Back to: April 2020


What is Mortgage Payment Deferral?
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The Coronavirus crisis has left many homeowners in Canada without a job or with reduced hours and wondering how to pay their mortgage. Homeowners facing financial stress may be eligible for a mortgage payment deferral up to 6 months to help ease the financial burden.

The COVID-19 Mortgage Payment Deferral program will be ongoing. You can apply at any time during this outbreak.

What is mortgage payment deferral?
Mortgage payment deferrals can help you during times of financial hardship — like unemployment or reduced employment due to the Coronavirus (COVID-19) outbreak.

The deferral is an agreement between you and your lender. Typically, the agreement indicates that you and your lender have agreed to pause or suspend your mortgage payments for a certain amount of time. It’s also known as a mortgage payment deferral agreement or mortgage forbearance agreement and it’s a temporary measure.

After the agreement ends, your mortgage payments return to normal and the missed payments — including principal and accumulated interest - repaid.

How mortgage payment deferrals can help you?
A mortgage deferral helps you when you’re struggling to make your payments by allowing you to skip your mortgage payment for a specified amount of time.

Are the deferred payments erased or canceled?
The mortgage deferral agreement does not cancel, erase or eliminate the amount owed on your mortgage. At the end of the agreement, you will have to resume payment according to your regular payment schedule.

NOTE: The interest that hasn’t been paid during the deferral period continues to be added to the outstanding principal of your mortgage. This can affect the total amount you owe in accordance with the original payment schedule.

Do I need to repay the deferred amounts?
Yes, you’ll need to repay the amounts of the skipped payments including both principal and interest.

How do I repay the deferred amounts?
Details of the repayment will vary according to the specific lender and situation.

The interest on your mortgage that hasn’t been paid during the deferral period continues to be added to the outstanding principal of your mortgage. When your payments start again, your mortgage payment might be based on the total amount you then owe to pay off your mortgage in accordance with the original payment schedule.

IMPORTANT: Mortgage payment deferrals focus solely on your mortgage. It won’t affect other payments regularly withdrawn, like property taxes and life/disability insurance.

How do I know if I am eligible for a mortgage payment deferral?
Your lender — your bank or your mortgage professional — can tell you if you are eligible for a mortgage payment deferral.

Is CMHC helping with mortgage deferrals?
Yes, with the COVID-19 outbreak, we are allowing lenders to offer deferred payments for insured mortgages.

All mortgage insurers offer a number of tools to lenders that can help you when you’re in financial difficulty and are struggling to meet your mortgage obligations.

What if my mortgage isn’t CMHC-insured?
Any borrower facing financial difficulty should contact their lender — your bank or mortgage professional — to learn what options are available.

What are my options?
The payment deferral is for people who will struggle to make their next mortgage payment. If you are in a position to make your payments, you should.

If — at any point in this crisis — you think you won’t be able to make your regular mortgage payment, it’s important for you to take quick action. Contact your bank or mortgage professional immediately before you miss a payment.

 

Source: Canada Mortgage and Housing Corporation

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With Compliments of

Michele Vyge-Fraser
Real Estate Agent/ Associate Broker/ CNE®


Red Door Realty
1314 Martello Road
Chapter House
Halifax, Nova Scotia,
T: 902-830-6397
NovaScotiaRealEstate@gmail.com
www.RedDoorRealty.ca

Hello!
Happy Summer! The Maritime borders are open, Covid19 cases are finally at a record low and our Real Estate market is hot! Competing offers are once again the norm for good listings and our Sellers Market is driving prices up. 

Since my last newsletter 4 weeks ago;

In HRM there have been;
  • 350 new listings
  • 196 conditional sales
  • 674 MLS sales that have firmed up
  • 6 listings that have been withdrawn
Across all of Nova Scotia there have been 1201 MLS residential sales that have firmed up and there are currently 346 conditional sales showing.

112 of the sales across Nova Scotia have sold for $500,000 or more of which 106 of the residential properties are in HRM.

The highest recorded MLS sale in the last 4 weeks is $1,350,000 (this property was on the market for 1 day and sold for full price)

So this months question is... Is it time to buy a second property or move outside of HRM? Currently there are over 2000 active detached residential MLS listings outside of HRM, across Nova Scotia. 555 of those listings are listed with waterfrontage of which;
  • 70 are listed as cottages from $59,900 to $1,150,000.
  • Closer to Halifax, 42 of those listings are listed under $300,000.
  • of which 22 are under $200,000...  

Curious about those listings or any others? If you are ready to get back into the market or to buy your dream waterfrontage cottage or, anytime you know someone else who is, please contact me anytime! 

Happy Summer!

With Gratitude,
Michele 

 


NATIONAL MORTGAGE RATES
Term Posted
Rates*
Best
Rates*
6 Months 3.34% 3.30%
1 Year 3.59% 3.04%
2 Years 3.74% 2.89%
3 Years 3.89% 2.79%
4 Years 3.95% 2.95%
5 Years 5.34% 2.69%
7 Years 5.80% 2.99%
10 Years 6.10% 3.04%
Variable Rate 2.90%
Prime Rate ** 3.95%
*last updated: Feb 18,2020


www.RedDoorRealty.ca

Halifax Mortgage Specialist Bruce Lusby 

(902) 210-0515

http://mortgageweb.ca/BruceLusby

Halifax, Nova Scotia - updated Oct 6, 2015

Variable:

5yr @ Prime - .65% (2.05%)

HELOC @ Prime +.25% (2.95%)

Fixed:
1yr 2.29%
2yr 2.09%
3yr 2.24%
4yr 2.54%
5yr 2.54%
6yr 3.39%
7yr 3.44%
10yr 3.84%

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The material in this publication is provided for your informational purpose only and is not intended to substitute professional advice. If your property is currently listed with a Real Estate Broker, this publication is not intended as a solicitation.