How To Prepare When Mortgage Rates Start Going Up – Kitchener Waterloo Homes For Sale
Five ways to prepare for higher mortgage rates
Mortgage rates on the rise? No need to panic; what you need is some smart strategies to prepare. Here are our top 5 tips:
1. Don’t take the money. If you’re buying a new home, don’t be tempted to borrow the maximum amount your lender will allow.
2. Do more than the minimum.If you have a variable-rate mortgage, build in some wiggle room by setting your payments higher than required.
3. Plan to pre-pay. Find out what your pre-payment privileges are and pay whatever you can.
4. Conduct a reality check.Find out what your mortgage balance will be at renewal and use our online mortgage calculator to project what your payments could be if you renewed at a higher rate. Start to ease up to your new payment level so at renewal, it’s like a merge lane!
5. Watch your bad debt. Be cautious about any credit card or other high-interest debt.
Getting prepared for higher rates is not about panicking, it’s about being prudent.Give me a call if you have any questions.
This entry was posted on October 2, 2013 by kevinbakerrealestate. It was filed under Buyers, Local Kitchener Waterloo, Sellers, Uncategorized and was tagged with assessment, Bank of Canada, banking practices, condo, condo buying, first time home buyer, full time realtor, home buying, kitchener, Kitchener waterloo, kwhometeam, loft, market update, Mortgage News, Mortgage Rates, real estate, real estate investing, Remax, sales rep, waterloo ontario.