Types of Mortgages

Fortunately for buyers, there are a variety of mortgages to choose from.

It is in your best interest to investigate each of them to determine which is the best for your situation. You probably won’t qualify for all of them. In fact, you may only qualify for one. But if you do qualify for more than one, you may save yourself money (and worry) in the long run if you do your homework before signing on the dotted line.


Fixed Rate Mortgages

Consider a fixed rate mortgage if either of the following describes you:

  • You plan on living in your new home for many years, and/or
  • 15-Year Fixed-Rate:
  • Pay off the loan in half the time of a 30-year loan.
  • Equity builds up more quickly than in a 30-year loan.
  • Payments are higher (which may be a problem if you lose your job or become unable to work).
  • 20-Year Fixed-Rate:
  • Pay off the loan in 2/3 the time of a 30-year loan.
  • The overall interest paid is considerably less than for a 30-year loan.
  • 30-Year Fixed-Rate:
  • The most common choice, especially for first-time homebuyers, as it’s the easiest of the fixed-rate loans to qualify for.
  • Monthly payments are lower than for 15-year and 20-year loans. This can prove especially helpful if you do not have a lot of “padding” between the amount you can afford to spend and the monthly payment for your desired property.
  • More desirable if you plan on staying in the same home for years, since equity builds more slowly than for shorter-term loans.
  • For income tax purposes, this term provides the maximum interest deduction.   You are not a risk-taker and prefer the stability of knowing how much your payment will be each month. Since most home loans are for a period of 30 years, if you want a payment you can count on for that long of a period of time, a fixed rate mortgage may be what works best for you. Once your loan amount and interest rate are calculated and locked in, a fixed rate mortgage will guarantee that you will have the same payment over the life of the loan. Making extra payments to principal will allow you to pay your loan off sooner. This may not always be the best choice, however. If interest rates are very high at the time you take out your loan, with a fixed rate mortgage you’ll be stuck with that high interest for the life of the loan (unless you choose to refinance). Conversely, if interest rates are very low, you’ll come out the winner with interest rates that will stay low no matter how high interest rates go in the future. The following are the advantages and disadvantages of the varying lengths and terms of fixed-rate mortgages:

Adjustable-Rate Mortgages (ARMs):

If you are more comfortable in taking a risk with your money or if interest rates are very high at the time you take out your loan, an adjustable-rate mortgage (ARM) may be the solution for you. You might also choose this type of loan if your planned ownership of the property is short-term or if you expect your income to increase to cover any potential rise in the interest rate.

  • Generally, the interest rate when you take out your loan will be lower than a fixed-rate mortgage. Please note that this is true initially, not necessarily long-term.
  • Since an ARM rate rises and falls depending on the prevailing interest rate, your mortgage payment will rise and fall accordingly. If your income is not sufficient to cover the highest possible payments, then this option is not for you. On the positive side, the lower initial payments will allow you to qualify for a larger loan than if you choose a fixed-rate. The downside is that your payments will increase if/when the rates go up.
  • Typically, ARM interest rates are tied to a specific financial index (such as Certificate of Deposit index, Treasury or T-Bill rate, Cost of Funds-Indexed Arms or COFi, or LIBOR [London Interbank Offered Rate]) and your payment will be based on the index your lender uses plus a margin, generally of two to three points. Get the formula used by your lender in writing and make sure you understand what it means.
  • Fortunately, the amount an ARM can increase is limited. There are “caps” on how much your lender can increase your rate, both for a period of one year and for the life of the loan. Plan ahead, and have your lender calculate what the maximum payment would be if your rate went to the highest amount allowed by the cap for your particular mortgage. If you are not confident you’ll be able to pay that amount on a monthly basis, perhaps you should reconsider this type of loan.


Convertible ARMs:

If neither the fixed-rate or the adjustable-rate mortgage seems like the best option, perhaps the convertible ARM will be right for you. This alternative combines the initial advantage of an ARM with a fixed rate after a predetermined number of years. Obviously, this type of mortgage has more advantages when the initial interest rate is low and the future rate is not guaranteed.

  • Government Loans: Another mortgage option available to some people is a government loan, providing that you meet the qualifications for these loans.
  • VA Loans: Veterans may qualify for a loan from the Veterans Administration. There is a limit on the amount you can borrow, so this option works best for those buying a lower priced home.
  • FHA Loans: The Federal Housing Association offers loans to lower-income Americans. Look for the phrase “FHA approved” when looking at ads for homes.


By Lauren Hinchliffe April 8, 2025
Spring is here, and with it comes blooming flowers, longer days—and the busiest season in real estate. If you're thinking about buying a home, now might be the perfect time to make your move. Here's why spring is such a hot time for home buyers and how you can navigate the season successfully. 🌼 Why Spring is Prime Time for House Hunting 1. More Inventory to Choose From As the weather warms up, so does the housing market. Sellers who’ve been waiting out the winter are now ready to list, meaning more homes hit the market in spring than any other season. That gives buyers more options—and a better shot at finding their dream home. 2. Perfect House-Hunting Weather Let’s be honest: no one wants to tour homes in freezing temps or icy roads. Spring’s mild weather makes weekend open houses and afternoon showings more enjoyable and easier to schedule. 3. Ideal Timing for Families For families with kids, buying in the spring allows time to close the deal, move, and get settled before the next school year starts. It’s a natural timeline that fits many lifestyles. 4. Homes Show Better There’s something about green lawns, blooming gardens, and sun-drenched windows that makes a home feel more inviting. Homes often look their best in spring, which helps buyers visualize living there. 🌿 Tips for Buying in a Competitive Spring Market 1. Get Pre-Approved First Spring means more buyers, and that means competition. Getting pre-approved for a mortgage shows sellers you're serious and gives you a leg up in multiple-offer situations. 2. Act Fast (But Smart) Desirable homes can go under contract in days—or even hours—in spring. If you see something you love, be ready to act. But don’t skip inspections or rush decisions. Fast doesn't mean careless. 3. Work with a Local Agent A good real estate agent will help you navigate bidding wars, spot red flags, and find homes that might not even be on the market yet. Local knowledge is gold in a busy season. 4. Know Your Must-Haves vs. Nice-to-Haves Spring can be overwhelming with so many options. Make a list of what you need in a home versus what you want. That helps you stay focused and avoid decision fatigue. 🌸 Final Thoughts Buying a house in the spring has its challenges, but it also offers big opportunities. If you’re prepared, flexible, and working with the right team, you can take advantage of the season’s energy and find a place you’ll love to call home. Whether you're a first-time buyer or looking to upgrade, spring is your season to bloom in a new space. 🌷
By Lauren Hinchliffe March 25, 2025
Let’s face it—this past winter was one for the books. Between the endless snow, sky-high heating bills, and driveway shoveling marathons, it’s no wonder so many people are rethinking the whole “detached home” thing. Enter: the condo lifestyle. Whether you’re a first-time buyer, investor, downsizer, or just tired of winter maintenance headaches, Guelph’s condo market is having a moment—and it’s one you don’t want to miss. Why Condos Are a Smart Investment Condos have long been a solid choice for investors, but right now, they’re looking even better: Affordability: Compared to detached homes, condos offer a more accessible price point—without sacrificing location or quality of life. Rental Demand: With Guelph’s growing population and strong university presence, condos are in high demand for renters. That’s steady income for investors. Low Maintenance: No snow shoveling, no lawn care. Your time is yours—and your property is professionally managed. In a city like Guelph, where the balance of urban convenience and small-town charm draws people in from all over, condos represent an opportunity to own real estate in a desirable, growing market. What Sets Guelph Condos Apart What makes Guelph’s condo scene unique? It’s not just the buildings—it’s the lifestyle. Many of the city's newer and well-maintained condo developments are located close to parks, trails, downtown restaurants, and transit. And unlike big-city towers, Guelph condos often offer more space, quieter buildings, and a stronger sense of community. Plus, let’s talk about the amenities . Some of the standout features we’re seeing in the best condo buildings right now include: Modern fitness centres (say goodbye to that separate gym membership) Rooftop terraces with BBQs and lounge areas Party rooms and guest suites for entertaining Secure underground parking (a must after this winter!) On-site property management for peace of mind Featured Condos We Love If you’ve been on the fence, this spring is the time to explore. Here are a couple standout units we’re currently featuring: ✨ 1502-150 Wellington St. E 2 bed, 2 bath | 1,347 sq ft | $819,900 This bright and spacious corner unit has sweeping sunset views from the 15th floor, open-concept layout, and top-tier finishes. Located steps from the river and downtown—ideal for professionals or retirees looking for walkability, peace, and luxury. ✨ 806-160 Macdonell St. 2 bed, 2 bath | 1,098 sq ft | $699,900 This suite blends comfort and style with an open layout, fireplace, and private balcony with panoramic city views. Enjoy top-tier amenities and unbeatable downtown convenience—just steps from the GO Train, shops, and trails. Looking for something different? We have access to several other great units across Guelph—from trendy one-bedrooms for young professionals to larger suites perfect for downsizers who still want room to host family. The Bottom Line After the winter we just had, it’s no surprise people are looking for simplicity, convenience, and lifestyle—all things that come standard with condo living. And with Guelph’s condo market offering strong long-term value, now really is the perfect time to invest. Whether it’s your next home or your next rental property, there’s opportunity here—and we’d love to help you find it. Curious what’s available? Let’s chat or book a showing—you might be surprised at how easy condo living (and investing) can be.
By Lauren Hinchliffe March 14, 2025
Spring is the perfect time to refresh your home and get rid of the dust and clutter that may have built up over the winter months. A thorough spring cleaning not only makes your home sparkle but also improves air quality and creates a more peaceful living environment. To make the process easier, here’s a room-by-room checklist to help you stay organized and efficient. General Cleaning Tips for Every Room Open windows to let in fresh air. Dust from top to bottom, including ceilings, light fixtures, and baseboards. Wipe down walls, doors, and switches. Vacuum and mop floors, paying special attention to corners. Declutter and donate unused items. Living Room Dust and polish furniture. Wash or vacuum curtains and blinds. Clean light fixtures and ceiling fans. Wipe down electronics and remote controls. Shampoo or steam clean carpets and rugs. Clean under and behind furniture. Kitchen Deep clean appliances (oven, refrigerator, microwave, dishwasher). Wipe down cabinets and countertops. Discard expired pantry items. Scrub sink and faucet. Clean and organize drawers and utensil holders. Mop and sanitize floors. Bathroom Scrub and disinfect toilet, sink, and bathtub/shower. Wash or replace shower curtain and bath mats. Clean mirrors and light fixtures. Wipe down cabinets and discard expired toiletries. Scrub grout and reseal if necessary. Bedroom Wash all bedding, including pillows and comforters. Rotate and flip the mattress if applicable. Declutter closets and donate clothes you no longer wear. Dust and polish furniture. Clean under the bed and in corners. Home Office Organize paperwork and shred unnecessary documents. Dust and disinfect keyboard, mouse, and desk. Wipe down bookshelves and organize files. Clean office chair and vacuum under desk. Outdoor Spaces Sweep porches, decks, and patios. Clean outdoor furniture and cushions. Wash exterior windows and doors. Check and clean gutters if needed. Tidy up garden beds and trim overgrown plants. Spring cleaning may seem like a big task, but tackling it one room at a time makes it much more manageable. Use this checklist to stay on track and enjoy a fresh, clean home as you welcome the new season!
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