What you absolutely MUST know before you Choose a Realtor. What’s a Dual Agency? What’s “Double Ending”? This may surprise you!

Choosing a Realtor

When you decide to buy or sell real estate you will have no difficulty finding a realtor, there are lots! It’s finding a good one that will take some work.  After nearly two decades of helping people sell and buy real estate I offer you some free advice on the best way (and the worst) to choose a realtor in helping you with one of life’s biggest emotional and financial decisions.

Choose a Realtor that has been recommended by family or friends. Family or friends who’ve had a good experience with a realtor are your best referral source. A good realtor will keep in contact with their past clients and ask them for referrals. This is a great place to start when choosing a realtor.

Choose a busy Realtor.  Realtors are busy when they are successful at their work. Ask about their experience. Experience and a steady track record are invaluable in terms of marketing and contacts. Ask how many homes they have sold this year and last. Ask how many they currently have listed.

Interview two or three Realtors. Tell the sales rep you are interviewing other Realtors. Let them know who they are competing against. Analyze their differences and pick the one that you feel most comfortable working with and whom you feel will best represent your interests or needs based on their skill level and experience.

Choose a full time Realtor.  Some realtor’s work only part time.  For them, your largest financial and emotional decision may be a second career. Choose a realtor who treats this as a business. You wouldn’t choose a part time surgeon to operate on you. A full time realtor means better market knowledge, better service, better marketing and better negotiating which means a better price for you, whether buying or selling.  Ask how often will you hear from them.  Do they have support staff to help them, help you? To do a thorough opinion of value for a client it takes me between one and two hours of my time and my staff’s time.

Choose a knowledgeable Realtor.  The realtor you choose should be able to explain the market as it relates to your sale or purchase. Have they sold or listed homes in your area? They should take the time to educate you as to the present market conditions and show you the best way to sell or buy given those conditions and the competition.  They should back up their explanations with current market data and be honest with you in interpreting that data. You should be able to understand what they are doing and why it is in your best interest.

Don’t pick a Realtor based on price.  When realtors are competing for a listing, some will give an inflated price just to try and get the listing, only to ask you for a price reduction a few weeks later. Realtors don’t determine the price for your home, the market does that! Realtor’s that don’t have much to offer in terms of experience tend to compete on price.  In other words, what you may gain on a cheaper commission fee, you will likely lose in overall sale price due to poor marketing and weak negotiating.  Part of a Realtor’s job is to interpret hundreds of sales as well as active listings. Therefore your prospective realtor should be able to explain to you what your specific market range is for buying or selling. A good realtor knows that every house has a price range which is determined by the seller’s motivation to sell and the buyer’s need to buy. Did you know that 70% of whether or not a property will sell is decided when the price is established. The other 30% is based on the realtor’s level of competence and negotiating skill.

Choose a Realtor based on their knowledge and success rate. All Real estate companies have good and bad realtor’s. Choose a successful company. A company with more agents and a larger market share will result in your property getting more showings and more exposure.

Choose a Realtor based on their marketing program.  How much time, how much money and what kind of marketing is your realtor suggesting for your property?  Every property is different and needs a tailored marketing program to sell it and attract the best buyer willing to pay the highest price.  People don’t buy bricks and mortar, they buy a lifestyle, an environment where they can raise their kids or a location where they can retire in style, with amenities they can use and enjoy.

Check References.  Ask the realtors to provide references and phone numbers of their most recent clients and then call them!

Pick one Realtor to work with. If you pick one realtor and they know and understand that you are working only with them than that realtor knows that if they can sell your property or help you buy one that is right for you they will get paid.   Not paid just once, but numerous times from the referrals you send them over the years because the realtor did a great job for you.  If the realtor knows you are working with 5 or 6 other realtors they figure they have about a 15 to 20% chance of ever getting paid and that’s about the amount of effort they put into helping you.

Call me at (604) 273-2002 & I’ll answer any questions you might have.



Bank of Canada increases overnight rate target to 3/4 per cent

OTTAWA – The Bank of Canada today announced that it is raising its target for the overnight rate by one-quarter of one percentage point to 3/4 per cent. The Bank Rate is correspondingly 1 per cent and the deposit rate is 1/2 per cent.

The global economic recovery is proceeding but is not yet self-sustaining. Greater emphasis on balance sheet repair by households, banks, and governments in a number of advanced economies is expected to temper the pace of global growth relative to the Bank’s outlook in its April Monetary Policy Report (MPR). While the policy response to the European sovereign debt crisis has reduced the risk of an adverse outcome and increased the prospect of sustainable long term growth, it is expected to slow the global recovery over the projection horizon. In the United States, private demand is picking up but remains uneven.

Economic activity in Canada is unfolding largely as expected, led by government and consumer spending. Housing activity is declining markedly from high levels, consistent with the Bank’s view that policy stimulus resulted in household expenditures being brought forward into late 2009 and early 2010. While employment growth has resumed, business investment appears to be held back by global uncertainties and has yet to recover from its sharp contraction during the recession.

The Bank expects the economic recovery in Canada to be more gradual than it had projected in its April MPR, with growth of 3.5 per cent in 2010, 2.9 per cent in 2011, and 2.2 per cent in 2012. This revision reflects a slightly weaker profile for global economic growth and more modest consumption growth in Canada. The Bank anticipates that business investment and net exports will make a relatively larger contribution to growth.

Inflation in Canada has been broadly in line with the Bank’s April projection. While the Bank now expects the economy to return to full capacity at the end of 2011, two quarters later than had been anticipated in April, the underlying dynamics for inflation are little changed. Both total CPI and core inflation are expected to remain near 2 per cent throughout the projection period. The Bank will look through the transitory effects on inflation of changes to provincial indirect taxes.

Reflecting all of these factors, the Bank has decided to raise the target for the overnight rate to 3/4 per cent. This decision leaves considerable monetary stimulus in place, consistent with achieving the 2 per cent inflation target in light of the significant excess supply in Canada, the strength of domestic spending, and the uneven global recovery.

Given the considerable uncertainty surrounding the outlook, any further reduction of monetary stimulus would have to be weighed carefully against domestic and global economic developments.

Call me to discuss 604-273-2002

Mark Fidgett | 604-273-2002

“Your Personal Mortgage Consultant….For Life!”

PS – Please Don’t Keep Me a Secret

A REFERRAL is when you INTRODUCE someone you care about to someone you TRUST!

T 604.273.2002 | F 604.522.2072

W http://www.notapennydown.com

An independent Mortgage Specialist associated with the Verico Mortgage Network.

The amortization of a mortgage is divided up into smaller time periods called “terms”. Mortgage terms usually range from six months to five years, but some institutions will offer seven- or 10-year terms. The term is the period of time during which, with fixed-rate mortgages, the interest rate and payment amount are fixed. With variable-rate mortgages, the payment amount may, or may not, change; you should review your agreement to check when the payment amount may change. At the end of the term, you can renew your mortgage for a new term, at prevailing interest rates.

Generally, the longer the term, the higher the interest rate. Because it is not possible to know what the interest rates will be over any given period of time, many consumers seeking certainty choose a longer term with a fixed interest rate so that they know in advance, at least for a specified period, how much they will have to pay for their mortgage. This helps them to plan their finances better and enhances their feeling of security. However, during periods when interest rates are expected to fall, many consumers choose variable-rate mortgages so they can take advantage of lower rates without renegotiating their mortgage.

Amortization period compared to the term of a mortgage

The amortization period on a mortgage is the total length of time it will take you to pay off your mortgage. A typical amortization period is 25 years, but it can be longer or shorter.

In comparison, the term of a mortgage (which ranges from six months to 10 years) represents the length of time for which your mortgage agreement with a lender is valid.

Benefits and costs of a longer amortization period

Some people choose a longer amortization period because it lowers their mortgage payments: the longer the amortization, the lower the mortgage payments. This can mean, for some, the difference between buying and not buying a home.

However, the longer it takes you to pay back the mortgage principal to the lender, the more interest you will pay — which can affect your ability to save for other important things, such as retirement.

Call me to discuss 604-273-2002

Mark Fidgett | 604-273-2002

“Your Personal Mortgage Consultant….For Life!”

PS – Please Don’t Keep Me a Secret

A REFERRAL is when you INTRODUCE someone you care about to someone you TRUST!

T 604.273.2002 | F 604.522.2072

W http://www.notapennydown.com

An independent Mortgage Specialist associated with the Verico Mortgage Network.

Canada Day is Canada’s national day, a federal statutory holiday celebrating the anniversary of the July 1, 1867, enactment of the British North America Act (today called the Constitution Act, 1867), which united two British colonies and a province of the British Empire into a single country called Canada.

Frequently referred to as “Canada’s birthday”, particularly by the popular press, the occasion marks the joining of the British North American colonies of Nova Scotia, New Brunswick, and the Province of Canada into a federation of four provinces (the Province of Canada being divided, in the process, into Ontario and Quebec) on July 1, 1897.

Although Canada is regarded as having become a kingdom in its own right on that date, the British Parliament kept limited rights of political control over the new country that were shed by stages over the years until the last vestiges were surrendered in 1982 when the Constitution Act patriated the Canada constitution.

Most communities across the country will host organized celebration for Canada Day, usually outdoor public events, such as parades, carnivals, festivals, barbecues, air and maritime shows, fireworks and free musical concerts, as well as citizenship ceremonies for new citizens.

Here’s a list of some of the Canada Day Celebrations occurring across the country:

• Canada Day in the Capital (Ottawa, ON) http://www.canadascapital.gc.ca/canadaday/?m=0
• Canada Day at Canada Place (Vancouver, BC) http://www.canadaday.canadaplace.ca/
• Canada Day at Mel Lastman Square (Toronto, ON)
  http://www.toronto.ca/special_events/canada/2010/index.htm
• Canada Day in Halifax (Halifax, NS)
  http://www.hrmcanadaday.ca/
• Celebrate Canada in Edmonton (Edmonton, AB) http://www.edmontonceleberatecanada.ca/canadadayschedule.html
• Celebrate Canada in Calgary (Calgary, AB) http://www.calgarycanadaday.ca/
• Canada Day at Diefenbaker Park (Saskatoon, SK) http://www.tourismsaskatoon.com/events/view/1356/

Mark Fidgett | 604-273-2002

“Your Personal Mortgage Consultant….For Life!”

PS – Please Don’t Keep Me a Secret

A REFERRAL is when you INTRODUCE someone you care about to someone you TRUST!

T 604.273.2002 | F 604.522.2072

W http://www.notapennydown.com

An independent Mortgage Specialist associated with the Verico Mortgage Network.

Below is an extremely informative 3 PART interview with Mark Dziedzic, owner of www.CrossBorderRealty.com
The ins & outs of buying real estate in the US
Mark’s worked extensively with Ozzie Jurock & really knows his stuff
ENJOY : )

Call me to discuss getting a Line of Credit in place so that you’re ready to move on some of these great deals that Mark has 604-273-2002

Mark Fidgett | 604-273-2002

“Your Personal Mortgage Consultant….For Life!”

PS – Please Don’t Keep Me a Secret

A REFERRAL is when you INTRODUCE someone you care about to someone you TRUST!

T 604.273.2002 | F 604.522.2072

W http://www.notapennydown.com

An independent Mortgage Specialist associated with the Verico Mortgage Network.

Insider Techniques To Raise Your Credit Score Fast

If there is one question I’m asked by consumers more than any other about credit, it’s this “What’s the fastest way to raise my credit score?”. My response is always the same “How much do you want to raise it?”
If you wish to increase your score from 580 to 650 then your strategy will be very different from someone wanting to go from 670 to 725. Why? Because you starting point is different which requires a different approach. Also, while the removal of negative items from a report will almost always lead to an increase in score, it’s a basic concept at best. Therefore, within this article, we’ll discuss somewhat inside techniques known by very few.

In relation to just removing negative items, these are techniques which you can use even if you have NO derogatory information on your credit report. We’ll start with the most overlooked strategy first and that’s your…

DEBT to CREDIT RATIO:
The most fraudulent belief I’ve been hearing for over 15 years is “I have excellent credit, I pay all my bills off in full every month!” This is a false belief for one to buy into and understanding your debt to credit ratio holds the key to getting your “credit mindset” right.
Your debt to credit ratio is your ratio of debt to total available credit you have been extended (revolving accounts only). For example. If you have $10,000 in total unsecured revolving credit accounts and you’re currently in debt $2500, then your debt to credit ratio is 25%. Since the main way lenders make money is by charging interest, one of the elements of the credit scoring model is driven by your ability to maintain balances and pay over time. This shows your true (long term) credit worthiness which is most profitable to lenders since they make money primarily via interest and not annual fees.

Over the years I’ve discovered without question that carrying the proper debt to credit ratio will boost your score faster than paying off your bills in full each month.

PIGGYBACKING:
Despite its virtually unlimited potential, piggybacking is not used by nearly as many consumers as it should be. It’s easy, effective, and extremely fast. Unfortunately, it’s mostly used among parents and siblings while those who can really benefit stay in the dark.
How it works. Almost every credit card or credit account will allow the primary account holder to add on (at a later date) what’s known as an “Authorized User” or “Secondary Account Holder”. In most cases, when this is done, the entire account history (retroactively) gets posted to the authorized users credit report regardless of their current age or credit history!
For example. If it’s a credit card with a $10,000 limit which has been paid as agreed for the last 10 years, then that complete history will be posted to the authorized users’ credit report. I once saw a clients’ credit report who used this technique with his mother. He was only 24 at the time and he had a $15,000 Gold credit card on his report with history going back 11 years! I laughed as I thought to myself that this kid would have had to be approved when he was 13 years old for this account to be his!
As you can see, this strategy is usually only used by parents and their children and in most cases with no regard to the benefits the children are reaping credit wise!

ADVANCED CREDIT PROFILING:
This is a strategy while not complex, can be taken to very complex levels. Even in its’ most basic form, it’s taken advantage of by very, very few. It involves intentionally building your credit report in a way which creates a “profile” that closely fits the criteria of most lenders (as well as the overall credit scoring system). Again, this is a technique which can be used in a myriad of complex ways, but for simplicity I will explain it in its’ most basic form.
While many consumers will boast when they have 10, 20, 30 or even 50 thousand dollars worth of credit cards on their report, many of these same people do NOT have even one mortgage, automotive loan or lease, equipment loan or a even a line of credit with a local bank or credit union. These other forms of credit create a much more well rounded credit profile for the consumer. This is achieved by showing greater credit account diversity and experience with multiple types of credit due to the various lines held.

For example. A person with $50K in credit cards does not represent near the credit experience as a person with the same $50K along with a mortgage, an automotive loan and an equipment lease. We have clients who have financed vehicles not because they had to (or even wanted to) but because they “needed to” in order to create a credit profile that would position them in the future to secure the lowest possible rate on a mortgage when they applied and needed it.

More complex forms of Advance Credit Profiling involve one subscribing to affluent or semi-affluent business and professional publications and organizations. These would include magazines, newsletters, trade journals and national associations. The goal is to get ones name into the databases of these publications and organizations. Why? To get on highly targeted lists in order to receive select credit offers.
Marketers of credit offers have found that simply renting names of consumers from the credit bureaus does not provide enough information about the person as a credit risk anymore. Therefore, it is speculated that many will rent a list from the credit bureau and then cross-reference this list against another list they have secured from a consumer source such as an affluent business or professional publication, trade journal or organization.

By crossing the two lists together the marketers find the names contained on both lists. This in turn provides them with one highly refined and targeted list to mail their offer to. This results in shortening the process of securing a new quality account holder thus lower the overall account acquisition cost of new accounts.
When a consumer learns how to intentionally put themselves into these databases to wind up on these refined lists, the credit building process is sped up exponentially. Of course, many would call this “highly speculative” but we have undeniable experience that it works.

DEPOSIT LOAN PROGRAMS:
It allows the consumer (or business) to have a $25,000 to $250,000 loan appear on their credit report by way of very creative financing. This method is extremely effective and not within the budget of most. You will need to put down a security that is kept in trust. This method works well if you can’t qualify without the security.

Call me to discuss 604-273-2002

Mark Fidgett | 604-273-2002

“Your Personal Mortgage Consultant….For Life!”

PS – Please Don’t Keep Me a Secret

A REFERRAL is when you INTRODUCE someone you care about to someone you TRUST!

T 604.273.2002 | F 604.522.2072

W http://www.notapennydown.com

An independent Mortgage Specialist associated with the Verico Mortgage Network.

Bank of Canada says household debt and European crisis present the biggest risks to country’s financial stability.

Risks to Canada’s financial stability have gone up over the past six months because of the possibility that the European debt crisis and “severe tensions” in global markets could threaten the worldwide recovery, the Bank of Canada said Monday.

In their semi-annual review of Canada’s financial system, policy makers said it continues to function well and has actually strengthened since their last assessment in late 2009. However, they reiterated concerns about the amount of household debt that Canadians have built up amid historically low borrowing costs, and outlined how Canada’s strong economy could fall victim to fiscal troubles across the Atlantic Ocean if they fuel stricter lending standards among banks and a drop in demand.

“Many aspects of the Canadian macrofinancial environment have improved since last December, with the economic recovery proceeding as expected and conditions in Canada’s financial system generally strengthening,” the central bank’s governing council said in its latest risk assessment. Still, policy makers said, “near-term risks” to Canada have increased because of “heightened concerns that worldwide fiscal strains have the potential to cause tensions in interbank funding markets, to derail the global economic recovery, or to trigger a disorderly resolution of global imbalances.”

Policy makers said the level of risk has increased in three of five categories that they look at for their review, namely: funding and liquidity; the so-called imbalances in the global economy that exacerbated the financial crisis of 2008; and the current economic outlook.

Canadian banks’ capital levels, and the quality of what they possess, has improved since December, the central bank said, while the risks posed by household balance sheets remain “roughly unchanged” even as households’ financial vulnerability to economic shocks is growing. The rising debt-to-income ratio among Canadians, which policy makers such as Bank of Canada Governor Mark Carney have been warning about for several months, also could pose a risk to banks and the economy as a whole, should borrowers default on their loans and force banks to hold back on extending credit.

“In the event of a significant economic downturn, the credit quality of household loan portfolios could be undermined, prompting banks to tighten credit conditions and some households to reduce spending,” the central bank said. “Ultimately, this could result in mutually reinforcing declines in real economic activity and in the health of the financial sector.”

Measures being taken by European governments to get their fiscal houses in order need to be sufficient to keep investors satisfied that the problems are being addressed, the central bank said, while warning that “economic and political constraints” could complicate those efforts and lead to another period of “severe stress” in markets.

“Concerns over fiscal imbalances could also result in an abrupt increase in risk premiums and volatility for a wide range of assets and currencies,” the central bank said. “While Canada’s position is relatively strong, our financial system could be adversely affected by growing fiscal strains elsewhere.”

Also, sweeping new rules that Group of 20 policy makers are crafting for the financial sector could have “unintended consequences”’ or cause challenges for banks as they transition to whatever regime is approved, the central banks said.

“Given its unprecedented scope, pace, and complexity, there is a risk that regulatory reform could have unintended consequences,’’ the bank said. Nonetheless, policy makers said, “at least equally important is the risk that key elements of the reform agenda will be diluted, either because of complacency as economic and financial conditions improve or because of fears that reforms could harm a still-fragile recovery.”

Bank of Canada says economy is ‘vulnerable’

Call me to discuss 604-273-2002

Mark Fidgett | 604-273-2002

“Your Personal Mortgage Consultant….For Life!”

PS – Please Don’t Keep Me a Secret

A REFERRAL is when you INTRODUCE someone you care about to someone you TRUST!

T 604.273.2002 | F 604.522.2072

W http://www.notapennydown.com

An independent Mortgage Specialist associated with the Verico Mortgage Network.

What the heck is a Beacon Score?

This score is what lenders base their lending to YOU on. In other words, the better your score, the easier the credit, the worse the score … enough said. You now can check your credit on-line in Canada. No red faces, no forms to fill, no one else to know. For some $24 dollars you know your total credit history and standing and of course your Beacon score.

Go to www.equifax.ca and get your credit score instantly online and a copy of your personalized credit report. More importantly, you get a full explanation of your score and how lenders view your credit risk. Also included is a custom graph showing how you rank nationally among other consumers, specific factors that most heavily affect your credit score and a plan for specific actions you can take to improve your score.

Credit Report Basics

What is a credit report?

A credit report is a history of how consistently you pay your financial obligations. A credit report is created when you first borrow money or apply for credit. On a regular basis, the companies that lend money or issue credit cards to you (banks, finance companies, credit unions, retailers, etc.) send the credit reporting agencies specific and factual information about their financial relationship with you – when you opened up your account, if you make your payments on time, if you miss a payment, or if you have gone over your credit limit, etc.

Equifax Canada receives this information directly from the financial and retail institutions and retains it to help other lenders make decisions about granting you credit. Because your credit report contains all the information received from your lenders and provides a picture of your financial health, other lenders will request your report when they are determining whether or not to grant you a loan. Your credit report is a history that will help them determine what kind of lending risk you are – if you are likely to repay your obligation on time or not.

What is in my credit report?

Below is a list of the major sections found in your credit report:

• Personal Identification – Includes key identification information, such as your name, address, date of birth and Social Insurance Number (SIN)
• Consumer Statement – Allows you, the consumer, to add a brief comment about any information in your report
• Credit Information – Provides details of your credit accounts and transactions and shows if payments are being made on time
• Banking Information – Includes information on your bank account and NSF cheque history
• Public Record Information – Contains information about secured loans, bankruptcies and/or judgments
• Third-Party Collections – Contains information about any involvement with a collection agency trying to collect on a debt
• Inquiries – Includes all organizations or individuals that have requested a copy of your credit report in the past three years

*Note: Mortgage information – Details about your existing mortgage(s) may appear in your credit report. Mortgage information is not used to calculate your credit score since it is not reported by all lenders.

How is information in my credit report used?

Credit information is gathered by credit reporting agencies, sometimes called credit bureaus. There are two major credit reporting agencies in Canada: Equifax Canada Inc., and TransUnion of Canada. Governed by provincial and federal laws, credit reporting agencies store and maintain credit information about individual Canadian consumers for use by members of the credit reporting agency. Members include banks, finance companies, auto leasing companies, credit card companies and retailers.

Credit grantors update individual credit reports regularly by providing information to credit reporting agencies about their customers’ credit and payment activities. This ensures that credit reports remain up-to-date and as complete as possible. Other sources of the information contained in your credit report can include public records from courthouses across the country and collection agencies.

Who can access my credit report?

Federal and provincial laws are very specific regarding who can review your credit report and for what purpose. A company or individual may only obtain a copy of your credit report with your consent or after informing you that they will be reviewing your report. Additionally, an individual or company must have a legitimate business reason and a permissible purpose, as stated in government regulations, to obtain your credit report.

When you apply for a loan or credit card you are usually asked to complete and sign an application form. An application normally includes written consent giving permission to the credit grantor to check your credit report when you first apply and throughout the life of the account. In addition to your name, an application often asks for your date of birth, your current address and a previous address if you’ve recently moved – information that helps to locate your credit report at a credit reporting agency.

Each time a member of the credit reporting agency requests your report, the request is noted on your report as an inquiry and kept for 3 years. You can therefore see a record of who has requested your credit report and when.

A credit reporting agency may only provide a copy of your report when the request relates to the extension of credit, collection of a debt, housing rental or an application for employment or insurance purposes. Since your credit report contains only factual information, it is important to remember that each of the companies requesting your credit report will interpret those facts in its own way to arrive at a decision.

Call me to discuss 604-273-2002

Mark Fidgett | 604-273-2002

“Your Personal Mortgage Consultant….For Life!”

PS – Please Don’t Keep Me a Secret

A REFERRAL is when you INTRODUCE someone you care about to someone you TRUST!

T 604.273.2002 | F 604.522.2072

W http://www.notapennydown.com

An independent Mortgage Specialist associated with the Verico Mortgage Network.