Take Advantage of the  Energy-Efficient Housing Program for Green Mortgage Rebates

As a mortgage broker in BC, Canada, I am always looking for ways to help my clients save money and live more sustainably. I’m excited to share information about the Energy Efficient programs, an initiative designed to encourage the construction and purchase of eco-friendly homes.

What is this Green Program about ?

The mortgage insurance companies CMHC, Sagen and Canada Guaranty  program offers a 25% rebate on mortgage insurance premiums for homes that meet certain energy efficiency standards. This program is a great opportunity for those interested in reducing their environmental impact while saving money on their mortgages.

Who Qualifies for the Program?

To qualify for the rebate, your home must meet one of the following energy efficiency standards:

• ENERGY STAR®: An internationally recognized mark of energy efficiency for products and practices.
• R-2000: A Canadian standard for energy-efficient home construction that exceeds regular building codes.
• Net Zero Home: A home that produces as much energy as it consumes on an annual basis.

How Does It Work? Example with CMHC

1. Purchase or Build an Energy-Efficient Home: Ensure your home meets one of the qualifying energy efficiency standards.
2. Apply for CMHC Mortgage Insurance: When securing your mortgage, apply for CMHC mortgage insurance.
3. Submit Your Application for the Rebate: Once your home meets the required standards, submit your application for the 25% rebate on your mortgage insurance premium.

Benefits of the CMHC Eco Plus Program

• Cost Savings: Save 25% on your mortgage insurance premium, which can translate into significant savings over the life of your mortgage.
• Environmental Impact: Contribute to a greener environment by living in a home that meets high energy efficiency standards.
• Increased Home Value: Energy-efficient homes often have higher resale values and are more attractive to potential buyers.

If you’re considering purchasing or building an energy-efficient home, the CMHC Eco Plus program is an excellent way to save money and support sustainable living. Feel free to reach out to me for more details on how to take advantage of this fantastic opportunity!

Contact me for more information:

Isabel Medina – Mortgage Broker DLC National

isabel.medina@dominionlending.ca

778 513 0169

Source:

CMHC (2022). CMHC Eco Plus. https://www.cmhc-schl.gc.ca/consumers/home-buying/mortgage-loan-insurance-for-consumers/cmhc-eco-programs/cmhc-eco-plus

In recent weeks, both homeowners and new buyers have benefited from a noticeable drop in fixed mortgage rates. This shift follows a cut in the Bank of Canada’s interest rate, which also influenced bond yields to plummet. As a result, mortgage providers reduced their fixed rates by up to 0.25%.

Key Factors Behind the Rate Drop

Several factors contributed to this trend:

• Bank of Canada Rate Cut: Lowered variable mortgage rates and influenced fixed rates.
• Falling Bond Yields: A decrease in bond yields, which directly affects fixed mortgage rates.
• Economic Indicators: Slower GDP growth and easing inflation.

Fixed vs. Variable: What Should Borrowers Consider?

The debate between fixed and variable mortgage rates continues:

• Fixed Rates: Offer stability and predictability, making them a good choice for risk-averse borrowers.
• Variable Rates: Historically lower but come with uncertainty due to potential future rate increases.

Experts like Ryan Sims and Ron Butler suggest that while fixed rates offer less hassle and predictability, variable rates might be favorable if further rate cuts occur. However, with current spreads, fixed rates might be more advantageous in the short term.

Conclusion

As mortgage rates remain unpredictable, it’s crucial for borrowers to consider their financial situation and risk tolerance. Consulting with a mortgage advisor can provide personalized insights to navigate this dynamic market.

For more detailed analysis and expert opinions, read the full article here

Isabel Medina

Mortgage Broker DLC National

778 513 0169

isabel.medina@dominionlending.ca

In British Columbia, an Additional Property Transfer Tax (APTT) is imposed on residential property transfers involving foreign entities. This tax applies to properties located in specific regions, including the Greater Vancouver Regional District, the Capital Regional District, Fraser Valley, Central Okanagan, and Nanaimo Regional Districts.

Key Points:

1. Who Pays the APTT?
   • Foreign nationals
   • Foreign corporations
   • Taxable trustees
2. Tax Rate:
   • The APTT rate is 20% of the property’s fair market value.
3. Exemptions:
   • Limited partnerships, if all partners are Canadian citizens or permanent residents.
   • PR applicants under the Provincial Nomination Program (PNP)
4. Filing and Payment:
   • The APTT must be paid at the same time as the general Property Transfer Tax.

For more detailed information, visit the Government of British Columbia’s official page.

This tax aims to address housing affordability by reducing the impact of foreign investment in the residential property market. If you’re involved in property transactions in these regions, ensure you understand your obligations under this tax.

Contact me for more information:
Isabel Medina – Mortgage Broker DLC

isabel.medina@dominionlending.ca

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In today’s fast-paced world, managing finances can often feel like navigating a maze. Juggling multiple debts, varying interest rates, and monthly payments can quickly become overwhelming. However, there are powerful tools available that can help individuals regain control of their finances and pave the way towards a brighter financial future. Two such tools are refinancing and debt consolidation.

Refinancing: A Pathway to Better Terms

Refinancing is a financial strategy that involves replacing an existing loan with a new one, typically with more favorable terms. For homeowners, this often means refinancing their mortgage to secure a lower interest rate, reduce monthly payments, or change the loan’s duration. By refinancing, homeowners can potentially save thousands of dollars over the life of their loan and improve their overall financial health.

One of the primary benefits of refinancing is the opportunity to lower interest rates. As economic conditions fluctuate, interest rates may decrease, presenting homeowners with a chance to secure a better rate than when they initially purchased their home. By refinancing at a lower rate, homeowners can reduce their monthly mortgage payments, freeing up valuable funds for other financial goals.

Additionally, refinancing offers the flexibility to change the terms of the loan to better suit individual circumstances. Whether it’s switching from an adjustable-rate mortgage to a fixed-rate mortgage for stability or shortening the loan term to pay off debt faster, refinancing provides homeowners with options to tailor their mortgage to their needs.

Debt Consolidation: Streamlining Finances for Success

Debt consolidation is another powerful tool for simplifying finances and reducing debt burden. This strategy involves combining multiple debts, such as credit card balances, personal loans, and medical bills, into a single loan with a lower interest rate. By consolidating debts, individuals can streamline their payments, potentially lower their interest costs, and accelerate their journey towards debt-free living.

One of the key advantages of debt consolidation is the ability to simplify finances. Rather than juggling multiple due dates and interest rates, individuals can make a single monthly payment towards their consolidated debt, making budgeting and financial planning more manageable. This streamlined approach can help individuals stay on track with their repayment goals and avoid missed payments.

Moreover, debt consolidation can lead to significant savings over time. By securing a lower interest rate through consolidation, individuals may pay less in interest charges, allowing them to pay off their debt more quickly and save money in the long run. Additionally, consolidating high-interest debt, such as credit card balances, into a lower-rate loan can help individuals break free from the cycle of debt and achieve financial freedom.

Conclusion: Empowering Financial Transformation

Refinancing and debt consolidation are powerful tools that can empower individuals to take control of their finances and build a brighter financial future. Whether it’s securing a better mortgage rate through refinancing or consolidating high-interest debt into a more manageable loan, these strategies offer tangible benefits that can lead to long-term financial stability and success. By exploring the opportunities presented by refinancing and debt consolidation, individuals can unlock the keys to financial freedom and embark on a journey towards a brighter tomorrow.

Isabel Medina – Mortgage advisor DLC Primaria Mortgages

P: 778 513 0169

E: isabel@primariamortgages.com