The Variable Rate Advantage

                     or To Fix or Not to Fix (your mortgage rate)

One has a fixed rate mortgage, the other is Matt Damon.

Throughout the years, most people have fallen into two groups; those that understand mortgages and those that let their banker figure it out for them.

Okay, there's also that group that just does what their parents tell them to do. 

Then there's that other group that have no idea what mortgage is and what it entails (let's call them 'kids today'). 

So, four groups but I digress.

Let's focus on the first two. 

Nowadays, thanks to the internet and the continuing increase of personal debt, people are doing more research into how they can make their dollar stretch farther. Ironically tv shows, websites, travelling circuses have been set up to help people take control of their debt in between advertisements for flat screen TVs, mobile phones and 0% down brand new cars and limited edition paperback do-it-yourself manuals.

The Art of A Barely-Done Deal

TL;NGTR (too long Not going to read) SUMMARY

Perspective after the fact

Get Everything In Writing. Seriously. No matter who's buying or selling it. 


Recently I had the dubious honor of completing a mortgage deal for a private real estate deal. I have since talked with the new owners and felt that there were some mighty fine lessons to be learned from their experience and why in all real estate deals, you should get EVERYTHING in writing and take your time in purchasing. This isn't a bike you are talking about here, this is a home worth potentially hundreds of thousands of dollars. Don't commit it if you don't have it.

#1 RULE: Don't let the sellers' needs take precedence over your own.

Now I've already talked about some of the concerns regarding attempting to sell your home privately in this post here, this time I will talk about actually completing a privately sold deal and the aftermath.

In this instance the buyers were a young, professional woman with two children and her father-in-law. The sellers had a close relationship with the buyers, being neighbours and also being their child's day care. The children go to the same school, are in the same class and consider themselves best friends.

The sellers were also looking to purchase and any offer they made was subject to their house being sold. They were anxious to sell as twice they have lost out on a purchase due to the above-mentioned subject.

They agreed to a price for the home and that's where I come in.

First, the 5 C's of the buyers.