Lenders Mortgage Insurance Quote
Lenders Mortgage Insurance Quote
Save Money with Mortgage Insurance B.C
Mortgage insurance in B.C. (British Columbia) is a competitive field these days. Savvy consumers know that there are more options than the bank mortgage insurance that mortgage brokers offer upon closure. According to Canadian law, a mortgage broker is required to offer mortgage insurance in B.C. In fact, if the mortgage is for more than 80% of the home value, it’s required.
Keep in mind that there are two types of mortgage insurance. You have the collective or group mortgage insurance that most consumers purchase at closing, and then there is personal mortgage insurance.
There are many advantages and disadvantages to the type of mortgage insurance you purchase.
Collective insurance can cancel the policy anytime.
Personal insurance may not cancel coverage.
Collective insurance will raise your rates without notification.
Personal insurance will notify you of any rate increases first.
Collective insurance policies are held by the lender and all premiums are paid to the lender.
Personal insurance puts all the power in the consumer’s hands and issues all premiums in their name.
Collective insurance only pays off the mortgage.
Personal insurance pays the mortgage off and any money left goes to those left behind.
Collective insurance is cancelled if you go in arrears.
Personal insurance stays intact even if you are late on payments.
Collective insurance is known for having unforeseen reasons to deny a claim.
Personal insurance discloses everything upfront.
Collective insurance is not required to train their staff.
Personal insurance has licensed professionals.
With this in mind, it is no wonder that more people are making the switch to personal mortgage insurance in British Columbia.
Click here to see more details : http://www.infoprimes.com/en/mortgage-insurance-quotes-canada
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Good Day, Should I pay points on a refinance of an investment property/condo?
I currently own $141,000 and have a rate of 6.875% on a 30 year mortgage. I have owed the condo for 1.5 years and have been making principal payments of $100.00 each month. BAE mortgage quoted me 5.71 APR to refinance into a 30 year. If I wrap the closing costs into the load the new loan will be $145,900. I have been asked to pay closing costs of $4,422. Is this a good deal? Thank you.
141,190.00 Existing Liens to Be Paid Off $ 828.40 First Lien P&I
————- Debts to Be Paid Off ————- Second Lien P&I
$ 4,422.75 Estimated Closing Costs $ 146.62 Taxes
$ 1,476.05 Estimated Prepaid Items/Reserves ————- Hazard Insurance
————- Financed PMI/FHA/VA Funding Fee ————- Mortgage Insurance
————- No Cost HELOC Fees Paid By Lender ————- HOA Dues
————- Lender Credit ————- Other
$(145,900.00) New Base Financing
the closing costs seem a bit high. You mentioned a “new” loan at 5.71 APR, but that’s different than the monthly Mortgage Rate, so it’s difficult to figure your monthly savings. I’m guessing your new mortgage to be 5.5%, so you need to calculate your new payment amount (145,900) at 5.5%= approx 670/mo INTEREST, and you are currently paying on 141,000 @ 6.875% (approx 807/mo, interest). Taking the difference, you’ll be “saving” about 137/mo in interest (807 old mortgage minus 670 new mortgage interest=137/mo less in interest). Now you gotta divide what it costs you to get this new refi, ($4422.75) by that 137/mo savings and you get about 33 months to recapture your $4422 “cost”. So, if you are planning on staying in your place for another three years, then it is an “okay” deal, but if you are planning on moving in the next year or two, then no, it’s not a very good deal.
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