What will happen with mortgages & rates in the short term?
And what should you be doing?
Watch for a slow, low & steady rise over the next 12 months while the Economy get’s it’s self sorted out. Pressure from Europe’s Sovereign Debt will drag up rates across the board.
Canada will benefit from a more balanced market, modest growth and stable employment.
As things improve there will be great opportunities in business, investment & real estate. So be ready to act. And be cautious with consumers debts, now is the time to consolidate.
Being flexible at the lowest rate is the key.
Exisiting Mortgage Holders
If you’re in a fixed rate mortgage consider a strategy that, without increasing your payments, pays more towards your principle every month. This will shave years of your mortgage & save you money in interest.
A good plan will save you money without paying more.
You can use your equity to invest in your business or take advantage of the right opportunity when it comes along.
New owners &1st time buyers need time to grow equity and reduce their mortgage balance.
Focus on a mortgage that gives you the lowest rate while allowing you to direct more cash towards reducing your principle.
You’ll thank yourself at renewal time when rates are higher.
The key is being flexible at the lowest rate.
So watch for slow, low & steady increases in rates.
Be cautious with your consumer debt.
And make a plan to pay more against your principle without increasing your monthly mortgage payments.