About Central Okanagan, BC

...But it Works!

The following is a case study of a recent client who refinanced their mortgage through MortgageOpolis.

Case Study:

Clients purchased a home last year and currently has a mortgage of $150,000.00 at 5.90%, 5yr fixed term /15yr amortization and $650 bi-weekly payments.
We were able to obtain a lower rate of 4.39%, 4yr fixed term / 13yr - 8 month and by keeping the payment the same at $650... we were able to save the clients aprox. $22,000.00 worth of payments which included the pre payment penalty of $4400 and the closing costs of $1400... assuming the interest rate in 13 years, 8 months is 4.39% or greater.

More often than not, refinancing becomes a viable option when current interest rates are 1.5% or more below your existing interest rate. In the case study above, the clients also had another option to consider which would have reduced their bi-weekly payments by $40. A savings of $40 bi-weekly would amount to $4160 for the 4 year term. However, the outstanding balance on the new mortgage would be aprox. $2200 more than that of the existing mortgage. This would would net the clients a savings of $1940 over the next 4 years. Although both options offered a savings, the clients were comfortable with their current payment structure and chose to eliminate their mortgage sooner.

Another factor which makes refinancing favourable is debt consolidation. Large amounts of debt and payments can seem like an endless burden that never get paid off. Many consumer lending agencies will offer affordable payments, but, the result is basically the never never plan. Did you know? On average it will take a borrower 9 years to repay a credit card debt by just making the minimum payments? Astounding isn't it?

Having a qualified mortgage professional examine your situation, could save you thousands of dollars and help you pay off your mortgage sooner. In summary, if your mortgage interest rate is currently 5.79% or higher, or you have several consumer debts... it's time to refinance. MortgageOpolis offers clients no obligation proposals defining the best options for their clients.

- Dave Vrabic, MortgageOpolis

Canadian Mortgage Rates for January 27, 2009.
Courtesy of MortgageOpolis

Refinance your mortgage today to a lower rate and save thousands of dollars, of your hard earned money!


Prime Rate 3.00%
Variable Prime Plus .80%
1 year fixed term 3.50%
2 year fixed term 4.29%
3 year fixed term 4.29%
4 year fixed term 4.29%
5 year fixed term 4.39%
6 year 5% cash back 6.75%
10 year fixed term 6.35%


Rates subject to change without notice.

Steven Harper and his minority Conservative Government announced billions in tax credits for Canadians today! Finance Minister Jim Flaherty gave Canadians some good news as he went over the Federal Government's plan to kick start the stalled out economy. The proposed tax cuts and relief are aimed at getting consumer spending back up and instilling some confidence in the future.

Home owners looking to do some much needed renovations have a bit more incentive as the government has promised up to $1,350 in tax credits for home improvements between $1,000 and $10,000 made between Jan. 27, 2009, and Feb. 1, 2010. Perhaps, the best news of the day was the changes to raise the upper limits on the two lowest income tax brackets. The new tax ceiling for the 15% bracket would be $40,726, and for the 22% bracket a change to $81,452.

It is a good start but with a minority government currently in power this is far from a done deal. At any time the official opposition parties could push for a non-confidence vote and force Canadians back to the voting poles. Over the next couple of days we should see exactly where the opposition parties stand on the new proposed federal budget for 2009. Full CBC News Story

Sincerely,

Jason Neumann

Canadian Mortgage Rates for January 26, 2009.

Provided by: MortgageOpolis

The 1 year fixed rates has dropped from 3.89% to 3.50%

Rates subject to change without notice.

See more rates at MortgageOpolis

Kelowna residents are amongst the thirstiest in the entire world!

Water consumption is a hot topic and recently it has jumped into the headlines here in Kelowna,BC. Although some progress on reducing water consumption locally has been made, those efforts are not nearly enough! The following article by Castanet.net is as alarming as it is sobering. It got me to thinking as to how I use water on a daily basis and where I could cut back etc.

Here are some suggestions on how to reduce your daily consumption:

1. Wash dishes in the sink by hand rather than using a dishwasher.
2. Fix any leaky faucets immediately as they are a prime contributor to wasting water.
3. Wash your car a little less I don't think it will mind.
4. Water your lawn on the days that the city has deemed appropriate.
5. When shaving don't leave the water running, fill the sink and rinse as needed.

The Government of Canada has a good article on water conservation on their website as well. If we all make a little effort we really can make a difference. Water truly is our most precious resource because without it there is no life!

Sincerely,

Jason Neumann