27 Apr

New Rules effective April 24 2017, from our friends at the Canadian Mortgage Brokers Association


Posted by: K.C. Scherpenberg


Regulatory changes that would require home buyers in Ontario to provide comprehensive information regarding their citizenship and place of residence are poised to take effect this Monday (April 24), as the province inaugurates the Prescribed Information for Purposes of Section 5.0.1 Form.

The form will accompany the documents involved in land-transfer tax payment. The provincial government said that it launched the form as part of its drive “to support evidence‑based policy development with respect to Ontario's real estate market,” CBC News reported.

The rules, which were announced along with the economic statement last fall, will be applicable to anyone who purchases either agricultural land or a parcel that hosts between one and six single-family properties.

Information required by the new form will include:

  • the type of dwelling (detached, semi‑detached, condominium unit, etc.)

- whether the home is intended to be a principal residence or an investment property
- residency, citizenship, and permanent resident status of the individual buying the property
- for purchases involving a numbered company, information on the identity of the corporation’s owner

  • for purchases involving a person buying the property on behalf of another individual, information on the beneficial owner/s

To facilitate easier transition, the provincial government said that it will be providing a two-week grace period (April 24 to May 5), in which no penalties will be applied to those who fill out the new form incorrectly.

Feel free to contact us at any time if you have any questions or concerns... 705 646 2777 or 705 333 2222 or kscherpenberg@dominionlending.ca We can give you expert professional advice right away for approvals, preapprovals, purchases, refinances, etc...

11 Apr

Big bank report points to importance of service brokers provide


Posted by: K.C. Scherpenberg

by Justin da Rosa 11 Apr 2017


Brokers have for years boasted about their ability to find the best mortgage for clients — by considering more than just the best rate — and a new study suggests young homebuyers need that service now more than ever.

When it comes to buying a home, it’s in a purchaser’s best interest to consider all aspects of a mortgage – and not just the rate. But it seems many aren’t considering their mortgage from all angles, with a new study finding many regret taking on a mortgage that has left them house poor.

“It’s important to choose the house and mortgage that you can afford so that you can manage your cashflow and won’t end up with buyer’s remorse,” David Nicholson, Vice-President, CIBC Imperial Service, said. “A house can represent so much – a new start, independence, putting down roots, starting a family or building wealth. But, it’s important to evaluate the pros and cons and crunch the numbers so it’s the right decision for today and tomorrow.”

Many Millennials regret purchasing their homes, according to a recent CIBC report.  A poll found 39% of Millennials have become homeowners; of those purchasers, 81% plan to sell in near future.

Of those, 63% cited housing costs making them cash poor; 57% are afraid interest rate increases will make it more difficult to meet payment requirements; and 36% believe renting is the better option.

The results speak to the growing need for the services brokers provide – which include in-depth advice about long- and short-term mortgage options that best suit individual financial goals.

“One of the problems you have with Millennials is they figure they can get all the information they need online as opposed to the information from people like brokers. The internet is no different from a dictionary or encyclopaedia,” Bill Macklem, a BC-based broker with Dominion Lending Centres, told MortgageBrokerNews. “You can research how to build a car or a plane but building it is another matter. You need to have someone that is going to be your advocate, who is going to see what you’re doing and help you plan it out. We don’t have enough financial education and I think brokers provide that.”