Take Closer Look at Average Mortgage Rates across the Region with Our Trusted Vancouver Mortgage Broker
 February 2 2017     Posted by Siemens Group

As a leading mortgage broker serving clients throughout the  Vancouver lower mainland area, we’re committed to helping you understand the latest data from within the mortgage industry. If you’re a new homebuyer, one of the most important measures of a marketplace is the average mortgage rates homebuyers pay in the area. And so, within this latest post, we’ll provide insights from our experience as a leading local Vancouver mortgage broker  and highlight the average rates across the city.

While the average price of a home in Vancouver has decreased 3.8% over the last year, according to the latest CREA data, the average still remains at $895,084. This is three times as much as the average home price in Halifax. And it’s part of the reason that the provincial government in BC has introduced their Mortgage Assistance Program to help homebuyers manage costs.

The data shows that, for the average home price of $895,084, with a 25-year amortization period and a 5-year fixed rate mortgage at 2.54%, the average price per mortgage payment in Vancouver is $3,872.

Down Payment

The average monthly mortgage payment is just one consideration when evaluating the strength of a marketplace and the potential value of homes in the area. As a potential buyer in Vancouver, it’s also important that you take a look at the minimum down payment for Vancouver properties.

For homes that are priced below $500,000, the minimum down payment for the property is 5%. For a home priced above $500,000, the minimum down payment is 10% of the portion of the home above $500,000 plus 5% of the home value under $500,000 ($25,000). This means that, given an average home price in Vancouver of $895,084, the average minimum down payment for a home within the area is $64,508.

Elements to Consider when Negotiating Your Mortgage

Now that you have a greater insight on the average payments within the Vancouver housing market, it’s important to more closely review the elements to consider when it comes time to negotiate your mortgage. Consider the following before beginning discussions with your lender:

• Learn the Difference Between Fixed Rate and Variable

When researching mortgage options, make sure you know the difference between fixed rate and variable mortgages. Look closely at the advantages and disadvantages of each.

• Look Closely at Potential Penalties

Will the mortgage contract include penalties for late payments? What is the process for a default? Life events can transpire that make mortgage payments difficult to make. Ensure you closely review the documents alongside a qualified Vancouver mortgage broker.

• Create a Flexible Budget

Ensure the budget you craft before headed to negotiations with your lender is flexible. Give yourself some extra room just in case you need to make changes at a later date. You may want to buy a more expensive property, with a greater suitability if one becomes available.

Our team here at Invis – The Siemens Group is here to guide you in choosing the right mortgage for your home ownership requirements. To learn more, or speak to a mortgage broker  at our Vancouver office, call 604-351-7438.