I have a mortgage at a very good rate. If I sell my house, the buyer can take over my loan (assuming the buyer is qualified to do so) from my bank. That's what the bank told me some time back. If the buyer does not want to change his/her bank, then I will end up paying penalty so that the bank can release the mortgage. I still have abt a year left on this mortgage.
Any idea how much the bank may charge minimum? I have been with the same bank since I came to Canada, had mortgage and LOC with them earlier. Is it 3 months interest minimum penalty?
DIO
Location: carl sagan's universe
Posted on: 25-09-07 22:04:25
3 months is the norm in some banks and another formula in other banks.
This can be waived by talking to your bank if your relations are good and have been with them for several years.
if you are selling and buying another home, you can transfer the loan to your new home without any penalty.
Jayram; May not be in Ottawa may be in Indira Nagar. DIO ;The Bank can wave the penalty if it is one year fixed mortgage is pending out of five years and you have not made any late payment
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I am new
Quote:
Originally posted by jayaram
if you are selling and buying another home, you can transfer the loan to your new home without any penalty.
Sure why not? Most of the mortgages are portable these days. I agree.
Regards,
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Quote:
Originally posted by amit kalia
Quote:
Originally posted by jayaram
if you are selling and buying another home, you can transfer the loan to your new home without any penalty.
Sure why not? Most of the mortgages are portable these days. I agree.
Regards,
True.. It is possible to use that mortgage if u r buying another house within 90 days.
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Your attitude, not your aptitude, will determine your altitude.
That is why you should have control over your life or debt (mortgage), not the mortgage company.
If you understand the financial industry, then the lending institutions can not take advantage on you. There are many types of financing arrangements available with the same bank, but they don't want you to know. All we know is variable or fixed mortgage.
Take some time to understand how your mortgage work. Is there any way for you to reduce your amortization period? If we design our mortgage properly, even with the same monthly payments, we can reduce amortization years considerably and hence save a lot of interest otherwise going to mortgage company.
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