51250
51983
The-Mortgage-Gal

Collateral mortgage

Most of the time I recommend that my clients not take a collateral type mortgage product, as it locks you in with the current lender and at maturity the mortgage is costly to transfer to another lender. However there is a circumstance when having a collateral charge makes sense.

Recently one of our lenders introduced a new mortgage and line of credit product that is probably the best on the market. This new product has a super low introductory price until the end of October on both the 5-year fixed rate and the 5-year variable rate. The product also comes with a low rate on the line of credit portion. The best part is that the line of credit limit automatically increases with every dollar you put down on the mortgage portion. This is a great product for the following people:

1.  Real estate investors that want to buy and sell properties. The line of credit can be used for the entire purchase or just the down payment, and is fully open so when the property is sold it can be paid off in full without penalty.

2.  Those homeowners wishing to convert their non tax deductible mortgage to something that allows them to deduct investment costs such as investing in stocks and bonds.

3.  Homeowners who want to have money for renovations or major purchases down the road but don’t want to be paying interest on the money now.

 

If you have an existing mortgage and line of credit combination please call 250 862 1806 or email [email protected] to see if I can save you money on your collateral mortgage.



More The Mortgage Gal articles

About the Author

Laurie Baird and Tracy Head are mortgage brokers with Verico Complete Mortgage Services. Together they have over 45 years of experience in the mortgage industry.

As mortgage brokers, Laurie and Tracy spend time getting to know the people they work with and help them understand the mortgage process. They support their clients before, during, and after a home purchase.

Laurie and Tracy are able to offer their clients advice and options. With access to over 40 different lenders, Laurie and Tracy are able to match the needs of their clients with the right mortgage package. They work closely with their clients to find the right fit, and are around to provide support for years down the road!

Contact them at 250-862-1806 or visit:
http://www.okanaganmortgages.com

Visit Laurie's blog at: https://www.okanaganmortgages.com/blog



45352
The views expressed are strictly those of the author and not necessarily those of Castanet. Castanet does not warrant the contents.

Previous Stories



51183