As a homeowner, one of your New Year’s resolutions may include a goal to stabilize your financial position in 2013.
Despite regional ups and downs, the forecast for Canada’s real estate market is still positive. Interest rates continue to remain at historically low levels, and in fact have fallen by half since 2007.While it’s easy to get caught up with the excitement of lower rates today than what you might have been paying a few years ago, remember that you can make the most of today’s conditions by finding out how you may be able to capitalize on the lower rates to pay off your home sooner.
Do you qualify for a lower mortgage rate than what you are currently paying? If so, consider keeping your payments the same, even though a lower interest rate would lower your monthy obligation. This will result in more money being directed toward your principal, a shorter term, and substantially less interst paid by the end of your term.