Will the banks now share the rate drop wealth ?

In a surprise move the bank of Canada cut their overnight lending rate by a 0.25%.  As mentioned in last weeks Abbotsford Mortgage News Blog it has been 4.5 years since the BoC has moved in any direction.

This overnight lending rate that has dropped is effectively the rate that the banks borrow at when setting their prime rate.  If the banks shares the wealth, prime rate should be dropping to 2.75% across the industry in the next couple days. Lets just hope the banks share the wealth (which I expect they will). We will all instantly see all of our Variable Rate Mortgages and Line Of Credit Mortgages drop their rates if the banks decide to share.

  • Rates for floating loans should drop ie) Line Of Credits
  • First time Prime Rate move in almost 4.5 years
  • The bank cost of business just got cheaper, but will they pass those savings along?
As discussed late last week, the 5 year fixed rate mortgage should also drop and currently should be at 2.50% – 2.70% right now based off of where bond rates are sitting as well.
The banks are all sitting tight at 2.89% on their 5 year fixed and raking in the profit on the back end. With a majority of the public happy with a 2.89% 5 year fixed there is no reason for them to drop their fixed rate mortgages. That is where mortgage brokers can help, we deal with many lenders out side the the top five banks whom traditionally move slow when it comes to rate drops. This enables us to find the best 5 year fixed mortgage in the industry.
To make sure you are getting the sharpest mortgage rate talk to one of the top mortgage brokers in our Abbotsford, Chilliwack or Mission office.

By Referral Mortgage Consultants*

“Click, Call, Chat – Award Winning Brokers”
 1 – 32540 Logan Ave
Mission
 BCV2V 6G3

&

360-3033 Immel St

AbbotsfordBCV2S 6S2

&

8387 Young Rd

ChilliwackBCV2P 4N8

Dave  604 897 2741 Jordi 604 615 1312
www.AbbotsfordsMortgageBroker.com

 

www.BRMC.ca

 

www.PeaceOfficeMortgageBroker.com

Connect with us on!
 BRMC Facebook

 

BRMC Google review Chilliwack Office

BRMC Google review Abbotsford Office

BRMC Google review Mission Office 

http://www.linkedin.com/company/2410358

https://twitter.com/brmcmortgages

http://www.youtube.com/user/BRMCmortgages

We’re active on Facebook, Twitter, LinkedIn & YouTube. We really appreciate reviews! Good or Bad please let the world hear your voice! Connect with us for ongoing industry news items, contests & prizes.

*By Referral Mortgage Consultants – doing business as BRMC is: Verico Preferred Financing Inc / Verico Canadian 1st Mortgage Corp which have a co-brokering agreement and there is a common Mortgage relationship and are licensed with the Verico Dreyer Group. Mortgage ownership, that employees of both Mortgage companies may review, advise and help process the Mortgage files. That Verico Preferred Financing Inc & Verico Canadian 1st Mortgage Corp share the some expense and income from mortgages. Kim Langille Featured on thess site is an unlicensed mortgage assistant only, not a Mortgage Consultant. Jordi Browne featured on this site is the Mortgage Broker of record. “The Broker” is Jordi Browne. Jordi Browne also holds a Life Insurance License and represents Verico Canadian 1st Mortgage Corp. Dave Browne featured on this site has a Life Insurance License too but is an independent agent– Jordi and Dave Browne co-broker life insurance files and share expenses, all income retained by Verico Canadian 1st Mortgage Corp. 

 

Rates have nowhere to go but down on Monday Morning!

Over the last few months we’ve all have heard is that mortgage rates are going up through the mainstream media. In fact over the last 4.5 years I have read the same story over and over again stating that rates will be going up in the next 2 – 4 quarters, but no rate increases?

Predictions like these in 2010 is what pushed a lot of consumers into fixed rate mortgages and effectively cost them extra money out of their pockets for the last 5 years.

Being one of the top mortgage brokers in Abbotsford, Mission and Chilliwack we feel it is our duty to dig deeper into consumer rates by following what drives these mortgage rates; the bond markets and its daily rate trends.

Bond rates drive the fixed mortgages rates we pay as consumers. They do this by dictating what the banks pays to borrow money for purpose of relending to you and me. For example banks turn around and re-lend this money out to you and me as a mortgage for +1.5% more than they pay roughly. As you can see in the graph below the bond rate has dropped about 0.50% over the last few months. That is huge!

Government of Canada Benchmark Bond Yields – 5 Year

Right now it is priced into the market that the 5 year fixed should be around 2.50%-2.60%. Do I think the big 5 banks are going to drop that low?… In our experience they won’t but a few select lenders will. If you need a better rate for your mortgage renewal, refinance or purchase call me and I will introduce you to the selective lenders who move their rates Monday!

If one of the big banks reduce their rates for this Spring the rest will follow but no guarantees they will come down. They are well within their rights to keep their rates as high as possible to drive their profits in these turbulent times.

While I do not expect the big 5 banks to lower their rates accordingly I see some lenders that Mortgage Brokers deal with lowering their rates more in line with the drop in the bond rates. I also predict this starts Monday!

If you would like us to review your current mortgage in hopes to save some interest feel free to call any time.

By Referral Mortgage Consultants*

“Click, Call, Chat – Award Winning Brokers”
 1 – 32540 Logan Ave
Mission BCV2V 6G3

&

360-3033 Immel St

AbbotsfordBCV2S 6S2

&

8387 Young Rd

ChilliwackBCV2P 4N8

Dave  604 897 2741 Jordi 604 615 1312
www.AbbotsfordsMortgageBroker.com

 

www.BRMC.ca

 

www.PeaceOfficeMortgageBroker.com

Connect with us on!
 BRMC Facebook

 

BRMC Google review Chilliwack Office

BRMC Google review Abbotsford Office

BRMC Google review Mission Office 

http://www.linkedin.com/company/2410358

https://twitter.com/brmcmortgages

http://www.youtube.com/user/BRMCmortgages

We’re active on Facebook, Twitter, LinkedIn & YouTube. We really appreciate reviews! Good or Bad please let the world hear your voice! Connect with us for ongoing industry news items, contests & prizes.

*By Referral Mortgage Consultants – doing business as BRMC is: Verico Preferred Financing Inc / Verico Canadian 1st Mortgage Corp which have a co-brokering agreement and there is a common Mortgage relationship and are licensed with the Verico Dreyer Group. Mortgage ownership, that employees of both Mortgage companies may review, advise and help process the Mortgage files. That Verico Preferred Financing Inc & Verico Canadian 1st Mortgage Corp share the some expense and income from mortgages. Kim Langille Featured on thess site is an unlicensed mortgage assistant only, not a Mortgage Consultant. Jordi Browne featured on this site is the Mortgage Broker of record. “The Broker” is Jordi Browne. Jordi Browne also holds a Life Insurance License and represents Verico Canadian 1st Mortgage Corp. Dave Browne featured on this site has a Life Insurance License too but is an independent agent– Jordi and Dave Browne co-broker life insurance files and share expenses, all income retained by Verico Canadian 1st Mortgage Corp. 

 

Free Business Plan for 2015 – Our gift to you

Hello BRMC Mortgage Clients, Realtors and of course our very favorite “Self Employed” individuals. Do you own your own business or know someone else who does? Looking for a planning tool to help you in 2015? We’ve done the research and we found the best one out there for Canadians!

Try this planning tool and track your business results throughout 2015. December is usually a slower time of the year and offers a great opportunity to sit down and think about your up coming year. This free tool we used this year is great so please give it a whirl.

Welcome to the Business Plan Writer! https://www.futurpreneur.ca/en/bplan/

If you’re setting out on a course to start a business or thinking creating a plan for your existing business then you are reading the right blog. This website is a FREE provider of business plans and if at the end of writing your plan you need capital to borrow to start or improve your business we will happily review your business plan! After all we do lend money.

We used this online Business Plan Writer this year and it is provided by Futurpreneur Canada – it is an interactive planning tool that helps you develop a business plan through a step-by-step process with additional resources when you get stuck.

Why write a business plan?

A business plan obviously describes the future path of a business. This business plan specifically designed for a first- time business owner. However, even those who are very familiar with business plans will also find this tool useful, with simple, practical approaches.

One of the most compelling reasons for writing a business plan is the new insights you’ll uncover about your business idea. These insights will help you avoid costly mistakes down the road. Many business plans are written to prove why a business idea will work. This Business Plan Writer focuses on how your business idea will work. It’s a much more practical approach that will serve you well in the long run. For example, we guide you to be more specific in your marketing activities and ask you to go deeper in understanding your sales forecasts because most entrepreneurs face their biggest challenges in gaining customers.

We believe that an effective business plan increases your chance of success. It creates greater confidence in your idea with workable strategies you can implement.

This Business Plan Writer is a resource that you can come back to time-and-time again. Here’s to your success!

TIPS and TRICKS

Your business plan should be written in the third person; not using “I”, or “we” but the name of the company. For example, rather than “I will sell directly to …” state “ABC Company will sell directly to …” Write your business plan in paragraph form, using bullet style lists and text boxes when you want to be more succinct.

Keep the writing concise and avoid repetition, even if the point you are making fits under several categories in your business plan. Avoid jargon that the reader may not understand and if you use acronyms, always spell out the full terminology with the acronym in brackets the first time you use the acronym.

The key is to just start. Don’t aim for perfection: it doesn’t exist in the business world. Instead, commit to completing each section by setting goals for yourself. Insights gained in one section will shed new light upon another. A business plan is a work-in-progress that can and should be updated regularly.

HAVE A WONDERFUL HOLIDAY SEASON EVERYONE! 🙂

 

By Referral Mortgage Consultants*
“Click, Call, Chat – Award Winning Brokers”
 1 – 32540 Logan Ave
Mission BCV2V 6G3
&
360-3033 Immel St
AbbotsfordBCV2S 6S2
&
8387 Young Rd
ChilliwackBCV2P 4N8
Dave  604 897 2741 Jordi 604 615 1312
www.AbbotsfordsMortgageBroker.com
 
www.BRMC.ca
 
www.PeaceOfficeMortgageBroker.com
Connect with us on!
 BRMC Facebook
 
BRMC Google review Chilliwack Office
BRMC Google review Abbotsford Office
BRMC Google review Mission Office 
http://www.linkedin.com/company/2410358
https://twitter.com/brmcmortgages
http://www.youtube.com/user/BRMCmortgages
We’re active on Facebook, Twitter, LinkedIn & YouTube. We really appreciate reviews! Good or Bad please let the world hear your voice! Connect with us for ongoing industry news items, contests & prizes.
*By Referral Mortgage Consultants – doing business as BRMC is: Verico Preferred Financing Inc / Verico Canadian 1st Mortgage Corp which have a co-brokering agreement and there is a common Mortgage relationship and are licensed with the Verico Dreyer Group. Mortgage ownership, that employees of both Mortgage companies may review, advise and help process the Mortgage files. That Verico Preferred Financing Inc & Verico Canadian 1st Mortgage Corp share the some expense and income from mortgages. Kim Langille Featured on thess site is an unlicensed mortgage assistant only, not a Mortgage Consultant. Jordi Browne featured on this site is the Mortgage Broker of record. “The Broker” is Jordi Browne. Jordi Browne also holds a Life Insurance License and represents Verico Canadian 1st Mortgage Corp. Dave Browne featured on this site has a Life Insurance License too but is an independent agent– Jordi and Dave Browne co-broker life insurance files and share expenses, all income retained by Verico Canadian 1st Mortgage Corp. 

 

BRMC Mortgage Rate Discount Program!

Selectively and quietly in Jan 2013, the last of the big banks & credit unions finished cranking up rates for Line Of Credit mortgages without warning. Now everyone in Canada was paying the same higher rate of 3.50% unless you were VIP.

  • Back in 2013,(Published Wednesday, Jan. 23 2013, 8:08 PM EST) Banks increased Line of Credit Mortgages from 3% to 3.5% across the board. Consumers alarmed by 1/2 percent increase!
  • Well BRMC Mortgages shocked the world today(a little exaggeration) with our new low Line Of Credit rate in Canada as of Aug 2014.

We at BRMC Mortgages are trying to buck the trend of these higher rates! We are now offering the lowest rate Line Of Credits in Canada as of today. Prime+.25%=3.25%. That is .25% discount VS. every other mortgage lender in Abbotsford, Chilliwack and Mission!!

By Referral Mortgage Consultants*

“Click, Call, Chat – Award Winning Brokers”
1 – 32540 Logan Ave

Mission BCV2V 6G3

&

360-3033 Immel St

AbbotsfordBCV2S 6S2

&

8387 Young Rd

ChilliwackBCV2P 4N8

Dave  604 897 2741 Jordi 604 615 1312
www.AbbotsfordsMortgageBroker.com

 

www.BRMC.ca

 

www.PeaceOfficeMortgageBroker.com

Connect with us on!
 BRMC Facebook

 

BRMC Google review Chilliwack Office

BRMC Google review Abbotsford Office

BRMC Google review Mission Office 

http://www.linkedin.com/company/2410358

https://twitter.com/brmcmortgages

http://www.youtube.com/user/BRMCmortgages