Posted on: 29-04-11 23:57:12
which bank with 0.95 below prime ???????
Quote:
Originally posted by dudewheresmycar
This may help..
Recently i bought a power of sale old Semi detached 3 bed room home in Brampton... The place has yard walk out to park.
Avg sale price in area is 26000$.I bought the house for 245000. Had a 1 bedroom finished basement.
Did some minor repairs, paint job and new stainless steel appliances for 4000$. Total cost after closing cost 25000$.
I got a mortgage of 196000 at variable rate of .95 below prime currently working out to 3.80%.
Here is the math.
Interest 615$
Property tax 225$
Utilities 300$(Estimated avg)
Propery Ins 60$
Total cost 1200$
Basement has been rented out for 500$.
Actual cost of owning 700$ v/s renting 1050$.
Even if the variable rate goes up by about 2% still i am in the clear as far as rent v/s owning goes..
The only downside is i take is market risk, which i think for my property and location is very marginal.. the other risk is major incidental maintainance
I am not saying buying is for everybody.. I did have a sleepless month after i decided bought the place.. But today i am beginning to enjoy the 3050$ difference and well as the house..
Mind u the appartment was crap and a good decent appartment in my area cost 1250$ and the space in my house is atleast 1 - 1/2 times the rental place (exculding the basement)
The dude..
Quote:
Originally posted by meetonline
So much of talk on condo and townhouses, It is very confusing to know which one is better since many different opinions are given by peoples.
Can any one make it more clear compression between buying condos or free hold townhouse?
In terms of: monthly expenses, investment , Renting V/S Buying?
Quote:
Originally posted by pritesh_patel
which bank with 0.95 below prime ???????
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This is an old thread and the rate you are seeing is 20 months old when the prime rate was 4.75% and variable rates were being offered with good discount to prime. In fact the variable rates have gone up in the last couple of days as the banks have decreased the discounts. This and other old threads on real estate are springing back to life for obvious reasons and right now getting this variable rate would be quite difficult, either from RBC or from any other lender.
Good Luck.
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Pramod Chopra
Senior Mortgage Consultant
Mortgage Alliance Company of Canada
