Homes - Interest Rates

[Speed_RaSiR]

As the rates are at an all time low do you think now is a good time to buy real estate? I can't decide because, if the rates are low but the homes are expensive, when is the right time to buy?

Please only usefull replies, I dont want guesses. Does anyone have any experience with Real Estate?

[RC-Cola]

With Alberta and especially Calgary continuing it's growth now is a good time to buy property. Predictions in the markets is that with the increasing strength in our dollar and the Canada's position in the global economy that our interest rates will continue to increase over the next two to three years. If you have enough for a down payment you should buy ASAP.

[trendkill]

calgary home prices will continue to get higher. so yea, if u have the $$$ now u beter be getting ya ass in gear

[benyl]

Originally posted by RC-Cola
With Alberta and especially Calgary continuing it's growth now is a good time to buy property. Predictions in the markets is that with the increasing strength in our dollar and the Canada's position in the global economy that our interest rates will continue to increase over the next two to three years. If you have enough for a down payment you should buy ASAP.

Um no. There was a report out last week which stated that interest rates are likely to go before year end because the economy is in fact stagnant. The dollar took a near 1 cent blow.

It is always a good time to buy if you can afford the payments. Real Estate will always appreciate or stay the same. The only time it goes down is if you have some sort of contamination or a new road is built in front of your house. Even then, over time, it will appreciate.

[benyl]

although...

http://www.investorcanada.com/interview.php?contentID=1456

[Khyron]

We bought a new house in Sept - we were going to wait, but the price was going up 1000+ bucks every month. Hell, our house went up 15,000 in value before it was even finished. Get in on it as soon as you can - you'll always pay more than the same house last year- but it's way less than it will be next year...

(Just don't forget utilities, property taxes, etc when figuring out what monthly payment you can afford).

Khyron

[B17a]

Originally posted by RC-Cola
With Alberta and especially Calgary continuing it's growth now is a good time to buy property. Predictions in the markets is that with the increasing strength in our dollar and the Canada's position in the global economy that our interest rates will continue to increase over the next two to three years. If you have enough for a down payment you should buy ASAP.

I'm going to have to disagree, I think our economy has plateaued right now, our economy just hasn't been growing the past few months as expected. Commodity prices have levelled out, unemployment has levelled out, growth in general has levelled out. The main reason for the interest rate hikes over the past 12 months have been to pace inflation, that itself seems to be tappering off, I think a good chunk of the inflation numbers were due to high commodity (read: gas prices in the winter). Now that demand has slowed (for natural gas since its summer), people are realizing that, hey, the economy isn't booming that much, auto sector is in the toilet, manufacturing is blah, oil and gas is quiet until the winter...... On top of that, as much as people tout a strong Cdn dollar, its not that great other than for us travelling, a good part of our economy is based on exports to the US, and paying expenses in Cdn and collecting a lower USD isn't such a good proposition. You will see the Cdn economy flattening in the short run and interest rates holding steady. That's my call!:D

[cocoabrova]

Interest rates are pretty low, compared to when we bought almost 2yrs. ago..... With the prices of new homes going up, it would make sense to buy right now. As for a down payment, first-time homebuyers are allowed to put down a max. of 5% down on a new home, and are also able to use RRSP's towards the down payment. The model we bought has gone up approx. $35K in a year and 8 mths., not including the other upgrades we have:thumbsup:

[B17a]

Originally posted by cocoabrova
Interest rates are pretty low, compared to when we bought almost 2yrs. ago..... With the prices of new homes going up, it would make sense to buy right now. As for a down payment, first-time homebuyers are allowed to put down a max. of 5% down on a new home, and are also able to use RRSP's towards the down payment. The model we bought has gone up approx. $35K in a year and 8 mths., not including the other upgrades we have:thumbsup:

:werd: I've seen a nice bump too in my place, good if I were selling, bad in that taxes are higher. So you end up house rich but cash poor! :rolleyes:

[cocoabrova]

Originally posted by B17a


:werd: I've seen a nice bump too in my place, good if I were selling, bad in that taxes are higher.:rolleyes:
Yeah, you would tend to think that property taxes would be relative to rising house/land prices.......But we are actually paying slightly less for it now, than when we FIRST bought:dunno:

[FiveFreshFish]

No time like the present.

[TypeRgurl]

I just bought a house last month, I advise to find one now before the interest rates go up...they are at an incredible low right now and they are going to go up to about 8-10% so get going buddy or you'll regret it

[FiveFreshFish]

Originally posted by TypeRgurl
...they are going to go up to about 8-10%...

We won't see jumps to those levels in the economic state we're in now.

[ZorroAMG]

Originally posted by B17a


I'm going to have to disagree, I think our economy has plateaued right now, our economy just hasn't been growing the past few months as expected.

As a mortgage specialist with the Royal Bank, I am going to disagree with you. There is continual growth in Alberta namely Calgary and Edmonton and although it is not at the same rate as the last 2 years, it is still growing significantly. There are still 800 people moving to Calgary/ month, hardly making that a stagnant market.... The interest rates have been dropping since end of April and the economist predictions of increased rates by year end are right on track. The decrease recently is a mere dip in an increasing market.

I would definitely be buying right now and locking in for 3-5 yrs is a smart move for us younger investors. And for the record, (here comes a shameless plug ;) ) i am giving ultra-low rates right now for 3,4,5 and 7 yr rates. PM me if you are serious about buying and want a great rate from someone who isn't old and crusty and who actually cares about your home investment. I know the Real Estate market very well and have been in the business for 5 yrs.

And NO THE RATES ARE NOT GOING TO 8-10%.

[E36M3]

I'd start to re-evaluate what the purpose of a home is. If you are going to be in a home long term, then it is always a great time to buy. I would recommend waiting until you can afford the house that you will be happy in for the rest of your life, instead of taking the traditional route of buying a 'starter' home. Closing costs, moving and real estate agent fees (if you decide to go with one) are incredibly expensive, and it is a good idea to minimize the number of times you move.

Also, remember that your home is a *liability*. Don't buy more than you can afford, and try to remember all the hidden costs. Home owners insurance, maintainence, closing costs, real estate fees, etc. are all killer. Property taxes are also another big expense that some people overlook.

Having said all that, owning a home is great.. but a lot of work. Make sure that the house you choose is compatible with your lifestyle.

I lucked out and bought at a good time, and my house has appreciated 20% in the last year.. that isn't in Calgary though.

I think that Calgary is a great market, and definitely undervalued. If you are in it for the long term, you could do worse things with your money.

From a financial planning perspective, I would make sure that you have a 3 month emergency fund + down payment + closing costs available, and that your monthly mortgage + PMI (if applicable) + property taxes + estimated maintenance fees are compatible with your income.


Originally posted by Speed_RaSiR
As the rates are at an all time low do you think now is a good time to buy real estate? I can't decide because, if the rates are low but the homes are expensive, when is the right time to buy?

Please only usefull replies, I dont want guesses. Does anyone have any experience with Real Estate?

[04blackMAX]

dood, buy asap, my wife and i bought a new place in november, it will be done in august, the house has made about 16k already, but asap, cause prices keep going up, as far as mortage payments, hella lot cheaper then rent man, on about 200k mortage, your looking about 1150 a month plus your property taxes!!

good luck

look in the SE, growing so fast

[5gluder]

:werd: It's a great time to buy, i actually bought a house today!!! :clap:

[04blackMAX]

really, where did you buy man??

[5gluder]

Bought a house in Falconridge, as a rental property:D

[max_boost]

Originally posted by 5gluder
Bought a house in Falconridge, as a rental property:D Are you still living at home?

Cause that is what I am doing right now, extra cash and still no expenses! Well, the car :D

[04blackMAX]

so u guys bought a place, and are renting it out and still living with mom and dad?

[max_boost]

Originally posted by vsmSIR
so u guys bought a place, and are renting it out and still living with mom and dad? Yes, I have a 1000square feet walkout basement completely renovated all to myself with a big screen TV, computer, sofa, fireplace, the works. And my parents own a restaurant so there is food on the table 24-7. So with that said, I am saving like a madd man cause I have no expenses. When I move out in 3-4 years, $$$+equity.....I'll be living like you vsm!!! Better than some of my buddies who have no car, and a $30K student loan.....looks like I'm a few years ahead of them?:dunno:

I can move out anytime because I have the money to, but why? There is no need to, I get along with my parents just fine. I mean, if I hated them, that would at least give me a reason. lol

[04blackMAX]

man thats cool...i didnt want a floor plan just wondering, wish i had the cash when i was your age to do that

[max_boost]

Originally posted by vsmSIR
man thats cool...i didnt want a floor plan just wondering, wish i had the cash when i was your age to do that Oops, my bad, got carried away :nut: Like rage2 once said, take advantage of your parents if you can!!! haha j/k

[Ed the SOHC]

Originally posted by Speed_RaSiR
As the rates are at an all time low do you think now is a good time to buy real estate? I can't decide because, if the rates are low but the homes are expensive, when is the right time to buy?

Please only usefull replies, I dont want guesses. Does anyone have any experience with Real Estate?

I think it's a good time to buy if you flip it or live in it.


Originally posted by 5gluder
:werd: It's a great time to buy, i actually bought a house today!!! :clap:

Congrats!

[Ed the SOHC]

Originally posted by ZorroAMG


I would definitely be buying right now and locking in for 3-5 yrs is a smart move for us younger investors. And for the record, (here comes a shameless plug ;) ) i am giving ultra-low rates right now for 3,4,5 and 7 yr rates. PM me if you are serious about buying and want a great rate from someone who isn't old and crusty and who actually cares about your home investment. I know the Real Estate market very well and have been in the business for 5 yrs.

And NO THE RATES ARE NOT GOING TO 8-10%.

Actually, I have a better idea. How about paying off your home in 10-12 years and writing part of your mortgage off too ;)

[Speed_RaSiR]

Thanks peeps, where are the best\cheapest\non ghetto areas of Calgary to live in? I heard you can get good homes in the Tuscany area?

[Speed_RaSiR]

And what about Condo's? do they appreciate as much as a house? can you sell a Condo easily? Is a condo a good investment?

[B17a]

Originally posted by Speed_RaSiR
And what about Condo's? do they appreciate as much as a house? can you sell a Condo easily? Is a condo a good investment?

Depends, location location location.

[Mikaldor]

Originally posted by Speed_RaSiR
And what about Condo's? do they appreciate as much as a house? can you sell a Condo easily? Is a condo a good investment?

Condo's have a couple of additional variables to consider when you think of them as a long term place to live or as an investment. First all the regular house stuff applies, location, desirability, condition, upgrades etc.

Then you have all the condo specifics to think about. Condo fees, neighbors, construction (for sound deadening), condo board and reserve fund. That Condo fee is a monthly hit to your pocketbook that can be quite severe. It's a balancing act, since condo's with high fees tend to be less desirable, hence they appreciate less. And a good reserve fund is essential, since it is the emergancy pot that all exterior repairs and maintanence comes from. If there is not enough money in the fund and something happens that needs to be fixed, you could get slapped with a special charge from the condo board that you won't like.

Pro's: No exterior maintanence to worry about
Con's: less space than a house, especially for cars and stuff
Draw: Location still determines desirability and cost, condo fee vs exterior maintanence.

[RC-Cola]

You might want to consider a Townhouse as well. You kind of get the best of both worlds, they are large than a condo but they're cheaper than a house. You typically get your own garage, your neihbor (spelling) won't bother you as much and it's my understanding that they resell a little better than a condo.

With the condo market I think Calgary's market is getting a little too saturated. There are a lot of new young people in the market that are looking to buy a small (cheaper) place right now. However, in 3-5 years they will be looking to upgrade to something a little larger as they get married/starting having kids. Which means they will be looking for a house or a townhouse. I just have a feel that the market on condos is going fall big time in the next couple of years.

[E36M3]

If I were you, I would never move out. Accumulating assets without increasing expenses is a sure way to get wealthy. If I still lived in Calgary, I would definitely be living with my parents. As long as you have enough privacy and everything, I think your plan is very smart.


Originally posted by max_boost
Yes, I have a 1000square feet walkout basement completely renovated all to myself with a big screen TV, computer, sofa, fireplace, the works. And my parents own a restaurant so there is food on the table 24-7. So with that said, I am saving like a madd man cause I have no expenses. When I move out in 3-4 years, $$$+equity.....I'll be living like you vsm!!! Better than some of my buddies who have no car, and a $30K student loan.....looks like I'm a few years ahead of them?:dunno:

I can move out anytime because I have the money to, but why? There is no need to, I get along with my parents just fine. I mean, if I hated them, that would at least give me a reason. lol

[Ben]

We built out here in McKenzie Lake (Deep South East) back in November of 94, Total price with Lot I believe was 227,500. At the time the market was not that active as compared to say 3 years ago, but it was better than it had been.

Few years after we moved in the house prices seemed to just keep going up.

Realters were calling asking if we wanted to sell, all that good stuff.

Latest City Property Tax Puts us at 363500 (keep in mind the Property assessment is generally LOWER than what you can get for your home, our neighbours are getting anywhere from 15-40k more than what their assessment stated just because of the demand)

Thats a 136000 appreciation in 8 years, or 17k per annum.

Houses are a great market to deal with in Calgary because of the almost garunteed fact that the dwelling will appreciate, be happy you dont live in Manitoba or the Maritimes

On a 5 year mortgage you are looking at around 5 and three quarter percent which is damn not bad! People in our area have been moving in for like half a year and then selling cause they were offered 30k more for their home than what they bought if for some months back.

[Khyron]

We bought a cheap condo for under 90 grand by the Southland leisure center - we were paying 550 (15 year morgage) bucks a month + 100 for condo fees which is less than most apartments have for rent. After 3 years, we sold the place for almost 20 more than paid which basically means we were living there for free and had a big dp for a nice house. If you are renting, a condo is a good stepping stone.

I'd say the only thing to REALLY watch out for is if the condo fees are going to raise. Nothing sucks more than buying a condo with 100 buck/month fees then having them be jacked to something insane like 300/month (happened to a friend). Very hard to sell if that happens.

Khyron

[04blackMAX]

iam bulding in new brighton man, and its gonna be $$ there tuscany sucks there isnt really anyting there, and that one lil entrance to get in and out of, IMO far SE is the best place to go

[ZorroAMG]

Ben, my 5 yr fixed is 4.54 and my 4 yr fixed is 4.24. If anyone is interested in a mortgage, PM me. I am trying to build a client base and I am offering the lowest RBC can give. No BS.

[Khyron]

Zorro - those rates sound damn sharp - I signed at 5.3 on a 5 year note. Royal Bank wanted something insane like 8 or 9 percent, and I didn't have time to haggle with them.

Khyron

[Ben]

Originally posted by ZorroAMG
Ben, my 5 yr fixed is 4.54 and my 4 yr fixed is 4.24. If anyone is interested in a mortgage, PM me. I am trying to build a client base and I am offering the lowest RBC can give. No BS.


I'll get back to you, renewal is soon ;)

[ZorroAMG]

Originally posted by Khyron
Zorro - those rates sound damn sharp - I signed at 5.3 on a 5 year note. Royal Bank wanted something insane like 8 or 9 percent, and I didn't have time to haggle with them.

Khyron

When did you get your mortgage and who from? That is very unlikely that ANY bank, let alone RBC, would be offering at 3-4% difference. If you want to PM me your particulars, i could see what I can do to help you out :)

[Khyron]

Already signed and done - was with TD. Bank rates have always been that way, ask over the phone get some retarded rate, if you actually haggle and fight they go down to around prime.

I'm sure if I'd done the same ammount of legwork with both banks they would have been close.

Edit: Damn, I'd save almost 90 bucks a month with your rate, but I can't justify the penalty.

Khyron

[bksze]

My 0.02

The majority of the people on this board will not be purchasing a house as a primary investment. That being the case, if you need a place to live, now is as good a time as any to buy your first place. The sooner you switch your rent payments to mortgage payments the better, no matter how much you have to scrimp and save.

For those that are looking to purchase houses as an investment, in order to maximize your ROI, I would definitely suggest coming up with the biggest downpayment that you can possibly muster and rather than try to rent out the house, flip it by letting it assume for low. Renting is a good way to get your mortgage paid off but after attempts at getting a good residual income base purely from rent, I realise that for ROI, it's a lot more efficient to flip houses as opposed to renting houses out UNLESS you own it.

Feel free to correct me as I have just entered the market of real estate trading haha and may not know all the loopholes out there.

[5gluder]

Originally posted by bksze
For those that are looking to purchase houses as an investment, in order to maximize your ROI, I would definitely suggest coming up with the biggest downpayment that you can possibly muster and rather than try to rent out the house, flip it by letting it assume for low. Renting is a good way to get your mortgage paid off but after attempts at getting a good residual income base purely from rent, I realise that for ROI, it's a lot more efficient to flip houses as opposed to renting houses out UNLESS you own it.


That would work if you put more than 25% as a down payment. Anything less would require insurance from the CHMC. Which means if you sell a CHMC insured house with an assumable mortgage, you can actually be held liable if the new owners don't pay. That's how my lawyer explained it to me:dunno:

[ZorroAMG]

Now if you are planning to flip, the single most profitable ( and simple) is to buy condos or townhouses on pre-sale. Hold it for 75% of the time it takes to build the complex and sell with a 10-20K lift. That way, you don't even put a mortgage in place. and if you are in tight enough with the developer, you don't even need to qualify for a mortgage, just have 5 or 10% down to "hold" it and when the building is near completion, the prices are GOING to rise because people can now physically see the building and walk through the space. Demand for the project rises, hence the lift in prices. You get lower prices on pre-sale due to the risk of buying on a drawing.

[Speed_RaSiR]

What about building versus buying a built home? Ive heard some horror stories about building a home. Which is the better method? Is it better to buy like a few year old house becuase its already setup and working properly? Financially which is the better of the two???

BTW you guys all rule :thumbsup:

[B17a]

Originally posted by Speed_RaSiR
What about building versus buying a built home? Ive heard some horror stories about building a home. Which is the better method? Is it better to buy like a few year old house becuase its already setup and working properly? Financially which is the better of the two???

BTW you guys all rule :thumbsup:

If you're building (which I did last year), make sure you do your homework!! Meaning find out everything there is to know from suppliers, to how finishing work is done, to structural stuff. Do this all before you commit to a builder. This will a) make the process smoother for you b) prevent you from getting bent over by some shady builder and c) save you tons of aggravation! Lastly, you need to be patient and very detail oriented. Go to the site every couple days if not every day and stay on top of the builder if they mess up, otherwise you're SOL. Building isn't for everyone but I enjoyed it.:D

[B17a]

Originally posted by Speed_RaSiR
What about building versus buying a built home? Ive heard some horror stories about building a home. Which is the better method? Is it better to buy like a few year old house becuase its already setup and working properly? Financially which is the better of the two???

BTW you guys all rule :thumbsup:

About the financial side, usually I think you'll see more appreciation from a new house versus say a 10 year old house. However depending on what neighborhood you're in that could vary. It's a tough call but I think generally new houses will give you a bigger lift. You also need to factor in costs between old and new such as landscaping versus renovations. Lots to consider and weigh.

[ZorroAMG]

The thing about building a home is, for the most part, new homes are being built in subdivisions and new areas, where they take a few years to mature and be fully serviced. That is why new homes usually take a while to increase in value compared to condos. When one condo is done, anywhere from 10 to 120 are done, immediately creating a "community" giving comparables to an area and allowing for price increases to occur.

[bksze]

Problem with buying a condo is that the building time takes forever. Usually presale is done a year and a half to 2 years before the condo is finished, and that's assuming the condo gets built on schedule. I guess regardless, there are pros and cons to both. I think buying a condo to live in would be sweet but I'd hate to rent out a condo due to the addtional fees attached to it. Not enough money goes back into your own pocket.

[HRD2PLZ]

here goes:

One of the mortgage brokers I work with faxed us a sheet to the office on Monday-
3.99% 5 year closed mortgage :eek:

The real estate market is slowing down right now, it is definately a buyers market. There is about 50% more active listings on the market right now compared to last year. Many listings are just sitting there (I know, I have 6 listings right now). A lot of us realtors think the market is going to drop off a bit since its pretty much at a peak. With interest rates so low, now is a good time to buy, add to that the days on market for the average listing (60 ish) most sellers are really motivated to sell. I sold one of my listings in McKenzie for $50,000 less than asking price on Sunday. It listed for $619,900 and it sold for $570,000 after almost 60 days on market.

As for condos...on average, condos take longer to sell then a residential detached home (single family). I'm not saying that some don't sell over night either. It totally depends on the location, price, size, etc the same as it would for a home.

If anyone is looking for a little more "specialized" information email me at [email protected] or call me at 225-5000. I'd be willing to give a Beyond.ca discount on real estate fees to any of you :)

[HRD2PLZ]

Originally posted by B17a


About the financial side, usually I think you'll see more appreciation from a new house versus say a 10 year old house. However depending on what neighborhood you're in that could vary. It's a tough call but I think generally new houses will give you a bigger lift. You also need to factor in costs between old and new such as landscaping versus renovations. Lots to consider and weigh.

Neighbourhood is a huge factor. Most mature areas will make more money than a new area, especially when new homes are still being built. If you are selling a home in a brand new area you have to price well because you are competing against builders. Most people would rather build their own home in a new area as opposed to buying a pre-owned. I am working with lots of people who have made really good money in ~10 year old areas by mildly updating the house (paint, flooring, counterrops, appliances).
Once a new area has built up though, you will start to see quite a bit more appreciation in property value.

[04blackMAX]

3.99% jeeezzzus, i want in on that, this is actually a very informative thread, thanks guys, thought i knew all there was to know about a mortage, but guess not, for me, buying a new house in a new area is great, u get in the area before the market value hits its prime, for example, arbour lake, 10 years ago those places where in the 180-190's now your licjy to find a 2000 sq foot place for under 270-300, i chose new brighton, just cause the fact that its a newer area, great access to down town, constint bulding, new schools, as apposed to buying in tuscant, where the access suks, there isnt really ant schools around, i dont want my kid going anywhere near bowness hahaha, anyway, look into new brighton or copperfield...iam loving it out there

[Speed_RaSiR]

Originally posted by HRD2PLZ


Neighbourhood is a huge factor. Most mature areas will make more money than a new area, especially when new homes are still being built. If you are selling a home in a brand new area you have to price well because you are competing against builders. Most people would rather build their own home in a new area as opposed to buying a pre-owned. I am working with lots of people who have made really good money in ~10 year old areas by mildly updating the house (paint, flooring, counterrops, appliances).
Once a new area has built up though, you will start to see quite a bit more appreciation in property value.

What are some of the best\cheapest places to build\buy in Calgary? What are the bad areas?

[sml]

Well, I wouldn't exactly call New Brighton and copperfield a "steal of a deal"... But I would give it credit for being a very cool and neat little community. It has a very old 70s style with the little houses with little front porches so close to each other and the traffic circle and the fake lake... I think it's one of the better looking shaped communities in Calgary. BUT... what I don't like about this community is besides the fact that it's in the boonies WAY WAY WAY too far south on Deerfoot, is that the houses there are dirt cheap. Yes, if you want an affordable house, that's a great community to be in. But this community, I believe, is gonna go down the same road as hiddenvalley... It was cheap lots to start, then everyone and their dog moved in, then the whole community was filled with "cheap" young people, then you get high crime rates. You can disagree with me, but that's what happened. Now, I didn't say the value of your house won't appreciate, actually it will and probably be a lot too, just like every other community out there. But, you will soon feel like you're living in the "new" getto... IMO, westside is the way to go. elbow valley, aspen estate, new discovery will pull the real estate to crazy high levels in those areas... My opinion and only my opinion...

[HRD2PLZ]

Originally posted by Speed_RaSiR


What are some of the best\cheapest places to build\buy in Calgary? What are the bad areas?

Its all a matter of opinion. Lots of homes in areas like Bonavista, Sundance, Midnapore, Canyon Meadows, etc can usually be bought for a fair price, then fixed up a little bit and sold about a year later for a pretty good profit. I'm working with a guy right now that will make $40K all said and done by rennovating his house in McKenzie.
New areas are great if you plan on staying for a few years, but if your trying to "flip" houses in a new area, good luck. I work mainly in the South and areas like New Brighton, Copperfield, Evergreen, etc are really getting built up with good shopping close by. Close access to amenities like that is always a plus for resale. I wouldn't really say there is any "bad" areas...there is places that I personally wouldn't buy, but the next person would be completely happy there, so again, its a matter of personal choice :)

[HRD2PLZ]

Originally posted by sml
elbow valley, aspen estate, new discovery will pull the real estate to crazy high levels in those areas... My opinion and only my opinion...

Elbow Valley is definately not the place to be right now, a good portion of the homes are for sale out there right now. But, I think once the area gets built up a little more, it will definately be a great area for resale. Another thing is homes in that price range don't tend to sell as quick, for obvious reasons. Give most new areas a couple of years to develop and your good to go :thumbsup:

[Khyron]

We were looking at lots in Cougar Ridge, and some of the other W areas - then went to Copperfield and Evergreen to compare - the lot prices only differed by about 5 grand. The only catch to the closer areas was the minimum square footage of the house to be built.

The "Homes starting from..." - add 20 grand to that, and budget for that cost.

BTW - anyone know roughly what the penalty is for breaking a mortgage early? That 3.99 sounds real nice.
:hitit:

Khyron

[ZorroAMG]

Your penalty depends on a few factors: How long you have left, which institution..etc.. They take either 3 months interest or the IRD (interest rate differential) whichever is GREATER. Phone your bank, tell them you are sellin your house and want a new mortgage with them but need the buyout penalty for your budget. DO NOT tell them you are thinking of switching FI's because they will not be so easy to borrow from in the future. They will give you an exact penalty price. Once you get that price, PM me and I will let you know if switching to my rate ( or any other rate for that matter) is advantageous to your situation :)