Minor Good News.

[swestrup]

Most of my friends know that I'm currently in somewhat of a financial bind. I haven't been wailing about it much because a) I don't see how that would help, b) having friends with serious diseases and/or loved ones at death's door makes my worrying about money problems seem petty and c) I have hopes that these troubles will be over soon.

Anyway, on the slightly-good-news front, our application for a renegotiated mortgage has been approved. This will mean that my line of credit and credit cards will be paid off and my debt lumped into my mortgage. This will greatly reduce my monthly outlay for debt load, although it means it will now take 20 years to finish paying off my mortgage at the regular rate, not 5. I have been quietly worried about this, since approval was dependant on an evaluation of our house being worth more than $100k. I only paid $75K for it, so I wasn't sure it had appreciated that much. Apparantly it has, and more so. The bank evaluated it at $150K, which I find quite surprising.

Anyway, while it won't stop my leaky financial boat from sinking, it will plug a few holes. The new mortgage is even an open one, so if my new job propect becomes real and starts paying me, I'll be able to pay off my debts faster than the standard 20 years.

Comments

Mortgage paydowns - tidbit

[(Anonymous)]

It would be difficult to find a mortgage in the Canadian market that would not allow double up payments (as frequent as your current payments) and an annual 10% Pop....and let me tell you, paying anything extra on the principal really really helps with the amortization term.
-Ross, showing a surprising degree of maturity for once.

Re: Mortgage paydowns - tidbit

[swestrup]

Quite true, and as its an RBC mortgage, of course we can double up on payments. What I wanted though, was to be able to pay the whole thing off within 5 years if this new company takes off. Merely doing the doubling would not work. As is, this is one I can pay off any amount of, at any time.