Busted! Don’t Believe These Myths About Mortgages
One of the most intricate and difficult parts of the home-buying venture is the mortgage process. While most prospective homebuyers hire a mortgage agent to assist them with the process, there are many who avoid enlisting the services of a mortgage agent because of the myths and misconceptions they’ve come across.
However, to ensure that your mortgage application is impeccable, you secure the mortgage option of your choice, it’s essential that you avoid falling for these myths by working with an experienced mortgage agent. To help you steer clear of these misconceptions, Keith Uthe Demystifying Mortgages has debunked some of the most widely believed myths about mortgages.
Myth 1: Bank offers the lowest interest rate.
Many people believe that when their mortgage is up for renewal, it is best for them to just sign and submit the renewal letter the bank sends them. People believe that their bank will offer them the best rate available. Unfortunately, this is not usually the case. As a mortgage broker, we often find that we are able to provide a lower rate than has been offered on the mortgage renewal letter. In just five minutes, I can tell you how I can save you thousands of dollars in interest.
Myth 2: You must stay with the same lender when it’s time for approval
Lenders make you feel that you have to stay with them when your mortgage is up for renewal. This is not true. You have the right to transfer your mortgage to a different lender at the time of renewal. You may have a mortgage with restrictions on being able to refinance mid-term with a bonafide sale clause, low pre-payment options, no porting allowed, or pre-payment payout penalties. As a mortgage broker, I can help you understand the details of your current mortgage and advise you on the better options that are available to you. Over a period of five years, our lives can change a lot, thereby changing our housing needs. So you need to make sure your mortgage is not going to hold you back from making important changes or decisions.
Myth 3: You cannot change your interest rate when renewing your mortgage
Homeowners often believe that they have to stay with the same interest rate for the full term of their mortgage. This is simply not true. You have the right to transfer or switch your mortgage to a new lender and get your interest rate changed at any time during the term. Borrowers often see mortgage rates that are way lower than their mortgage rate and feel like they are stuck with what they have. They may not be stuck. In just five minutes, I can analyze the current mortgage and advise on what options are available to them. As mortgage brokers, we work with multiple lenders and have many different types of lending options for clients to consider.
If you’re looking to steer clear of these myths, reach out to Keith Uthe Demystifying Mortgages. As a leading mortgage broker in Calgary, Alberta, I can bridge the gap between your homeownership dream and reality. I offer a wide range of mortgage services, including first time home buyer mortgage, mortgage refinance, switch or transfer mortgage, debt consolidation mortgage, equity mortgage lending, construction mortgages, commercial mortgages, business financing, and private lending amongst others to clients across Calgary, Red Deer, Lethbridge, Edmonton, and Medicine Hat in Alberta.
For a complete list of our services, please click here. If you have any questions about mortgages, about we’d love to hear from you, please contact us here.