Written by Tim Ward, Mortgage Broker

One of the biggest benefits to purchasing your own home is the ability to build equity in your property. This equity can come in handy down the line for refinancing, renovations, or taking out additional loans - such as a second mortgage.

A second mortgage refers to an additional or secondary loan taken out on a property for which you already have a mortgage. Some advantages include the ability to access a large loan sum, better interest rates than a credit card and the ability to use the funds how you see fit. However, keep in mind interest rates are typically higher on a second mortgage versus refinancing and can add additional cash flow tension to your monthly bills. Talk to a mortgage professional today to determine if this is the best option for you!

What is a second mortgage?
First things first, a second mortgage refers to an additional or secondary loan taken out on a property for which you already have a mortgage. This is not the same as purchasing a second home or property and taking out a separate mortgage for that. A second mortgage is a very different product from a traditional mortgage as you are using your existing home equity to qualify for the loan and put up in case of default. Similar to a traditional mortgage, a second mortgage will also come with its own interest rate, monthly payments, set terms, closing costs and more.

Second mortgages versus refinancing
As both refinancing your existing mortgage and taking out a second mortgage can take advantage of existing home equity, it is a good idea to look at the differences between them.

Firstly, a refinance is typically only done when you're at the end of your current mortgage term so as to avoid any penalties with refinancing the mortgage. The purpose of refinancing is often to take advantage of a lower interest rate, change your mortgage terms or, in some cases, borrow against your home equity.

When you get a second mortgage, you are able to borrow a lump sum against the equity in your current home and can use that money for whatever purpose you see fit. You can even choose to borrow in installments through a credit line and refinance your second mortgage in the future.

Some key things to note when looking at a second mortgage or refinancing:

• If you have a favorable interest rate on your first mortgage, a second mortgage allows you to keep the lower rate on your primary loan, resulting in a lower blended rate.
• Refinancing resets the amortization schedule, which could extend the loan term. A second mortgage leaves the existing term intact, helping you stay on track with your overall financial goals.
• Second mortgages often come with more flexible terms, such as interest-only payments, fully open, or shorter term, which can suit your immediate needs.

What are the advantages of a second mortgage?
There are several advantages when it comes to taking out a second mortgage, including:

• Homeowners can access a significant portion of their home equity (typically 80%-85% LTV).
• Better interest rate than a credit card as they are a ‘secured’ form of debt.
• You can use the money however you see fit without any caveats.
• Allows you to access your home equity without breaking your existing mortgage and incurring penalty fees.

What are the disadvantages of a second mortgage?
As always, when it comes to taking out an additional loan, there are a few things to consider:

• Interest rates tend to be higher on a second mortgage than refinancing your mortgage.
• Additional financial pressure from carrying a second loan and another set of monthly bills.

Before looking into any additional loans, such as a secondary mortgage (or even refinancing), be sure to reach out to me!

Regardless of why you are considering a second mortgage, it is a good idea to get a review of your current financial situation and determine if this is the best solution before proceeding.

Tim Ward Mortgage Broker   705-351-2284 [email protected] www.wardmortgage.ca     The Mortgage Centre - Hometown Financial #13028 Each Mortgage Centre is Independently Owned & Operated

Written by Tim Ward, Mortgage Broker

It’s a new year and as we gear up for the upcoming Spring season, it is a good idea to take a look at the market outlook and what we are expecting to see around housing sales, prices, interest rates, and how these current conditions affect buyers versus sellers!

Let’s dive into the Canadian Real Estate Association Forecast and more:

National Trends

• Housing Sales: National home sales are expected to increase by 6.6% in 2025, reaching approximately 499,800 units as interest rates continue to decline, drawing buyers back into the market. This follows a modest 5.2% increase in 2024.
• Housing Prices: On a national level, Canada’s housing market is expected to see a 4.4% increase in home prices in 2025, reaching an average of $713,375. This follows a more modest 0.9% increase in 2024. The national growth is tempered by regional differences, with areas like Toronto and Vancouver seeing higher price levels due to ongoing demand, while more affordable regions like Quebec may see more moderate growth.
• Rising Demand: Canada’s housing market remains competitive, with demand continuing to rise in urban centers and suburban areas due to factors like population growth, economic recovery, and strong immigration.
• Interest Rates: The Bank of Canada’s policy on interest rates continues to play a central role in shaping the housing market. While rates were higher through 2023 and part of 2024, they are expected to continue declining in 2025, which should ease affordability constraints and encourage more buyer activity.

Regional Highlights

Greater Toronto Area (GTA)

• Housing Prices: The average home price in the GTA reached $1,135,215 in October 2024, reflecting a 0.8% increase year-over-year and 2.5% monthly growth. The City of Toronto itself saw a 3.4% increase, signaling continued demand despite higher prices. Areas like Mississauga and Brampton show mixed price trends, with Mississauga seeing a slight decline of 2.2% year-over-year, while Brampton experienced a 2.0% increase. These fluctuations reflect demand in more affordable areas within the GTA.
• Rising Demand: Toronto remains one of Canada’s most sought-after markets, driven by its status as a global financial hub and growing tech sector. Suburbs like Mississauga, Brampton, and York Region are seeing rising interest as buyers seek more affordable options. Ontario's strong job market and immigration influx contribute to population growth, further boosting demand. While some cooling has been seen due to high home prices, the overall demand remains robust, especially for entry-level homes.
• Interest Rate Impact: Rates are expected to decrease into 2025 increasing buyer demand. Despite higher rates over the last two years, Toronto remains a seller’s market in many areas, though buyers will benefit from more favorable conditions as rates decline.

Greater Vancouver

• Housing Prices: Vancouver has experienced a slight decline in average home prices, down 0.2% year-over-year in 2024, with prices hovering around $1,250,329. However, Vancouver remains one of Canada's priciest markets, and some recovery is expected as the market adjusts. While the downtown core sees slower price growth, suburban areas in the Lower Mainland, such as Richmond and Surrey, continue to see moderate price increases, as these areas offer better affordability and space.
• Rising Demand: Vancouver’s appeal remains strong for both domestic buyers and international investors, particularly in tech, entertainment, and natural resources sectors. Despite price stagnation, demand continues for detached homes and more spacious properties as residents seek to balance living costs with quality of life. Vancouver also benefits from significant immigration, and the city continues to diversify economically, drawing both residents and investors who are fueling demand in the housing market.
• Interest Rate Impact: Like Toronto, Vancouver has been affected by the Bank of Canada’s interest rate hikes, which have increased borrowing costs and cooled market activity. The rate hikes have caused some slowdown, but the region is expected to see a modest recovery in 2025 with interest rate cuts. As rates decline, Vancouver may experience more balanced market conditions, with higher demand for detached homes in suburban areas and some recovery in the more expensive core areas.

Quebec:

• Housing Prices: The province has seen steady growth in home prices, with Montreal, in particular, experiencing an 8.9% year-over-year price increase as of October 2024, reaching an average home price of $630,063. While Quebec’s growth is generally more moderate compared to Ontario and British Columbia, the relative affordability of homes in many areas still offers opportunities for buyers compared to more expensive regions like Toronto or Vancouver.
• Rising Demand: Montreal’s job market, particularly in technology and aerospace, continues to attract young professionals, which fuels housing demand. The province also benefits from ongoing immigration, contributing to population growth, which supports housing demand.
• Interest Rate Impact: Like the rest of Canada, Quebec will see easing interest rates in 2025, which should help to bolster market activity. However, since prices have risen significantly over the past decade, some buyers in Quebec, particularly first-time buyers, may still face affordability challenges, albeit less severe than in major cities like Toronto.

Expectations for Buyers

1. Affordability Challenges: While interest rates are expected to decline gradually, the impact of high housing prices in major cities like Toronto and Vancouver will still be a challenge for many buyers. However, some relief is anticipated as lower rates could ease monthly mortgage payments.
2. Opportunity in the Suburbs: Suburban areas are projected to see more price stability and may be more attractive to first-time buyers and those looking for better value for money. Areas like Mississauga, Brampton, and Ottawa are seeing mixed price changes, making them viable alternatives to the high-cost core regions.
3. More Inventory: A growing number of homes available for sale could give buyers more choice, but competition may still exist in certain markets due to demand returning as rates ease.

Expectations for Sellers

1. Tight Timing: Sellers in 2025 will likely benefit from a surge in demand in the spring and summer, driven by the stabilization or decline of interest rates. However, selling in a market with increased inventory may require competitive pricing.
2. Realistic Pricing: With the market expected to shift towards more buyer-friendly conditions, sellers will need to adjust expectations and price their homes carefully. Those listing too high might face longer waiting periods.
3. Stronger Negotiation Power in Suburbs: Sellers in high-demand, low-inventory areas (especially in suburban regions) may still enjoy more favorable conditions and could see prices rise or remain stable.

Key Takeaways for 2025

1. Recovery Driven by Rate Cuts: Declining interest rates are anticipated to accelerate both sales activity and price growth in the latter half of 2025.
2. Regional Disparities: While Vancouver and Toronto remain expensive, other regions like Montreal and Ottawa offer growth potential due to relative affordability and robust economic conditions.
3. Inventory and New Construction: Higher inventory levels may moderate price increases in some areas, but affordability concerns and economic factors will shape regional market dynamics.

Overall, 2025 will likely be a year of transition with benefits to both buyers and sellers as the market continues to stabilize.

Looking to purchase or renew your mortgage this year? Don’t hesitate to reach out to me!

Tim Ward Mortgage Broker   705-351-2284 [email protected] www.wardmortgage.ca     The Mortgage Centre - Hometown Financial #13028 Each Mortgage Centre is Independently Owned & Operated

Collingwood, Ontario, is experiencing a surge in new home developments, offering a variety of living options that cater to diverse lifestyles. This page highlights three notable projects: Collingwood Quay, Royal Windsor, and Reverie Collingwood. If you are interested in any of these developments, please contact us at 705-999-7511.

Collingwood Quay

Description:

Collingwood Quay is an upcoming boutique condominium development by Fram + Slokker, strategically located at the intersection of Heritage Drive and Side Launch Way. This six-storey building will feature a total of 101 modern residences, offering a blend of one, two, and three-bedroom units. The design, crafted by Giannone Petricone Associates, emphasizes contemporary aesthetics while integrating seamlessly with the picturesque waterfront setting.

Build Plans and Floor Plans:

The building will showcase a variety of floor plans designed to maximize space and comfort. Each unit will feature open-concept layouts with high-end finishes, large windows for natural light, and private balconies or terraces that provide stunning views of the surrounding area.

Pricing:

Pricing details are currently available upon inquiry as the project is in the pre-construction phase. Interested buyers can register for updates on pricing and availability.

Amenities:

Residents of Collingwood Quay will enjoy:

• Proximity to downtown Collingwood's vibrant lifestyle, including shops, restaurants, and cultural attractions.
• Access to scenic waterfront promenades for walking or biking.
• A planned rooftop terrace with panoramic views.
• State-of-the-art fitness facilities and communal lounges designed for social gatherings.

This development promises to redefine luxury living in Collingwood by offering an unparalleled combination of modern design and convenient location. 

Royal Windsor

Description:

Royal Windsor is part of the esteemed Balmoral Village community, known for its focus on adult lifestyle living. This low-rise condominium project features five levels and offers 132 beautifully designed one and two-bedroom units. The architecture reflects a commitment to quality and modern design, appealing to those seeking both comfort and elegance.

Build Plans and Floor Plans:

The Royal Windsor condos will feature spacious open-concept layouts ranging from approximately 660 sq. ft. to 1,900 sq. ft. Each unit will be equipped with luxury finishes, branded appliances, and large windows that enhance the living experience.

Pricing:

Detailed pricing information is available by contacting the Greg Syrota Real Estate Team. 

Amenities:

Key amenities include:

• An exclusive Royal Windsor Fitness Club.
• A community lounge space for social events.
• A rooftop terrace with outdoor seating.
• Access to a 20,000 sq. ft. Medical/Wellness Centre planned for the community.
• Nearby recreational facilities including golf courses and hiking trails.

Located near Blue Mountain and Collingwood Harbour, residents will enjoy easy access to outdoor activities as well as local dining and shopping options

Reverie Collingwood

Description:

Reverie by Reid's Heritage Homes is a luxurious townhome community situated amidst the breathtaking landscapes of Collingwood. This development emphasizes a tranquil lifestyle while providing easy access to outdoor adventures in the Blue Mountains area. The homes are designed to reflect timeless elegance with classic architectural features.

Build Plans and Floor Plans:

Reverie offers various bungalow townhome designs featuring two bedrooms and two bathrooms, with sizes ranging from approximately 1,215 to 1,187 sq. ft. Each home will include upscale finishes such as chef-inspired kitchens, spacious living areas, and private outdoor spaces perfect for relaxation or entertaining.

Pricing:

Pricing details are available upon request as the project is in preconstruction stages.

Amenities:

Residents can expect:

• Proximity to skiing at Blue Mountain Resort.
• Access to public and private golf courses.
• Nearby attractions including The Scandinave Spa for relaxation.
• Customizable design options allowing buyers to select materials and finishes that suit their personal style.

Reverie aims to create a community where luxury meets nature, providing residents with a serene environment ideal for both leisure and adventure.

As we step into the new year, many people set resolutions centred around healthy living and eating. If you’re in Southern Georgian Bay, you’re in luck! This beautiful region offers a plethora of gyms, wellness centres, and healthy dining options to help you achieve your wellness goals. Here’s a comprehensive guide to kickstart your healthy lifestyle this year.

Cafe's & Restaurants

Press Market

• Location: 104A-10 Keith Ave, Collingwood
  Press Market is a healthy organic café that focuses on local and organic ingredients. The café offers a diverse menu featuring cold-pressed juices, smoothies, salads, rice bowls, and vegetarian options like veggie burgers. They also provide gluten-free desserts and a selection of retail items including local teas and handmade organic products. 

Sol Kitchen

• Location: 19 Hurontario Street, Collingwood
  Known for its organic menu featuring locally sourced ingredients, Sol Kitchen offers a vibrant atmosphere and health-conscious meals for breakfast, lunch, and dinner.

The Curly Willow Eatery

• Location: 141 Pine St, Collingwood, ON
  A local eatery known for its delicious vegetarian options like black bean veggie burgers in an intimate setting.

Spa's & Wellness Centres

Scandinave Spa

Located minutes from downtown Collingwood & Blue Mountain Resort, Scandinave Spa is the perfect self-care day with a serene and tranquil experience. The award-winning Scandinave Spa Blue Mountain offers the unique Thermal Baths experience and relaxing Massage Therapy treatments. They often have great promotions to build a package that includes access to their outdoor baths, saunas, and steam rooms. 

Website

152 Grey Road 21, The Blue Mountains

IWA Spa

Iwa Spa is a full service wellness spa, based in Blue Mountain Village. The spa offers a wide range of wellness inspired services, creative spa packages, a boutique with amazing products, and a truly one of a kind yoga practice in the warm volcanic rock studio (Ganban-yoku).  Their vision at iwa is to Inspire Wellness Always ( I.W.A) – They do that with every interaction their guests have with the spa, from their unique jinbei robes, custom blended lotions, and to how the welcoming and friendly staff make you feel. 

Website

234 Gord Canning Drive, The Blue Mountains

Living Shore Spa

Living Shore Spa, located in Collingwood is the perfect day of relaxation. Their full-service spa has the area’s only Aquapath™, as well as traditional spa treatments. Living Shore Spa provides spa treatments such as relaxation massages, facials, body treatments, manicures and pedicures.

Website

9 Harbour Street East, Collingwood

Cedar and Sage

Cedar and Sage brings a unique and multifaceted health and wellness approach to the town of Collingwood. By offering registered massage, yoga, float therapy, and acupuncture, they are the only facility to bring these new forms of relaxation, rehabilitation and preventative care - all under one roof - to our community.

Website | Services

10-20 Balsam Street, Collingwood

Everlove Healing & Yoga

Everlove is more than just a physical space, it's a living, breathing, thriving community. Everlove creates a space so safe and inspiring, it ignites our community to get closer to the highest articulation of themselves.They offer a variety of classes and services that all focus around wellness. Experience movement such as yoga, pilates, barre and hiit classes, and heal with a message, facial and movement therapy.

Website | Services

136 St. Paul Street Collingwood

Vortex Wellness Studio

Vortex Wellness Studio is a unique facility where technology meets mindfulness, Vortex offers private wellness sessions that focus on self-care and mental well-being. Visitors can engage in unique treatments such as vibroacoustic sessions, red light therapy, and infrared saunas, all aimed at reducing stress, boosting energy, and promoting recovery with each session lasts between 10 to 60 minutes. 

Website

Gyms

Northwood Club

Northwood is a premium fitness and lifestyle club that features state-of-the-art equipment, small group fitness classes (including Spin, Pilates, Yoga, and Circuit training), and premium amenities such as a sauna and towel service. They offer personalized training programs tailored to individual goals.

Website

F45 Training Blue Mountain 

F45 offers functional group fitness classes designed for all body types. With over 80 workouts available, it provides a dynamic environment that focuses on teamwork and motivation.

Website

MVMT Fitness

This niche functional movement gym aims to inspire healthy lifestyles both in and out of the gym. MVMT Fitness offers various group fitness classes with scalable programming to accommodate all abilities.

Website

Written by Tim Ward, Mortgage Broker

As the new year approaches, it's a natural time to reflect on our personal goals and set resolutions for the months ahead. Your home and finances are key areas where small, intentional changes can lead to big improvements in security, stability, and quality of life. Here are some resolutions to get you started!

Create a Realistic Home Budget
A well-planned budget is essential for financial peace of mind. Whether you're new to budgeting or want to refine your approach, creating a realistic budget helps prioritize spending, track bills, and put money toward meaningful goals.

• Identify Fixed and Variable Expenses: List out fixed costs, like mortgage payments, utilities, and insurance, as well as variable ones, such as groceries and entertainment.
• Set Savings Goals: Include savings as a "non-negotiable" in your budget, earmarking funds for home repairs, investments, or emergencies.
• Track and Adjust: Track spending throughout the month and adjust where necessary. Financial apps like Mint or You Need a Budget (YNAB) make it easier to stay on course.

Set Goals to Build Home Equity
Building home equity is a key path to increasing net worth. Whether you're planning to sell or stay in your home long-term, building equity can offer financial flexibility and security.

• Make Extra Mortgage Payments: Even a small additional payment toward your mortgage principal each month can shorten your loan term and reduce interest costs. A biweekly payment plan is another effective method to pay down the principal faster.
• Consider Strategic Home Improvements: Invest in upgrades that boost home value, like kitchen and bathroom remodels, or energy-efficient upgrades like new windows or solar panels. Prioritize improvements that add the most value to your property.

Develop a Plan to Pay Down Debt
Paying down debt (especially after the holidays!) can help free up cash flow. It is key to focus on high-interest debts first, such as credit cards, to maximize your payments.

• Use the Debt Avalanche or Snowball Method: The avalanche method involves paying off high-interest debts first, while the snowball method focuses on smaller debts first. Choose the one that best fits your motivation style.
• Consider Refinancing or Consolidation: If you have a high-interest mortgage or multiple debts, refinancing or consolidating might reduce interest rates, making debt repayment more manageable.
• Celebrate Milestones: Paying off debt can feel challenging, so celebrate progress. Every milestone achieved brings you closer to financial freedom.

Commit to Energy Efficiency to Lower Bills
Saving on energy costs can have a significant impact on your budget, especially in colder or warmer months. Simple changes around the home can save you money while benefiting the environment!

• Invest in Smart Thermostats: A programmable thermostat can automatically adjust heating and cooling based on your schedule, saving energy when you’re not home.
• Switch to LED Lighting: LED bulbs use significantly less energy and have a longer lifespan than traditional bulbs.
• Insulate Windows and Doors: Adding weatherstripping to doors and windows keeps drafts out, making your heating and cooling systems more efficient.

Review Your Insurance Policies and Coverage
Insurance is a key element of financial security, but it’s easy to forget about it until something goes wrong. As you head into the new year, this is a great time to make sure you’re fully covered!

• Assess Homeowners and Mortgage Insurance: Review coverage limits and ensure your policy covers potential risks, including natural disasters if you live in high-risk areas.
• Shop for Better Rates: Contact your provider for discounts or shop around for new rates. Bundling policies, like home and auto insurance, can often yield savings.
• Update Beneficiaries and Coverage: Life circumstances change, and your insurance should reflect that. Update your beneficiaries, adjust coverage, and ensure policies align with your financial goals.

Setting resolutions for your home and finances doesn’t have to be daunting! Start with small, actionable goals to help transform your finances - and your mindset - for 2025!

Tim Ward Mortgage Broker   705-351-2284 [email protected] www.wardmortgage.ca     The Mortgage Centre - Hometown Financial #13028 Each Mortgage Centre is Independently Owned & Operated

Written by Tim Ward, Mortgage Broker

Refinancing your mortgage can be a smart financial move for many reasons, and as your trusted mortgage advisor, I’ve seen how much it can benefit homeowners!

Ideally, refinancing is done at the end of your mortgage term to avoid penalties, but the timing can vary depending on your goals. For some, it’s about unlocking the equity in their home to fund renovations or cover big expenses like college tuition. For others, it’s an opportunity to consolidate debt, lower their interest rate, or change up their mortgage product.

Let’s take a closer look at some of the ways refinancing your mortgage can help!

• Get a Better Rate: As interest rates have continued to decrease with the Bank of Canada updates these past few months, now is a great time to consider refinancing for a better rate and lower overall mortgage payments! Experts anticipate the Bank of Canada will move to have the overnight rate down to 2.75% next year.
• Consolidate Debt: When it comes to renewal season and considering a refinance, this is a great time to review your existing debt and determine whether or not you want to consolidate it onto your mortgage. In most cases, the interest rate on your mortgage is less than you would be charged with credit card companies or other forms of financing you may have. Plus, having all your debt consolidated into a single payment can keep you on track!
• Unlock Your Home Equity: Do you have projects around the house you’ve been dying to get started on? Need funds for a large purchase such as a new vehicle or post-secondary education? When you are looking to renew your mortgage, it is a great opportunity to consider refinancing in order to take advantage of the home equity you have built up to help with these larger changes in your life!
• Change Your Mortgage Product: Are you unhappy with your existing mortgage product? If you have a variable-rate or adjustable-rate mortgage, you may be considering locking it in at the lower rates. Alternatively, you may want to switch your current fixed-rate mortgage to a variable option with the interest rates expected to continue decreasing into 2025. You can also utilize your refinance to take advantage of a different payment or amortization schedule to help pay off your mortgage faster!

PLUS! Some latest changes by the Government of Canada will make it even easier for you when it comes to your renewal and refinancing options:

• Those of you who may have an uninsured mortgage will no longer have to pass the stress test as of November 21st. This means that you have more flexibility when it comes to rates and mortgage products in renewal or refinance cases in cases where you wish to switch lenders without adding additional funds to your mortgage!

Tim Ward Mortgage Broker   705-351-2284 [email protected] www.wardmortgage.ca     The Mortgage Centre - Hometown Financial #13028 Each Mortgage Centre is Independently Owned & Operated