BEFORE YOU DO ANYTHING…
Make sure you’re working with an experienced professional mortgage planner. The largest financial transaction of your life is far too important to place into the hands of someone who isn’t capable of advising you properly and troubleshooting the issues that may arise along the way.
LET’S BEAT THE BANKS TOGETHER: CLICK HERE TO SET A MORTGAGE PLANNING CONSULT SO WE CAN ADVISE YOU PERSONALLY (FREE)
Use these 5 simple questions to qualify the next mortgage professional you’re thinking about using to refinance, buy, or sell.
QUESTION 1: What are mortgage interest rates based on? (Skill Testing)
The only correct answers are: 1) the Bank of Canada rate for variable mortgages and mortgage-backed securities, 2) specialized mortgage bonds or 3) Government of Canada Long Bonds for fixed rates.
A professional mortgage originator ought to know the basics of how your interest rate is determined. Do not work with a lender who has their eyes on the wrong indicators, or worse, has no idea what the indicators even are.
The best mortgage advisors have been extensively trained on how to constantly review these indicators. Therefore, you can be confident in their ability to suggest sound mortgage strategies up front and manage your mortgage for the long term.
QUESTION 2: How will rising interest rates in the coming years affect me if I take a fixed rate product? (Competence)
Most lenders will mistakenly answer that if your rates are locked in, then rising rates in the future will not affect you.
This is an incredibly dangerous thought process. What will happen to your payments at renewal if rates rise from their current emergency low levels to a more normal level that’s 2, 3 or 4% higher than today?
You’ll be in some serious trouble.
This is called “payment shock”, and it’s incredibly risky to your long-term financial health.
QUESTION 3: What strategy are you recommending to me and why?
The key here is the word “strategy”. If a lender cannot clearly articulate the
strategy behind their recommendations to you, then they are simply quoting a rate, and quite frankly, anyone can do that.
On the largest investment, you’ll make, be certain you’re dealing with someone who has a solid financial plan and is considering overall financial wellness for you.
QUESTION 4: What commitment are you giving me to personally manage my mortgage over the long term?
This is a critical question. Pay attention:
Many lenders, especially bank personnel, have no desire or ability to proactively
manage your mortgage over the long haul.
How can you take advantage of changing markets in the future if no one is
watching them for you?
Who will ensure you don’t miss an opportunity to renegotiate?
Especially, if you’re considering a variable rate mortgage, why let someone manage it who are not committed to keeping an eye on it?
QUESTION 5: How much will my penalty be if I decide to sell or refinance before my term is up?
The answer to this question is easily the most important answer we think you ought to consider when choosing your professional mortgage advisor.
Your bank representative or another mortgage professional not trained by this Academy will likely answer something like:
“That depends on the future interest rates and your mortgage balance.”
Don’t settle for this answer. Quality mortgage professionals should immediately show you the impact that the penalty can have on your mortgage, and identify the lenders that have the lowest penalties.
Penalties are so important, they have a such a huge impact on your financial situation, and usually, when you pay them you have no choice to wait until the end of your term.
WE’VE DONE THE HARD WORK FOR YOU – BENEFIT FROM A VERIFIED MORTGAGE PROFESSIONAL.
Who should you trust?
How do you know if the person you choose is competent?
Will they keep managing your mortgage as the market changes?
Are they “in it” for a quick sale?
The 5 mortgage secrets report was created to demonstrate our expertise and ability to save you money.
HERE’S THE BOTTOM LINE:
Most people shop for a mortgage and fixate on one thing…
“What is the absolute best rate I can get today?” THIS IS A MONUMENTAL MISTAKE.
You need to focus on a combination of rate + management strategies for the long haul, while
minimizing the risk of insanely expensive penalties.
I am going to keep showing you the details you need to know about your next mortgage, but if you want to skip to the finish line you can book a phone call and I can put my experience to work for you right away.