At the beginning of July 2022, the Bank of Canada made a further 100 basis point policy rate upgrade. For this year 2022, this is already the fourth increase, bringing the rate down to 2.5%. What is its impact on your mortgage? Find out more in this article.
The policy rate is defined as the interest rate applied by a central bank to commercial banks to make loans. It is according to this policy rate that the primary banks will in turn set the interest rates for loans and savings.
Overall, central banks use the policy rate to encourage or discourage consumer spending depending on a country’s economy. Indeed, when the policy rate increases, commercial banks will also increase interest rates on loans, making them more expensive. On the other hand, when the policy rate falls, so do the interest rates on debt, encouraging customers to take out loans.
When homeowners find themselves in financial difficulty and in debt, selling their home is often one of the main solutions they consider. Among the various options available, the real estate auction may seem tempting because of its speed. However, it's important to...
As mentioned above, the policy rate directly influences the interest rate on loans, and therefore on home loans. If the former increases, the latter will automatically increase. Therefore, before proceeding with the purchase of a property or taking out a new loan, you should ask yourself if the increase in this rate will still allow you to repay your debt.
With a fixed-rate mortgage, you get the same rate for a certain period of time until your mortgage is re-priced. This means that the increase will not affect you until the contract is renewed. However, once the time comes, you will be penalized by the increase, which will affect the amount of your monthly payments.
If you have a variable rate mortgage, interest rate increases will affect your payments starting with the next payment. Your payments will systematically increase to adjust to the new rates.
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If you have a mortgage that will last for many years, you may be penalized by the steady rise in the key interest rate, whether you choose a fixed or variable rate.
In order to avoid this disappointment, we advise you to sell your house at a good price, which will prevent you from paying more because of this rate upgrade. At AchatDeProprietes.com, we buy your property quickly without this rate having an impact on our prices.
By selling, you are relieving yourself of a possible surcharge caused by the interest rate adjustment. Contact us without delay to conclude the sale as soon as possible.
If you have received a letter from us, it is because you have received a notice of non-payment from a financial institution or because you have inherited a property via estate. All information related to 60-day notices (exercise notices) and estates is public record and can be found online at the Land Registry of Quebec. It is through this free government resource that we have access to this information which is public in nature. We only have access to the names and mailing addresses of the owners, not the phone numbers. That’s why we work with a letter system that gives you the choice to contact us or not.
As real estate buyers and investors, we must necessarily make our investments profitable. We offer you to buy your property quickly, cash and WITHOUT paying any commission. We will also pay for your move, if necessary. To do so, we must necessarily pay below market value. HOWEVER, in the majority of cases, it is better for your to sell your property quickly under market value rather than losing any potential profit to the bank or not selling at all and to be stuck with it for several months which will incur additional costs. You could lose a lot of money and damage your credit report for a long time. Buying houses in cash and buying condos in cash.
We buy properties of all types, regardless of condition and price. Whether your house or condo needs minor or major renovations, it’s not a problem. It’s all a question of price. You just need to be realistic in your expectations in terms of the sale price of your property considering the work that needs to be done. In other words, there is no need to clean or do any work on your property because we buy it as is. Purchase of houses in cash and purchase of condos in cash.
Once you have submitted your home or condo information via the contact form, we will call you within a maximum of 48 to 72 hours to further discuss and obtain the relevant information for our analysis. Thereafter, we will contact you again as soon as possible if your property proves to be of interest to us, in order to discuss a potential purchase offer and to set up a visit of the property, only if the amount of the offer is suitable for you. You will be under no obligation or pressure to sell to us. Cash purchase of houses and cash purchase of condos.
It all depends on your needs, the type of property you are selling and its condition. We can usually buy a house or condo in 5 to 7 days depending on the case, if that’s what you want. If you need more time to move, then we can extend this delay without any problem. You can also choose the date of signing of the sale at the notary, at your convenience. Cash purchase of houses and cash purchase of condos.
There are no fees related to a transaction with us. We make a return on our investment through the property you sell to us and there is absolutely no commission to pay. We pay all fees and costs related to the transaction. Buying a house in cash and buying a condo in cash.
Of course not! You make the decision that best suits your needs. You will never be obliged to do anything in a transaction with us. Our main objective is to make the transaction a win-win for both parties. Cash home purchase and cash condo purchase.
You will receive your money in good and due form a few days following the signing of the deed of sale at the notary. The notary must first register the transaction in the Land Register of Quebec, and then will be able to issue your check. Deadlines are usually 24 to 48 business hours.