Vancouver Mortgage Blog
When Bankers Go Bad
I normally have a private chuckle when I do a lot of analysis for a client and they turn around and say “I am going to take this to my bank and see what they can do.”
One most people don’t half 51% ownership and two well I will let a quote from the bank’s lawyers tell the story…
“For the banks, the biggest concern is not the award, but the judge’s refusal to accept their argument that they shouldn’t be subject to provincial consumer protection legislation because they operate under federal law.
All provinces have consumer protection legislation and other acts, but the banks historically have not felt the need to abide by them, said lawyers for the banks who declined to be identified.”
This quote is a result of a major defeat of the big bank’s in a class action suit. They have been found by the Supreme Court to be in violation of provincal consumer protection laws because they felt that those laws did not apply to them. Guess again…
Think about this, the banks have operated for years under the assumption the laws that bind mortgage brokers like me…don’t apply. Think about it. Really think about it…the protections you assumed were in place were ignored by the friendly banker across the table.
Vancouver mortgage insight is provided by Duncan Seward a registered Vancouver mortgage broker with TMG. He helps clients in North Vancouver, Surrey, Vancouver, Coquitlam, Maple Ridge, Burnaby and Langley with their mortgage questions. He is an expert in BC mortgage matters. You can check out regular mortgage updates at his blog page Vancouver Mortgage Rates.
House Prices Reduced
The writer is a Vancouver mortgage broker with experience in bad credit mortgage in Canada applications. He is familiar with most bad credit Canada mortgage lenders. Potential purchasers need not be worried if there credit difficulties in the past.
April was a bad month for Vancouver house prices. CMHC recorded another reduction in prices in the month of April. The reduction was due primarily to the reduction of house prices by new home sales.
Developers are slashing prices to get ahead of the market. Excess inventory in the market is forcing the developers to cut prices now. Otherwise they risk having to hold inventory until the market breaks and who knows when that will happen.
As I stated previously, even in the face of the real estate pimps, the market is due for further corrections. The vulture negotiating by buyers against the greed of the sellers will eventually result in a win by the buyer. They will control the level of pricing in this market as more and more Vancourites hold back on consumption.
Here is a quote from the NY Times on the three year slide of home prices in the U.S.
“Such long, steady housing price declines seem to defy both common sense and the traditional laws of economics, which assume that people act rationally and that markets are efficient. Why would a sensible person watch the value of his home fall for years, only to sell for a big loss? Why not sell early in the cycle? If people acted as the efficient-market theory says they should, prices would come down right away, not gradually over years, and these cycles would be much shorter.
But something is definitely different about real estate. Long declines do happen with some regularity. And despite the uptick last week in pending home sales and recent improvement in consumer confidence, we still appear to be in a continuing price decline.”
Don’t say it won’t happen here.
Vancouver mortgage insight is provided by Duncan Seward a registered Vancouver mortgage broker with TMG. He helps clients in North Vancouver, Surrey, Vancouver, Coquitlam, Maple Ridge, Burnaby and Langley with their mortgage questions. He is an expert in BC mortgage matters. You can check out regular mortgage updates at his blog page Vancouver Mortgage Rates.
Move that House Fast - Here’s How
The writer is a Vancouver mortgage broker in BC. Mortgages with bad credit is a specialty. Mortgage lenders use mortgage brokers to place business with clients.
As an investor who is in the business of flipping properties, you are not interested in carrying your inventory any longer than necessary. That means you should carefully study your area to determine which vicinities are selling with the fewest average number of days on the market. If you have lived in a particular area for a while, you are likely to already know which areas of town are hot and which are not. You do not have to rely solely on your intuition, however, as most real estate agents in your area will have access to the local Multiple Listing Service, or MLS.
They can provide you with objective data to support your analysis. Most real estate agents will gladly furnish this information to you free of charge. They are in the business of earning commissions by representing buyers and sellers, and to do this, they must also be able to provide information that will enable them to make a well informed decision. Sales agents know that if they can give you the facts you need that will support your decision to buy, it will bring them one step closer to earning a commission.
Vancouver mortgage insight is provided by Duncan Seward a registered Vancouver mortgage broker with TMG. He helps clients in North Vancouver, Surrey, Vancouver, Coquitlam, Maple Ridge, Burnaby and Langley with their mortgage questions. He is an expert in BC mortgage matters. You can check out regular mortgage updates at his blog page Vancouver Mortgage Rates.
Buy Sell Real Estate Decisions
The writer is a Vancouver mortgage broker in BC. Mortgages with bad credit is a specialty. Mortgage lenders use mortgage brokers to place business with clients.
For the Investor dealing with single-family houses, however, income is not as important because the resell value is based more on market comparables rather than the income it generates. This means that the buying public will evaluate the house you have for sale based on what is currently available in your immediate market. Buyers will compare and contrast your property to many others and will ultimately select the one that best fits their needs.
Their buying decisions will be based on factors such as the property’s location, its condition, the price at which it is being offered, its proximity to major streets and shopping areas, and the quality of schools in the area. In addition, many personal factors affect the buying decision, such as proximity to work, church, and Grandma and Grandpa’s house. Some factors that affect a buyer’s decision-making process fall outside the realm of your control, because not all buyers are searching for the same set of conditions that may compel them to choose one house over another.
Vancouver mortgage insight is provided by Duncan Seward a registered Vancouver mortgage broker with TMG. He helps clients in North Vancouver, Surrey, Vancouver, Coquitlam, Maple Ridge, Burnaby and Langley with their mortgage questions. He is an expert in BC mortgage matters. You can check out regular mortgage updates at his blog page Vancouver Mortgage Rates.
Dollar is Flying - What Will Be The Impact on the Vancouver Market
The writer is a mortgage broker in Vancouver. His area of specialty is bad credit mortgage applications. The writer is well versed with the bad credit mortgage lenders in Canada.
The Canadian dollar is gaining in strength against the American dollar. The concern is that Canada is an export based economy. The rising dollar will have a negative effect on business in the Canada.
What does this mean for the Vancouver real estate market. The impact will be significant. The BC economy is export based. The primary drivers of the economy, commodities, will be reduced due to the higher cost of the Canadian dollar.
What should you do if you want to jump into the current market. Plan carefully, I see another drop of at least 10 points in the housing market in the next 9-14 months.
Bargin in good faith but be firm. No seller wants to feel that they are being taken advantage of.
Vancouver mortgage insight is provided by Duncan Seward a registered Vancouver mortgage broker with TMG. He helps clients in North Vancouver, Surrey, Vancouver, Coquitlam, Maple Ridge, Burnaby and Langley with their mortgage questions. He is an expert in BC mortgage matters. You can check out regular mortgage updates at his blog page Vancouver Mortgage Rates.