoying the shared community privileges like common dining, exercises, and other programs, including outing. Residents can also have an assisted living by opting for personal services like help while bathing or medication monitoring.
The cost of living in a retirement community often depends upon the facilities and the services you choose. You are also required to pay entirely for the package. The retirement communities are the ideal solace for retirees who love to secure independent and assisted living benefits.
Below is how long-term care facilities function and what makes them different from retirement communities.
Long-term care facilities
Unlike retirement communities, long-term care facilities are more of a shared living facility. Long-term care provides private rooms or shared rooms, common dining, bathrooms, and activities that are mostly shared between the residents. The settings also provide incredible privilege to differently-abled residents who might need dedicated care. About two-thirds of long-term care residents are specially-abled people who need 24 X 7 monitoring and nursing. A major percent of residents use wheelchairs, and most of them have cognitive disabilities that require them to depend on assisted care.
The biggest advantage of long-term care is their subsidized fees and the standardized rates across the country. Interested senior adults can approach the health and community care support services to enroll in the facility. However, the enlistment may take time as the availability of care is always less. The support services might intimate you once the vacancy is available. Once you have received the intimation, you may have to accept or reject the availability offer within 24 hours of intimation. You would require to move within five days of accepting the admission. For the canceled applications, you may have to wait for another 12 weeks to re-apply.