S p e c i a l F e a t u r e
B E S T M O R T G A G E S
A Numbers Game
One of the best things homebuyers can do before committing
to a mortgage is to determine a ceiling for their monthly
mortgage payment, and sticking to it no matter what
S
hopping for a mortgage may
not exactly be considered a task
that people love to carry out,
but just how loathsome British
Columbians •ind it may come as a
surprise.
Fifty-seven per cent of
residents would rather do their taxes than
look for a mortgage, according to a recent
Ipsos Reid study conducted on behalf of
Coast Capital Savings Credit Union. Fifty-six
per cent would rather have a flu shot, and
54 per cent would prefer to age by an
entire year.
The survey delved deeper into
mortgages in general and found that many
British Columbians are neglecting other
important •inancial goals and obligations,
such as saving for retirement or building
their emergency fund, because of the
burden of high housing costs.
The results all point to the need to
make sure that your mortgage •its into a
comprehensive •inancial plan.
"We only have so much money
and it has to go to different places, but
life shouldn't be just about paying the
mortgage," says Jason Peters, director of
retail and investment at Coast Capital
Savings. "We want to talk about the bigger
picture and your long-term goals, not just
the mortgage rate, to create a plan
so that the rest of your •inancial picture
isn't forgotten."
The study found that the bigger picture
is getting short shrift among homeowners
in B.C. Sixty-eight per cent of •irst-time
homeowners said mortgage payments are
preventing them from investing as much
as they would like. Those with families
are feeling especially squeezed. Seventy
per cent of homeowners with kids said
they put so much money toward their
mortgage that they can't save as much
for retirement, while 66 per cent said
mortgage obligations take away from their
ability to save as much they would like for
their children's education or their own.
To help people establish a mortgage
amount that aligns with their goals,
Peters suggest they sit down and draw
up a budget. But it's not just about the
numbers.
"Initially, homebuyers think about
getting a pre-approval for a mortgage, but
I •ind what helps people in real life is a
'me-approval,'" he says. "How much of a
mortgage payment actually works for me
and •its with my lifestyle and other costs?
How comfortable and con•ident are you
feeling about your •inancial situation?"
Fifty-seven per cent of
residents would rather do
their taxes than look for a
mortgage, according to a
recent Ipsos Reid study
