As you may be aware, the state of home mortgages has been changing in Canada. Over the last couple of years, regulations related to home mortgages has been changing and tightened, resulting in shorter length mortgages and a constricted ability to borrow against the equity in your home. Not to mention, a move to shorten the maximum mortgage length from 35 to 25 years means that many Canadians are going to be faced with higher monthly payments. As you can imagine, changes to mortgage regulations are continuous, and it can be difficult to keep up with it on your own. Thankfully, some of the best mortgage solutions in Canada are right in your backyard of Calgary. Let’s look at some of those solutions and how they can save you time, money, and aggravation.
Typically, mortgage solutions are very complex. There are open mortgages and closed mortgages. Fixed rate mortgages and variable rate mortgages. What’s more, you can take out a 5 year mortgage or a 25 year mortgage. With all of these variables to consider, it is easy to see that selecting the right solution for your family is not going to be an easy process.
Why Select A 5 Year Mortgage Over a 25 Year Mortgage?
One of the decisions that you will have to make in selecting a mortgage is determining the length of your mortgage. A mortgage is essentially a long-term bank loan on the value of your home, that will allow you to purchase a home that is worth much more than you’re reasonably able to pay. But obviously, there are going to be major differences between a 5 year mortgage and a 25 year mortgage.
First of all, you have to consider your monthly cost. If you get a 5 year mortgage, then your payments are going to be much higher than they would be with a 10 year mortgage, a 15 year mortgage, or a 25 year mortgage. At the same time, you will be able to pay off your mortgage in a shorter period of time. But with a longer mortgage, you’ll have the benefit of much lower monthly payments, that could allow you to maintain or increase your standard of living.
When Selecting A Mortgage Isn’t An Easy Choice
More times than not, choosing a mortgage is a complex and confusing process. You need a seasoned professional in your corner, working to ensure that you get the mortgage terms that make the most sense for your family. Steven Crews is one such mortgage broker. Based in Calgary, Steven Crews has the experience and rapport with the financial institutions to ensure that you get the best mortgage possible. Call Steven Crews now at (403) 870- 2669.