Why are so many Canadians using the equity in their homes to get ahead financially ?
With interest rates at the lowest they ’ ve been in many years , it is a good time to be a borrower . For existing homeowners , this presents an extra opportunity to access funds at a very low interest rate , using a home equity loan or line of credit . If you ’ ve been paying down your mortgage and your home has been appreciating in value over the years , then you have built up equity in your home , meaning the difference between the value of your home , and how much you still owe on your mortgage . This equity can be extracted in cash , and used for things like consolidating high interest credit cards , taking on a home improvement project , or making another investment . With no sign of interest rates going up in the immediate future , it ’ s no surprise that so many Canadian homeowners are taking advantage of this opportunity right now . - Smarter Loans , www . smarter . loans / home-equity-loans-canada /
How can I close my deal if the tenant refuses to leave ?
We have had many sellers in this predicament already approach us for advice . We explain two choices . They can make a deal with the tenant to provide an incentive for them to move if the tenant is agreeable . Otherwise , they can offer the buyer a discount to close with the tenant , with the understanding that the buyer will continue the eviction proceedings now that the Board is scheduling eviction hearings . We have been successful in negotiating these agreements already in our practice . There is no set amount and no matter what you offer , the tenant can refuse to accept it . Our advice is to assist them in finding a comparable place to move to and pay an incentive to make sure that they come out in a similar or better rental position . Then have the tenant sign Form N11 where they agree to leave on a specific date in exchange for the compensation . Once the lockdown ends and the Sheriff is given the authority to enforce an eviction , it should be easier to complete an eviction in a more timely manner . - Real Estate Lawyers . ca LLP , www . realestatelawyers . ca
How can I become a homeowner ?
In this incredibly fast moving market I am constantly asked “ Paul , how do I become a homeowner in this current economy ? Please help !”
This seemingly difficult situation is actually much easier than you think when working with a trusted real estate professional like myself with knowledge , experience and the know-how to accomplish your goals !
1 . If you ’ re having difficulty coming up with a down payment , consider purchasing with a friend or sibling ! It ' s an incredible way to pool your funds and work together for that down payment . Enjoy each other ' s company and share the bills for a few years to maximize market appreciation ! Then simply split all the financial success and gains , take all that accumulated appreciation and money you ’ ve already paid down and use that purchasing power to buy your next home by yourself !
2 . If you can afford to buy but are afraid of being “ house-poor ” there ’ s a simple solution ! Rent an extra bedroom or the basement to someone you know that can ’ t yet afford to buy ! It helps you to ease the stress of bills as your property is paid down with the added bonus of helping someone else that needs an affordable place to stay !
3 . With equity saved in your parent ’ s home , many equity lines of credit are interest only payments . Perhaps ask if you could do an interest only loan from a parent ? You can pay them back later as your home appreciates in value !
4 . If you haven ’ t been pre-approved already , I ’ ll connect you with one of my incredible mortgage professionals to find out what financing option is best for you and your situation . There is almost always a way to capitalize on these low interest rates and get you the mortgage you need . - Paul Mann , www . mannestates . com