Reasonable. That's why I don't recommend buying expensive houses. However, you forgot to mention credit. The more credit you have, the more loan you can get from a bank - the less chance you have to sell your house.
-rollor(Rollor);
2005-2-7(#2113827@0)
Re: interest increase this yearI don't think the interest will go up this year since there is so many people out of work.
-t4expert(t4expert);
2005-2-13{91}(#2122839@0)
I knew that. But I can not wait. Family need house.
-apple_tree(苹果树);
2005-2-8(#2115111@0)
not quite understand #3. why "It is the bank that will lose about 40k, not you. "? do u have to pay off 190k if you want to terminate your mortage? otherwise, you will bankcrupt. right?
-0077(gps);
2005-2-8(#2115415@0)
exactly!Bank lent 200K to you, you have to return it to Bank 200K plus the compound interest. There is no way for the bank losing money. It is not easy to say "I am bankrupt. Life will be changed totally!
-vetra(piyupiyu);
2005-2-11{201}(#2119988@0)
apply line of credit, you can reduce the risk. also, if house pricing goes down, that means other investment also go down. house is a very low risk investment.
-deeply(deeply);
2005-2-8(#2115456@0)
Wrong! If house pricing goes down, it means people are investing in something else.
-gthm(改头换面);
2005-2-8(#2115466@0)
July 1, 1980, prime rate = 11%; 5 month later, Dec. 1, 1980, prime rate = 21.5%. (Such things are not often, and not never.) Bigger changes of interest change is not impossible.
-rollor(Rollor);
2005-2-8(#2115702@0)
What about year 2009? or 2015? History is never the same, and will never be simple repeats. When speaking about risk, we are talking about possibilities.
-rollor(Rollor);
2005-2-9(#2116360@0)
do you know stock market? I know and experienced the nightmare ever. Although real estate doesn't act like stock, did you see the collaps ever happened? I believe it could be re-play,though not at same manner.
-peptalker(冬天过去就乔迁);
2005-2-9(#2116434@0)
So, what is your suggestion? Waiting for another 5~10 years to buy a current price $360k's house with $150K? Never forget one thing, Canadian population is growing.
-apple_tree(苹果树);
2005-2-9(#2116856@0)
The money you can borrow from a bank is not base on your CREDIT, but the CURRENT market price of your house.If you your house is 40k cheaper than previous year, there will be a 40k gap between the new loan and the old loan. you must pay for the gap. or the bank will claim your house.
-abighead12(换雪胎);
2005-2-13{177}(#2123170@0)
The money you can borrow IS based on your credit , the mortgage you can borrow is based on the price of the house. MONEY and MORTGAGE are totallly different!!!
-axid(axid);
2005-2-14(#2125322@0)
just as a saying in chinese stock market, if those who doubt the danger of market rush into exchange, a sensitive time is upcoming. For so many patient house buyers have been unable to be patient, ......understand?
-goggles(戴眼镜的猪);
2005-2-9(#2116418@0)
it seems you are not ready to move after this winter.
-andyhe66(andy);
2005-2-8(#2116160@0)
THat's right. it seems I would move into an apartment , for it's safer than taking part into the rush purchasers.
-peptalker(冬天过去就乔迁);
2005-2-9(#2116438@0)
Waiting for the right time and save as much as deposit for future deal to prevent the possibly soared mortgate rate! For the going-up has kept for almost 10 years. Economy is getting stronger, how does the price go?
-peptalker(冬天过去就乔迁);
2005-2-9(#2116430@0)
Please tell me exactly how soon the time will come. And then I will wait.
One year? Two year? Three year? How deep will the drop be? 300Khouse drop to 250K? 200K?....
-apple_tree(苹果树);
2005-2-9(#2116871@0)
成交下跌? 4153 this month, 4232 Jan of 2004, 4256 Dec of 2004. I don't think the volume thrink too much. 2~3% is normal fluctuate!
-apple_tree(苹果树);
2005-2-9(#2116888@0)
US$ up recemtly, than the person who hold the US$ from China mainland will change to CND, than begin to buy property, than the price....... 大家都说会跌?
-hst(aa);
2005-2-8(#2115831@0)
anyway, we should try to find a place to call HOME. anyway, risk is over there. try to be sensitive to it and avoid it before it is too late. good luck, everybody.
-andyhe66(newmarket);
2005-2-8(#2116206@0)
What I don't understand is that your income from the company you are working should be different with the profit your own company. Can you claim the income deduction for your own company?
-zhu(猪头);
2005-2-13(#2123225@0)
Who tell you that ?
-t4expert(t4expert);
2005-2-13(#2123389@0)
When you have your own company with a lose, that lose can be used to reduce your income to 0.
-t4expert(t4expert);
2005-2-13(#2123392@0)
Do you know what Tax auditors are doing? Catching greedy guys like you.
-pdz(北大荒知青);
2005-2-14(#2124183@0)
I know revenue canada well and they are not interested or will never audit the person with income lower than $50000.
-t4expert(t4expert);
2005-2-14(#2124806@0)
You don't buy the house but your company does.
Or you buy the house not for own use but for business purpose and you can claim all the expense as business expense for sure.
-t4expert(t4expert);
2005-2-14(#2124803@0)
You don't sell the house when the book value goes down. You buy another house using this one to borrow more money from the bank.
-t4expert(t4expert);
2005-2-15(#2125544@0)
文章举的例子有一个错误。他的朋友买20万的房子,付首付5万,贷15万。1年后房子贬值4万。如果renew mortgage,是不需要付给银行4万块的。因为贬值没有超过首付。这时他的房子还值16万,用来抵押不到15万的贷款没有银行会拒绝的。
-johnnyhatesjazz(Rock and Roll);
2005-2-15(#2126111@0)
Refinance and Renewal are totally different.
-rollor(Rollor);
2005-2-16(#2127416@0)
it's different for sure! Refinancing is borrowing money from another bank after you purchased the house through the previous bank (you can even do that before the term ended, with some penalty).When the term is ended, you can choose to renew with current bank, or change to another bank(refinancing). Actually at time of renewing, if you financial status was improved during last couple of years, you will have a better position to shop around. Otherwise, banks may choose lend you the money or not. It's really not only related with how much your house worthing. For housing, people are not treated equally by the bank!!
-axid(axid);
2005-2-16{429}(#2129363@0)
It depends. If you don't have a good credit, for example, you happen to be jobless for a while before renewal, 银行 may likely 拒绝 15万的贷款 on a 值16万的房子.
-rollor(Rollor);
2005-2-16(#2127422@0)
if as your said, they lost their job and there is no savings, they will sell the house anyway not matter the mortgage got renewed or not.
-johnnyhatesjazz(Rock and Roll);
2005-2-25(#2144951@0)
No. They could rent a room or two out to cover the cost. However, the bank does not consider that as their credit.
-rollor(Rollor);
2005-2-25(#2145760@0)
如果你的情况没有什么改变,只是房子跌价了。只要没有跌到比downpay还多,renew应该就没有影响。
-johnnyhatesjazz(Rock and Roll);
2005-2-25(#2144955@0)
The thing is, how can you make sure 你的情况没有什么改变? Many high paid IT professionals lost their job over night. What if it is just time to renew their mortgage?
-rollor(Rollor);
2005-2-25(#2145330@0)