Good day all;
I am sure most of you had heard about the change to the minimum down payment requirement
for the purchase of homes over $500,000.00 announced on December 11th.
Just to clarify; this increase to 10% down is only on the purchase amount over $500,000.00.
Purchase price of $600,000.00
Minimum down payment required of 5% on the first $500,000.00 = $25,000.00
Minimum down payment required of 10% on the remaining $100,000.00 = $10,000.00
Total minimum down payment required = $35,000.00
This new rule comes into effect on any mortgage applications submitted after Feb. 15/16.
Mortgage applications submitted prior to this date will be subject to the old rules of a
flat 5% down payment provided that the mortgage funds before July 1/16.
I am happy to report that in spite of oil prices and slowing economy, I have not been
working with an increased number of clients in financial trouble. Even though
residential construction in Regina has slowed, commercial projects like the stadium
and the new International Trade Centre at the exhibition grounds move forward with
high demand for labour.
However, much like a leaky dam, the time to address financial trouble is before
the dam bursts. If you or someone you know is facing income interruption and
subsequent credit issues, please get in touch with me right away. Mortgage options
for those with good credit are greatly varied. Once a few months of missed credit
payments go by, the mortgage financing options get fewer and what is left is higher
interest rates and less access to home equity to help bridge the gap in hard times.
Last year, DLC – Bittner Mortgages held a referral contest where each client and the
person who referred them to us received one entry each into a draw for a travel voucher.
We had a terrific response to this promotion and I would like to again thank all those
who referred others to me for their next mortgage. In December we drew the name
of the happy winner of the travel voucher who is one of our valued mortgage clients in Estevan.
We were so happy with the response that we are working on a similar promotion
for 2016 right now, so keep those referrals coming in.