Archive for category: Mortgage Products
MORTGAGE INSURANCE PREMIUM RATE CHANGES
EFFECTIVE MARCH 17, 2017Effective March 17, 2017 Genworth Canada and CMHC will implement increases to transactional mortgage loan insurance premiums for 1 – 4 unit owner-occupied properties.
Here’s what it means for insured mortgage applications
- Mortgage loan insurance applications for 1 – 4 unit owner-occupied properties submitted to XCEED on or after March 16, 2017 are subject to the revised premium schedule.
- To be eligible for the current premium rate table pricing, all broker applications for mortgage insurance must be submitted by 11:59 p.m. (ET) on March 15, 2017.
These changes were announced in January by CMHC and Genworth and widely reported by national media. We expect that broker partners will have explained the increased premiums to their clients who are affected.
This week’s case study features the purchase of an owner-occupied home by an applicant with recent slow credit.
This week’s case study features the refinance of an owner-occupied home by applicants with some slow credit after bankruptcy.
Case Study: Refinance to pay-off derogatory credit using income from a non-family member to qualify.
This week’s uninsured case study features the refinance of an owner-occupied townhouse condo to pay-off derogatory credit. We used boarding income from a non-family member to qualify.
We will continue to accept insured mortgage applications for refinances, rental properties and 30 year amortizations until 5 p.m. on November 25, 2016.
We want to ensure that those deals in our queue are processed ahead of the federal deadline. Following 5 p.m. on this Friday, November 25, we will accept applications for refinances and rentals under our Uninsured Mortgage Program.
Uninsured Mortgage Solutions from XCEED offer you:
- Flexible solutions for borrowers with fully verifiable income who have bruised credit and/or no longer qualify based on new rules
- Competitive interest rates starting at 3.59%
- Best-in-class compensation starting at 70 bps
- Standard amortization of 30 years
- More flexibility on debt-servicing ratios
Get some sun
When the sun’s out, make sure you’re gathering that energy to heat your house. This makes the most sense through the week, when homes are often empty for much of the day. Turn the thermostat even lower and capitalize on those golden rays to keep things warm while you’re out and lower heating bills this winter!
Get some layers
When you are home, throw a sweater on instead of nudging the heat higher. All the money you save can go towards new…sweaters!
Get some more Zzzzzzzssssss
Did you know that a cooler room helps you sleep better and longer? It’s true! Your core temperature needs to drop in order to optimize your nighttime rest, so consider this another reason to get more sleep and turn that thermostat down to 65 degrees.
Get a gadget
Connected thermostats, like Nest from Google, let you monitor and manage your home environment even when you’re not there. They’re optimized for energy-efficiency and can even alert you when there’s a sudden drop or increase in temperature.
Get a humidifier
Channel some of that July weather we love to complain about and add some moisture to the air in there. Humid air is warmer, which means you can pretend you’re sipping an exotic drink by the ocean in Hawaii and save the airfare!
Here’s a quick look at our uninsured mortgage product, priced starting at 3.59%
Uninsured Mortgage Product Highlights
- Purchase and refinance
- 1, 2 and 3-year fixed terms
- Fully-featured mortgage solutions:
- 20/20 prepayment privileges
- Pay-out at any time for any reason, with penalty
- No hold-back on property taxes
- Secondary financing up to 90% LTV is permitted
- FREE Home System Warranty Insurance (full details here)
Check out our uninsured case study archive here to see a sample of the deals we do every day.
The first round of the new federal mortgage rules kicked in October 17, with an exception that extended the grace period for low-ratio applicants until the next round of changes coming November 30.
In the interests of consistency and efficiency, we’ll be maintaining the original schedule which means we now underwrite all deals using the Bank of Canada Qualifying Rate, currently set at 4.64%. This won’t surprise Brokers familiar with our history of conservative risk assessment and prudent lending practices. That’s how we build our business.
We continue to serve you and your clients with a full product line, including uninsured mortgage solutions, low interest rates and market-leading compensation. That’s how we build our relationships.
This week’s uninsured case study features the refinance of an owner-occupied property for full debt consolidation.
- 73% LTV
- Refinance of owner-occupied property
- Main applicant: employed full-time in a labour occupation for over 12 years
- At current residence for six years
- Townhouse condo
- Brampton, ON
- Main Applicant: 616 Beacon, 2 dated unpaid collections, numerous recent R2s and R3s
- APPROVED at 73% LTV with 25-year amortization
- 1-year term at 3.69% with 1% administration fee deducted from the advance
Deal subject to appraisal and income verifications, per XCEED policy.