Determine the Right Term
Choosing the mortgage term that is right for you can be a challenging proposition for even the savviest of homebuyers.
By understanding mortgage terms and what they mean in dollars and sense, you can save the most money and choose the term that is right for you.
There are many factors, either in the financial markets or in your own life, which you will also have to take into consideration when you select your mortgage term length.
If paying your mortgage each month places you close to the financial edge of your comfort zone, you may want to opt for a longer term mortgage, for instance ten years, so that you can ensure that you will be able to afford your mortgage payments should the interest rates increase. By the end of a ten year mortgage term, most buyers are in a better financial situation, have a lower principle balance due, and should interest rates have risen, will be able to afford higher mortgage payments.
If you are shopping for a mortgage for an investment property, you will likely want to consider choosing a longer mortgage term. This will allow you to know that the mortgage payments on the property will be steady for a long time and allow you to more accurately project your future income from the property.
Choosing the right mortgage term is a unique decision for each individual. By understanding your personal financial situation and your tolerance for risk, a mortgage professional can assist you in choosing the mortgage term which will work the best.
Dennis Petersen, AMP
President and CEO
The founder of Dominion Lending Centres Westcor (now Dominion Lending Centres Regional Mortgage Group).
Since 1977, Dennis Petersen is considered a pioneer of mortgage brokering in the province of Alberta.
Dennis began his career in business financing as Senior Manager at Pacific Finance, a Trans America company. From there, Dennis, along with a business partner, successfully started and ran a company called Instant Shade Nurseries, where he was responsible for the company finances and business development. Over the years, he was instrumental in securing major contracts with the City of Calgary and other large Calgary companies.
Now, with more than 33 years of experience in the finance and mortgage business, Dennis is dedicated to creating and maintaining a work environment based on integrity and respect. Through his mentorship, our team at Dominion Lending Centres Westcor (now Dominion Lending Centres Regional Mortgage Group) endeavors to make sure all of our clients are supported to achieve their financial goals.
With access to more than 230 lending institutions, including big banks, credit unions and trust companies, our licensed team of mortgage professionals is familiar with a vast array of available mortgage products – ranging from first-time homebuyer programs to financing for the self-employed to financing for those with credit blemishes.
And, best of all, Dominion Lending Centres’ mortgage professionals work for you – not the lenders – to ensure you receive the best rates and products available in today’s marketplace. Whether you’re looking to purchase your very first home or upgrade to a new home, renew your existing mortgage, refinance your mortgage to free up some equity, purchase investment properties or vacation homes, or lease business-related equipment, Dominion Lending Centres has a variety of products available to meet your unique needs. Our mortgage professionals are experts in their field and many are ranked among the best nationally. Launched in January 2006, we were named Best Newcomer (Mortgage Brokerage Firm) at the prestigious CMP Canadian Mortgage Awards 2008 – the Oscars of the mortgage brokering industry. At the 2009 CMAs, we received the Best Branding Award, and again in 2010, with the addition of the prestigious title of Mortgage Brokerage of the Year and Best Advertising. At the 2011 Awards, we again walked award with Best Advertising, and in 2012 we were honoured with: National Broker Network of the Year; Best Advertising; and Best Branding. Dominion Lending Centres is also honoured to be ranked 32nd on the 2012 annual PROFIT 200 ranking of Canada’s Fastest-Growing Companies by PROFIT Magazine. Ranking Canada’s Fastest-Growing Companies by five-year revenue growth, the PROFIT 200 profiles the country’s most successful growth companies. PROFIT 200 is Canada’s largest annual celebration of entrepreneurial achievement. In both 2009 and 2010, Dominion Lending Centres also earned spots on the PROFIT HOT 50 List of Canadian Emerging Growth Companies. The PROFIT HOT 50 ranks the top 50 young businesses in Canada by two-year revenue growth. Dominion Lending Centres’ mortgage professionals are available anytime, anywhere, evenings and weekends – and we’ll even come to you!