Over the past quarter, we have seen some rates dip versus increase as predicted. Yes bank prime increased two times but fixed rates have come down and the discounts on variables mortgages have become more attractive as well. New reports of moderating inflation coupled with slowing recovery have taken the pressure off the Bank of Canda to increase rates further.

Last week we heard that rates in the U.S. will not increase until at least 2012 and since Canadian rates cannot be more than 2 per cent above U.S. rates we have to put on the brakes, otherwise our dollar will soar, exports to the U.S. will drop sharply putting us back into recession. The U.S. economy is still very fragile and unemployment is much higher than published. In fact, consumer prices and wages in the U.S. have declined 3 months in a row, which has given rise to new fears of DEFLATION. If you think about it, the U.S.(led by housing) has been in a deflationary recession for at least two years now.

Deflation can be as damaging as inflation as prices(including housing prices) fall, incomes fall, job losses climb etc. What is also worrisome is that credit card rates are climbing at a time when we have record levels of ‘consumer’ debt. We should also point out that the banks are increasing the minimum monthly payments to 3% of balance, which makes it more difficult to pay consumer debt.

Recessions, historically have been caused by excessive inflation. Now there is a possibility here in Canada of a recession driven by deflation. There is also still a possibility of a ‘double dip” global financial crisis which would create a new credit crunch. What we do know is that the real estate market has cooled. We view this as positive actually, since the market is now more balanced, and the fear of a ‘bubble’ has disappeared.

Folks, if you have any consumer debt, whether you are feeling pinched or not, now is a good time to eliminate that (bad) debt now. Debt is debt, however high interest debt is referred to as the ‘devil’ in finances. Using one’s home equity to eliminate high interest debt is the best way to get on sound finncial footing.

Call us today for a free evaluation of the potential costs and savings, and the option of getting a customized mortgage product that better matches your circumstances. As experts in mortgages, our mission is to save you money, provide you with professional, unbiased advice, advice you won’t get from your bank.

Ross was a guy who just doesn’t give up. When his mother(who got her mortgage through us) asked us to help her son, his wife and her three grandchildren we knew our work was cut out for us. Although they had good credit, their debt load was too high to fit any bank’s criteria. But the deal needed our expertise to figure out how this nice family could get into ther first home. Well it took some work. We suggested ways to reduce the amount of debt. They paid down what they could and their parents helped them out.

With 47 lenders including all the major banks in our arsenal we were able to find a lender who would consider the couple’s child tax credit of 1200 per month.

This couple was able to find a beautiful home with inground pool for the same money they were paying in rent. There is nothing better than a motivated buyer!

This couple just needed to hook up with us in order to make it happen. Ross and his little children will be swimming in their pool in a few weeks. We just love helping first time home buyers!

Although even 1/4, 1/2 to 3/4 % can mean tens of thousands of dollars more interest. When you renew or refinance with the same lender(on your own, without a broker), you are likely not getting the best rate. As a matter of fact, we can also guarantee it, because most lenders(banks and non banks alike) generally do not offer existing clients as good a rate as they do, new clients. This is true even if you pay the full penalty.

What a travesty, over 80% of Canadians blindly renew/refinance with the same lender, without asking any questions, throwing their money down the drain.

Tracy and I always get every client the absolute best rate, the first time, every time. We are like the TV guy from Ing who consistently gives a message. “we save you money” Well folks, he’s working for the bank isn’t he. WE WILL SAVE YOU MORE MONEY? We work exclusively for you and are committed to finding you the lowest rate, guaranteed. Question. Why do the banks not post/advertise their best rates like we do. We are transparent, whereas the banks are not. Check out our rates atwww.rontracy.ca

There are many ways we save you money, not to menion, provding you with invaluable, unbiased advice and superior service and convenience, with mortgage products that will save you even more.

DID YOU KNOW:First time home buyers and the uniformed are easy ‘prey’ of the banks because they lack both knowledge and experience. Choose us first and you will be in the best of hands. We care, we educate and we deliver. CURRENT 5 YEAR FIXED BANK RATE is 5.79% as compared to our best 5 year fixed rate of3.79% WOW

Mortgage brokering is not a new phenomenon, it has been around for decades. In the past, only those who had bad credit would use the services of a broker. As higher risk transactions, generally rates would be higher, loan to value ratios were lower(than mortgages with good credit risks)and brokers were paid for their service by the borrower(called a broker fee),not the lender. Brokers dealt primarily with private lenders as opposed to institutional lenders, and were used as a ‘last resort’

Today’s mortgage broker industry is growing in leaps and bounds because it specializes in all types of mortgages, credit types and financial circumstances. However, mortgage brokers are increasingly chosen as a ‘first’ source of prime lending needs, accessing hundreds of mortgage products and dozens of mortgage lenders in finding the best ‘fit’ for today’s clients. Now, one in every four Canadians choose mortgage brokers because they recognize the many benefits of having a mortgage professional work in their best interests to get them the best possible solution.

Today’s reality is that consumers are realizing more and more, that finding that best mortgage can best be done with the assistance of a professional mortgage broker, as opposed to doing it themselves. today’s mortgage market is more sophisticated and complex than ever and it encompasses a mind boggling array of mortgage options. As a result, the vast majority of brokered mortgages today are prime institutional mortgages as opposed to private mortgages, and the best news, is that the broker’s services are usually free of charge as institutional lenders pay mortgage brokers a ‘finders fee’ for originating mortgage business.

Brokered mortgages not only mean a superior end result, but also save the consumer time and money, often considerable money. In short, those who have used the service know first hand that is a ‘win win’ scenario, and they usually have no hesitation in recommending it to friends and relatives, especially since they know that their mortgage broker acts ‘in their best interests’, is on ‘their side’ and is much more accessible/available than the bank, which invariably means better service.

So, to answer the question “Who uses mortgage brokers?” People who want the best service, unbiased; professional advice, and ‘one stop shopping’ access to the best rates, mortgage products and terms in the marketplace, that’s who. This means that still 3 out of 4 Canadians are likely making higher mortgage payments than they need to, and are paying thousands of dollars in interest to their friendly banker, that otherwise would go in their pockets. Smart people also have learned that they can obtain the lowest rate the first time, everytime without having to negotiate with the bank(which is often not possible) because skilled, knowledgeable brokers do this for them.

Today’s 5 year fixed bank rate is 5.95%. Our best Variable is .60% below prime or 2.15 % Visit us at www.ronandtracy.ca