#5428190 - 03/11/11 10:07 AM
Mortgages: Bank vs. Broker
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Risk E. Business, esq.
Provides a Great Work Environment.
Post Master Supreme
Registered: 05/17/10
Posts: 46502
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Just wondering, what are the pros and cons? Any issues with using brokers? They seem to offer much better rates than banks.
Got offered 2.05% open variable (5 year).
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#5428199 - 03/11/11 10:11 AM
Re: Mortgages: Bank vs. Broker
[Re: Hatorade]
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Risk E. Business, esq.
Provides a Great Work Environment.
Post Master Supreme
Registered: 05/17/10
Posts: 46502
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no issues with brokers....all they really do is "shop" around for the best rate for you.
2.05% is a good deal given todays rates. I'm up at 2.3% variable now.
Yea, TD offered me 2.3%, I b!tched and they said they can MAYBE do 2.2%, but can't guarantee it. WTF?
I've just heard there are some hidden fees...not sure wtf?
As far as closing costs:
Aside from lawyer/inspection/land transfer tax, what else is there?
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#5428303 - 03/11/11 11:01 AM
Re: Mortgages: Bank vs. Broker
[Re: Risk E. Business, esq.]
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CivicGSR50
Poster
Registered: 01/14/10
Posts: 243
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- Moving fees, since you are the u-haul expert, you get the jist
- Inspection, Lawyer, Land Transfer tax * 2 for M PC
- Enbridge transfer of gas account, Direct energy transfer of water heater account (may have administration fees attached)
- $200 for supplies & new garage
- Insurance on the house, unless its a condo, then you insure personal property
- WETT certificate if the house has a wood burning fireplace
- Go for a drainage inspection if its an old house with mature trees on the lot, PM me if you need a referral.
- Cable transfer, Phone/Internet hookup, Water bill transfer, Electric Bill transfer, Tax Bill Transfer, Taxes unless you combine with mortgage. (May have administration fees attached)
- 2.05 is decent, is that Prime minus 0.?%
- 1-2% of total house value/per year is available in cash for house maintenance or emergency repairs. Tacking on an extra $5K to your mortgage right now is peanuts, to have that cash available to you if something major breaks.
- PM me if you need a contact for a lawyer, I've got one up in da 'bridge, and a mortgage broker.
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#5429378 - 03/11/11 05:19 PM
Re: Mortgages: Bank vs. Broker
[Re: CivicGSR50]
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The Postman
A-List Member also The Man
Post Master Sr
Registered: 02/13/02
Posts: 5215
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Mine is 2.3 variable with ING. At the time, 6 months ago, they had the lowest rates. We used a Broker, based out in Brampton. She was great, so send me a PM if you want her contact info.
I think if you are a first time buyer, there is no land transfer tax. Our lawyer paid ours, or you get reimbersed back later for it. Closing costs can also include alot of smaller fees for the bill transfers and maybe depsoits for the services if you've never had them before.
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#5429523 - 03/11/11 06:43 PM
Re: Mortgages: Bank vs. Broker
[Re: The Postman]
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loudsubz
Post Master Supreme
Registered: 08/16/01
Posts: 11337
Loc: Ontario, Canada
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I used Ron Butler from
http://www.butlermortgage.ca/
Skip the inspection, you should know enough to see for yourself if there is issues. The inspection guys are just going to put it all together in a neat little binder that you will never look at anyways.
Fuck the rest, you have ingenuity like myself and can do everything on the cheap 
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#5429845 - 03/11/11 10:15 PM
Re: Mortgages: Bank vs. Broker
[Re: robbbby]
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loudsubz
Post Master Supreme
Registered: 08/16/01
Posts: 11337
Loc: Ontario, Canada
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buying a house is a big investment, it's stupid to skimp on the $350 for an inspector even if you think you know it all. Unless you know what you're doing there is a lot to look for when it comes to plumbing, electrical, hvac, foundation, etc. Not to mention tools to scan for moisture in a finished basement cost $$. You'd kick yourself down the road if you realized after you moved in that you have moisture getting through.
And it's dumb to not put inspection as a condition, even if you don't plan on having one. At least you have an out if you change your mind or something happens.
You got to be kidding me, your falling for this inspection BS.
We had one done by a reputable company and he couldn't even see everything that was behind the walls until we started doing some work. Everything he looked at he just looked at visually, he couldn't get real thorough without taking things apart etc, which is what all inspectors will do.
Even some of the visuals I was kind of suspect on as I found a few problems with the floor joist that were in plain sight in the basement that he missed, so YMMV.
Christ for $350 pay me and I will say "Yep this looks ok ----- thanks!!!"
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#5429985 - 03/12/11 12:46 AM
Re: Mortgages: Bank vs. Broker
[Re: loudsubz]
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robbbby
master electrician
Post Master Supreme
Registered: 01/23/02
Posts: 15430
Loc: Canada
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buying a house is a big investment, it's stupid to skimp on the $350 for an inspector even if you think you know it all. Unless you know what you're doing there is a lot to look for when it comes to plumbing, electrical, hvac, foundation, etc. Not to mention tools to scan for moisture in a finished basement cost $$. You'd kick yourself down the road if you realized after you moved in that you have moisture getting through.
And it's dumb to not put inspection as a condition, even if you don't plan on having one. At least you have an out if you change your mind or something happens. You got to be kidding me, your falling for this inspection BS. We had one done by a reputable company and he couldn't even see everything that was behind the walls until we started doing some work. Everything he looked at he just looked at visually, he couldn't get real thorough without taking things apart etc, which is what all inspectors will do. Even some of the visuals I was kind of suspect on as I found a few problems with the floor joist that were in plain sight in the basement that he missed, so YMMV. Christ for $350 pay me and I will say "Yep this looks ok ----- thanks!!!"
I did my own inspection when I bought my house, but I work for a mechanical company so I have decent knowledge in all the trades, plus I do work for insurance companies so I was able to have an insurance adjuster come with me with his fancy infrared cameras to check for moisture in the basement walls.
I agree that some inspectors may just do the basic stuff but there are good ones out there that will benefit most people without any construction knowledge.
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#5603146 - 06/04/11 09:12 AM
Re: Mortgages: Bank vs. Broker
[Re: iamfob]
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Risk E. Business, esq.
Provides a Great Work Environment.
Post Master Supreme
Registered: 05/17/10
Posts: 46502
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I have to decide over the next week which I am going to get. TD now does prime -.85 for me at best, and ING I think is still offering prime -.95.
I bank with TD and I'd like to have everything consolidated with the bank, over .1% I am really indifferent. What are some features of a mortgage that I need to make sure I have so I am not screwed over down the road?
edit: my bad, yes it's closed variable for both.
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#5603156 - 06/04/11 09:35 AM
Re: Mortgages: Bank vs. Broker
[Re: Risk E. Business, esq.]
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SW20_MR2
Post Master Sr
Registered: 08/27/01
Posts: 5282
Loc: Markham, Ontario, Canada
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Here are a few things:
Pre-payment options - If you'll be putting in extra $ at any time over the term, look at these. Typically, you'll have annual lump sum payments or you can increase the any of your bi-weekly payments. With my RBC mortgage, I can put in an annual lump sum of 10% max and double my bi-weekly payments.
Portability - If there's a chance that you'll be selling this house, can you port this mortgage to your next house?
Cancellation - What's the penalty to get out of the mortgage if you sell the house, get rich and want to pay the balance, etc?
Our mortgage isn't with our regular bank, but it's no big deal at all. If you want to make additional payments, just call them up, and they'll take care of it. Assuming the terms are the same, I'd go with the lower rate since they're both reputable.
_________________________
1991 MR2 Turbo aka "The Myth"...does it really exist?
2006 Mazda3 Sport aka "Reality"...it really does exist...
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#5604933 - 06/05/11 10:22 PM
Re: Mortgages: Bank vs. Broker
[Re: TheRealCSnapper]
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LNXGUY
Post Master Supreme
Registered: 08/06/00
Posts: 108451
Loc: Barrie, Ont,
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I just re-signed at prime - 0.75% closed variable with TD. Works for me.
_________________________
-Bill The GN would OWN you, your children and your children's children. Left foot, right foot, just keep moving!!! -Jeffrey P. Murphy 
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#5605295 - 06/06/11 08:18 AM
Re: Mortgages: Bank vs. Broker
[Re: 87ZCSi]
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dilbert
Post Master
Registered: 04/10/02
Posts: 2705
Loc: SW Ontario
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Watch with TD. They will give you a wicked deal, but they are assuming that you are going to renew with them when the term is up. In order to help you with this decision they put a title lien against your property and I'm told it's about $1000 to clear it. So even when your 5yr mortgage is up, you have to pay $1000 in fees to switch to a different bank.
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#5838361 - 10/03/11 02:18 PM
Re: Mortgages: Bank vs. Broker
[Re: dilbert]
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A2B-Lexus
Post Master Supreme
Registered: 04/19/01
Posts: 45598
Loc: Raptors Land
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(alive from the dead). I could have swore there was another mortgage thread but this one will do.
Eff me....my mortgage renews November and TD is only offering P-0.45.  I could shop it but its annoying to have to go through all the paper work again.
With the recent news of Greece going to miss their cost cutting target, not sure if I should bit the bullet and take it or do another 1 yr fixed for 2.45...
I was offered 5 yrs fixed at 3.34%. That seems pretty smoking hot.
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#5838427 - 10/03/11 02:39 PM
Re: Mortgages: Bank vs. Broker
[Re: Senor Eduardo_82]
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A2B-Lexus
Post Master Supreme
Registered: 04/19/01
Posts: 45598
Loc: Raptors Land
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1.99% is smoking hot....but then I just hate the idea of doing all the paper work and paying the discharge fee and stuff.
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#5838526 - 10/03/11 03:04 PM
Re: Mortgages: Bank vs. Broker
[Re: A2B-Lexus]
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Risk E. Business, esq.
Provides a Great Work Environment.
Post Master Supreme
Registered: 05/17/10
Posts: 46502
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Unfortunately for you TD has collateral based mortgages that require you to hire a lawyer to get you out of it, cost is $500+ to renew with someone else.
This is the reason I didn't go with them, plus their rates aren't very competitive.
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#5838683 - 10/03/11 03:51 PM
Re: Mortgages: Bank vs. Broker
[Re: Risk E. Business, esq.]
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A2B-Lexus
Post Master Supreme
Registered: 04/19/01
Posts: 45598
Loc: Raptors Land
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Is that the same as discharge fees?
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#5838689 - 10/03/11 03:53 PM
Re: Mortgages: Bank vs. Broker
[Re: A2B-Lexus]
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Risk E. Business, esq.
Provides a Great Work Environment.
Post Master Supreme
Registered: 05/17/10
Posts: 46502
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Not sure, my broker who used to work for TD for 20+ years before going on his own told me that TD is the only bank that has these fees that they charge you if you decide to renew with someone else.
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#5838698 - 10/03/11 03:55 PM
Re: Mortgages: Bank vs. Broker
[Re: Choco 'Nuck]
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Just A Troll
Curved Street Thug Life
Post Master
Registered: 09/24/09
Posts: 2221
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idiot...who buys a house now anyways when the market is going to crash /jacn Risky does, 
Wait for it... it's coming sooner rather than later.
Reason? Commodities are falling.
Canada survived the recession on strong commodities. That safety blanket is about to evaporate.
PS: I don't want it to happen. But I know it will.
_________________________
I don't need to use this space to show off my car or my camera gear.
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#5839393 - 10/03/11 09:41 PM
Re: Mortgages: Bank vs. Broker
[Re: A2B-Lexus]
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Risk E. Business, esq.
Provides a Great Work Environment.
Post Master Supreme
Registered: 05/17/10
Posts: 46502
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Not sure, my broker who used to work for TD for 20+ years before going on his own told me that TD is the only bank that has these fees that they charge you if you decide to renew with someone else. I was with Royal bank before and I had to pay a discharge fee. I thought it was standard when you switch banks. 
I think it's above and beyond the discharge fee because you need to hire a lawyer, you don't need a lawyer when leaving other institutions.
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#5839399 - 10/03/11 09:45 PM
Re: Mortgages: Bank vs. Broker
[Re: Just A Troll]
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Risk E. Business, esq.
Provides a Great Work Environment.
Post Master Supreme
Registered: 05/17/10
Posts: 46502
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idiot...who buys a house now anyways when the market is going to crash /jacn Risky does, Wait for it... it's coming sooner rather than later. Reason? Commodities are falling. Canada survived the recession on strong commodities. That safety blanket is about to evaporate. PS: I don't want it to happen. But I know it will.
I bought my house on June 2nd, there are only 8 identical houses on my street, (2 car garage raised bungalows)...one went up 2 weeks ago and sold in 4 days, bidding war, etc. Sold for 25k more than I paid few months ago and mine has a bigger lot, only 1 neighbour, newer shit (furnace/roof/ac/etc) s0 y0 br0..i am like pure stacking dough rite now rite. I am gonna list mine for 50k more than i bought it for especially since i added another brand new kitchen and full bathroom y 0y0 y0 y0 y0...savvy real estate investor.
I don't give a fuck about the market, love my house, end of story. Sure does feel good knowing that the demand for this thing is high and if I had to sell I can get my money out.
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#5839830 - 10/04/11 07:54 AM
Re: Mortgages: Bank vs. Broker
[Re: Risk E. Business, esq.]
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oranjizz
Post Master
Registered: 11/01/02
Posts: 2654
Loc: Ontario, Canada, etc.
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idiot...who buys a house now anyways when the market is going to crash /jacn Risky does, Wait for it... it's coming sooner rather than later. Reason? Commodities are falling. Canada survived the recession on strong commodities. That safety blanket is about to evaporate. PS: I don't want it to happen. But I know it will. I bought my house on June 2nd, there are only 8 identical houses on my street, (2 car garage raised bungalows)...one went up 2 weeks ago and sold in 4 days, bidding war, etc. Sold for 25k more than I paid few months ago and mine has a bigger lot, only 1 neighbour, newer shit (furnace/roof/ac/etc) s0 y0 br0..i am like pure stacking dough rite now rite. I am gonna list mine for 50k more than i bought it for especially since i added another brand new kitchen and full bathroom y 0y0 y0 y0 y0...savvy real estate investor. I don't give a fuck about the market, love my house, end of story. Sure does feel good knowing that the demand for this thing is high and if I had to sell I can get my money out.
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