As someone who's lived in the Galt Core, and given my profession, I take great pride in living in a beautiful town where we can enjoy many old buildings with boundless charm and character. That are half empty. And have been that way since I first moved into the core in 2003. Every time a new shop opens, another can be found shuttering it's door and windows. We want to revitalize the core. We want us to move forward. We want LRT, and GO trains, and to get back to the river. But how are we going to achieve all these things if we don't get warm bodies downtown? We should be so lucky, that someone wants to spend $130m in our core, and we must be willing to work with them instead of putting up roadblocks. We know this to be true from our own gardens and homes. Left neglected, even the pretties gardens will whither and die. If we have to alter the garden to accommodate a caretaker, isn't that a better and more fitting way to protect it, rather then just neglect it? The end result will be more money spent in our core, more businesses thriving and hiring more people, and so on. And just perhaps, Mayor Craig will be able to sleep a little more easier, seeing a lot less people utilizing the Cambridge Food Bank. Let's just build the damn towers already. Are 20 stories too high? Should they be reduce to 18 or 16? Do you think that will make a difference? Post your comments below! :-)
Most mortgages have a fee to exit the contract, but calculating it can be confusing and expensive. You have to pay the greater of 3 months interest or the IRD, Interest Rate Differential. The reason for the penalty is to compensate the lender for the loss of expected profit. If a borrower promises to borrow money for five years, the bank counts on five years of interest payments. Reneg on that deal, and the lender needs to recoup some of that loss revenue. The issue is how this penalty is calculated and, for the most part, each lender has a slightly different variation. This is one of the top 3 complaints to the banking Ombudsman. In fact in 2011 there was a class action suit against CIBC in B.C. and Ontario.
If you are in a variable rate mortgage, the penalty is most often 3 months worth of interest, but the IRD is more difficult to calculate. In it's most simplistic form, this is how it looks:
(posted rate at original mortgage date - posted rate for remaining term) / 12 = IRD Factor * outstanding mortgage balance * number of months remaining in term + lender discharge and mickey mouse fees.
Most big bank websites offer their own online calculator, but for the most accurate answer, consider calling your mortgage adviser and ask for the exact amount as if you were to break your mortgage today.
Buying and Selling Residential, Condominium and Investment real estate in the Waterloo Region since 2008. Oh, and also Ottawa! :-D