I have recently partnered up with the Tax Deductible Mortgage Plan or TDMP. I have always believed that part of the mortgage planning process should be to consider if it is possible to make your mortgage more tax efficient.
For many clients the idea of having a tax deductible mortgage is appealing but the thought of all the paperwork is too much to even consider the idea. For these people TDMP may be the answer. TDMP manages the entire process of converting your mortgage from being non-tax deductible to being a fully tax deductible mortgage.
By following this program you will be able to save money on your taxes and pay off your mortgage sooner.
TDMP does charge an initial set up fee and a monthly fee to operate the program but these fees are also tax deductible and over the life of your mortgage will be covered many times over by the savings from following the plan.
If you are self-employed or own an investment property you should definitely consider this program. Or if you want to build an investment portfolio but are not sure were the extra monies for saving will come from you this may be the answer.
To find out more about the Tax Deductible Mortgage Plan click here or give me call at 604-961-2400.
Market Update
The biggest change to interest rates has been with the variable rate mortgages. Many lenders have now reduced the discount they are offering to prime minus .3% to prime minus .4%. We still have some lenders in the prime minus .6% to rime minus .7% range. This move came very quickly and reflects the banks concerns over the situation in Europe. They are trying to prevent a situation similar to 2008 when their cost of borrowing for their short-term money increased because the banks stopped lending to each other. If Greece or Italy were to default on their debts it could cause another round of banks refusing to lend to each other until they can confirm which lenders have exposure to this debt.
Canadian bond rates have remained very close to historic lows. These lows bond rates have allowed lenders to reduce the interest rates on their fixed term mortgages. As a result we have seem many lenders reduce the interest rate on their five year fixed term rates are in the 3.29% to 3.49% range. With some lower rates being offered for those that can close their mortgage quicker. There still may be some room for the five year fxed rates to drop a bit further.
Even thought it does not appear that rates are going up it is always a good idea to get a rate hold in place if you are thinking of making a move. The first step to secure a rate hold is to complete an application. Give me a call at 604-961-2400 or you can get started by completing my secure on-line application here.
