Tim's Mortgage News / Rates and FAQ's

[killramos]

This quote is hidden because you are ignoring this member. Show Quote

My guess is that the costs of a lender willing to go second position is going to be much higher. But I have no idea.

This at least makes sense

[TimLacroix]

This quote is hidden because you are ignoring this member. Show Quote

Question for the masses on here,

Is it generally true that you cannot have a home equity line with a different lender than your base mortgage? I didn’t think this was the case.

Friend is trying to setup a HELOC but apparently his current lender doesn’t do HELOC’s and his broker is advising him he now can’t get a credit line without signing up for a new mortgage. Just trying to assess if he is getting fed a load of bull by his broker and what his options are.

Retail banking is awesome lol.

It is true that not all lenders have HELOC's however, a HELOC can be placed in 2nd position to a mortgage. There are exceptions to this but in general this can be done. It is good to note that not all HELOC lenders will go in 2nd position.

So while it is true, there are some limitations. I would be happy to discuss with your friend to confirm if there are options?
Tim
[email protected]

- - - Updated - - -

This quote is hidden because you are ignoring this member. Show Quote

My guess is that the costs of a lender willing to go second position is going to be much higher. But I have no idea.

Depends on options. HELOC is standard at Prime +0.50% to 1.00% behind another lender. If a mortgage in 2nd position, then yes it will be slightly higher depending on situation.

[killramos]

This quote is hidden because you are ignoring this member. Show Quote

It is true that not all lenders have HELOC's however, a HELOC can be placed in 2nd position to a mortgage. There are exceptions to this but in general this can be done. It is good to note that not all HELOC lenders will go in 2nd position.

So while it is true, there are some limitations. I would be happy to discuss with your friend to confirm if there are options?
Tim
[email protected]

- - - Updated - - -



Depends on options. HELOC is standard at Prime +0.50% to 1.00% behind another lender. If a mortgage in 2nd position, then yes it will be slightly higher depending on situation.

Thanks, this is generally what I thought. I passed along your information.

[ercchry]

There is a few things going on…

Not all lenders offer standalone LOCs, not all that offer them will go behind all lenders (especially collateral mortgages). To Busters point… if you do find one chances are it’s an alternative product and yes, rate is higher. Some are also technically secured Visas too (home trust and equitable bank)

Broker: HELOCs pay like shit, and some only pay if they use it… so could be a bit of both. They also don’t have access to products not in the broker channel… there might be a financial institution that can do this directly. I’d try simplii

[killramos]

Yea I can accept that it’s complicated but I wasn’t satisfied with the “you have a mortgage with a different lender so you can’t get a HELOC”.

Probably a high chance it doesn’t work out but I would prefer the full suite of options be explained rather than defaulting to a simple “no”

[TimLacroix]

Current Rates to Open Week Jan 15, 2024

Prime Rate - 7.20%

PROMOTIONS

PROMO 1 --> 3 Year ARM/VRM - 6.25% High Ratio Purchase, Switch Only, Owner Occupied, 90 Days to Close (some restrictions)

PROMO 2 --> 5 Year Fixed - 4.99% High Ratio Purchase, Switch Only, Owner Occupied, 120 Days to Close (some restrictions)

PROMO 3 --> 5 Year ARM/VRM - 6.15% High Ratio Purchase, Owner Occupied, 90-120 Days to Close (some restrictions)

-------

Full Feature Rates up to 120 day rate protection
Starting at:

2 Year Fixed - 6.04% * High Ratio
3 Year Fixed - 5.24% * High Ratio
4 Year Fixed - 5.24% * High Ratio

5 Year Fixed - 4.99% to 5.24% * High Ratio
5 Year Fixed - 5.14% to 5.44% * Conventional

5 Year ARM/VRM - 6.15% - 6.90%

HELOC Rates Prime +0.00 to +0.50%%

Call or PM for MORE "UnPublished" rates or other term information.

OAC, some terms and conditions may apply, rates subject to change without notice

[msommers]

Hey Tim, what factors go into 5-year fixed conventional pricing to have a range?

[TimLacroix]

Hi msommers, you're the first to ask - thank you. The range is primary based on 25 yr amortization vs 30 yr amortization and assumes a purchase or straight renewal.

A refinance would be considered at the higher rate level. That is as basic I can get in a thread but am available to explain over the phone to you or anyone that would like more info.

[riander5]

Tim when dafak are rates coming down? Please say sooner than later. Thanks

[msommers]

This quote is hidden because you are ignoring this member. Show Quote

Hi msommers, you're the first to ask - thank you. The range is primary based on 25 yr amortization vs 30 yr amortization and assumes a purchase or straight renewal.

A refinance would be considered at the higher rate level. That is as basic I can get in a thread but am available to explain over the phone to you or anyone that would like more info.

Thanks for the info, makes sense

[Tik-Tok]

This quote is hidden because you are ignoring this member. Show Quote

Tim when dafak are rates coming down? Please say sooner than later. Thanks

They've been coming down. Check Tims updates for the last two months.

I wouldn't expect to see them less then 4% again though, that's for sure.

[suntan]

This quote is hidden because you are ignoring this member. Show Quote

Tim when dafak are rates coming down? Please say sooner than later. Thanks

Inflation back up. Time for you to start Ubering.

[JRSC00LUDE]

One of our guys is up for renewal and stressing out. What's the best thing for a 1 or 2 year right now and is it worth locking in longer than that? Let's here the Beyond mtg advice.

[TimLacroix]

Current Rates to Open Week Jan 22, 2024

Prime Rate - 7.20%

PROMOTIONS

PROMO 1 --> 3 Year ARM/VRM - 6.25% High Ratio Purchase, Switch Only, Owner Occupied, 90 Days to Close (some restrictions)

PROMO 2 --> 5 Year Fixed - 4.99% High Ratio Purchase, Switch Only, Owner Occupied, 120 Days to Close (some restrictions)

PROMO 3 --> 5 Year ARM/VRM - 6.15% High Ratio Purchase, Owner Occupied, 90-120 Days to Close (some restrictions)

-------

Full Feature Rates up to 120 day rate protection
Starting at:

2 Year Fixed - 6.04% * High Ratio
3 Year Fixed - 5.24% * High Ratio
4 Year Fixed - 5.24% * High Ratio

5 Year Fixed - 4.99% to 5.24% * High Ratio
5 Year Fixed - 5.24% to 5.44% * Conventional

5 Year ARM/VRM - 6.15% - 6.90%

HELOC Rates Prime +0.00 to +0.50%%

Call or PM for MORE "UnPublished" rates or other term information.

OAC, some terms and conditions may apply, rates subject to change without notice

[ExtraSlow]

This quote is hidden because you are ignoring this member. Show Quote

One of our guys is up for renewal and stressing out. What's the best thing for a 1 or 2 year right now and is it worth locking in longer than that? Let's here the Beyond mtg advice.

Dang bro, he bought too much house with too little of his own money, that sounds rough. Thoughts and Prayers.

[JRSC00LUDE]

This quote is hidden because you are ignoring this member. Show Quote

Dang bro, he bought too much house with too little of his own money, that sounds rough. Thoughts and Prayers.

He really did.

[msommers]

Probably refinancing to get the payments as low as possible and even extending to a 30 year.

A shitload of extra interest but I guess if he wants the house that bad...

[riander5]

This quote is hidden because you are ignoring this member. Show Quote

Inflation back up. Time for you to start Ubering.

I guess my wife's vehicle would qualify. My beauty ol lexus might not make the age limit cut. Time to put the pedal to the metal!

[TimLacroix]

Current Rates to Open Week Jan 29, 2024

Prime Rate - 7.20%

PROMOTIONS

PROMO 1 --> 3 Year ARM/VRM - 6.25% High Ratio Purchase, Switch Only, Owner Occupied, 90 Days to Close (some restrictions)

PROMO 2 --> 5 Year Fixed - 5.09% High Ratio Purchase, Switch Only, Owner Occupied, 120 Days to Close (some restrictions)

PROMO 3 --> 5 Year ARM/VRM - 6.15% High Ratio Purchase, Owner Occupied, 90-120 Days to Close (some restrictions)

-------

Full Feature Rates up to 120 day rate protection
Starting at:

2 Year Fixed - 6.04% * High Ratio
3 Year Fixed - 5.14% * High Ratio
4 Year Fixed - 5.14% * High Ratio

5 Year Fixed - 4.99% to 5.24% * High Ratio
5 Year Fixed - 5.24% to 5.44% * Conventional

5 Year ARM/VRM - 6.15% - 6.90%

HELOC Rates Prime +0.00 to +0.50%%

Call or PM for MORE "UnPublished" rates or other term information.

OAC, some terms and conditions may apply, rates subject to change without notice

[jacky4566]

@TimLacroix any recent updates? Looking to buy something soon.