Mortgage Brokers How To Find The Right Mortgage Deal | Page 4

Tips to Remember to Help You Find
the Right Mortgage Deal in Canada
• Do not fall prey to the offers claiming that you are going to get the best five-year rate.
The reason is that after the new rules mortgage pricing is no longer based on the best rate
quote only. Many other factors will now play a role here. Your personal situation matters
the most. Therefore, you may want to work with the company that performs an in-depth
assessment of your current circumstances and then select the best products for you.
• Going long and variable is likely to help you over an extended period. People with over 20%
equity should consider a 30-year amortization mortgage to enjoy some amazing benefits.
Such deals would have the benefits, like easier mortgage qualifying, more purchasing
power, and lower payments to increase cash flow. You can also use this option to divert
cash and use it for investing. However, it makes sense to work with an experienced
mortgage broker to discuss if these strategies are really going to prove effective
considering your unique circumstances.
• Be sure to check all the details before signing the dotted line. In many cases, you will be
able to save thousands ensuring that you are getting a mortgage with a fair prepayment
penalty. It should also treat you nicely and fairly at renewal. Therefore, you should not
have your focus only on finding the lowest rate possible because other details are going to
matter as well.
• Think twice before opting for high-ratio insurance. Many people make the mistake of using
this option and end up paying more than expected. Keep in mind that most lenders are
willing to offer better rates to borrowers who require mortgage insurance when they have
less than 20% down. It means you do not really need to purchase it when you have more
than 20% down. But again, your unique circumstances can change the whole picture
because some companies are willing to offer lower rates when you purchase mortgage
insurance even with more than 20% down. Your mortgage broker may help you identify the
most suitable option here.