| Q. |
Why are your
rates so much lower than my bank? |
| A. |
Major institutions have a lot of money to lend, but
they also have a lot of expenses! Overhead, salaries, benefits, desks, utilities, to name
a few.
At CanQuest Mortgage, we work for you, and not for
the banks. We bring a great deal of business to each bank
and so are offered wholesale rather than retail interest
rates. Major institutions make their money on the profit
margin on the interest rates that are sold. This is why
you need to haggle for the lowest rate possible, and even
when you think you have won the battle, chances are, you
have not.Mortgage brokers are not paid based on the interest
rate sold, but rather on the mortgage amount. Therefore,
you are offered the lowest rate upfront.
|
| |
|
| Q. |
What is the difference between
a fixed rate and a variable rate? |
| A. |
Fixed rates remain unchanged for the entire term you
have selected. You will not need to worry about payment
changes, or market conditions. These rates are based on
the bond market and will not need to be renegotiated until
the end of your term. Variable rates are based on the prime
rate. Most variable programs offer anywhere from .4% -
.75% under the prime rate. Payments on a variable term
will usually be lower than that of the fixed terms, with
many people opting to use their extra money to set their
payments higher and pay down their principal faster. Interest rates that are based on the prime rate are not
guaranteed to stay the same and will change whenever
prime changes. Most lenders will offer you the ability
to lock into a fixed rate term without penalty if prime
begins to rise.
|
| |
|
| Q. |
Is it better for me to make
bi weekly payments? |
| A. |
Absolutely! Making biweekly accelerated payments can
shave years off of the life of your mortgage . Bi weekly
accelerated payments occur every 2 weeks- different than
twice per month. When you make payments every 2 weeks you
will be making 2 extra payments per year. These extra payments
will be applied directly to your principal, potentially
saving you thousands in interest.
|
| |
|
| Q. |
How do you get paid? |
| A. |
Mortgage brokers are paid by the financial institution
your mortgage is placed with. In 99% of cases, our services
are offered to you at NO CHARGE!
|
| |
|
| Q. |
Do you have to own a home
to get a debt consolidation loan? |
| A. |
CanQuest Mortgage deals only in mortgages and not
regular loans. Therefore, if you do not own a home we cannot
provide you with a debt consolidation.
|
| |
|
| Q. |
Can I refinance my mortgage
to purchase investments? |
| A. |
Absolutely! With interest rates at record lows this
has become a very popular thing to do. You can refinance
your home for just about any purpose.
|
| |
|
| Q. |
Do you service all of Canada? |
| A. |
Yes!
|
| |
|
| Q. |
How long does it take to
get a reply? |
| A. |
Our goal at CanQuest Mortgage is to provide prompt
and knowledgeable service. You can expect a reply with
2 hours. If you have not heard from us after 1 business
day, please call 403-242-4392.
|
