Mortgage Rates in Trinidad - Who is Best?

[Country_Bookie]

But a rate shouldn't be your most important thing. Closing costs , the ability to prepay on the principal , and other fine print are also very imporant. .

This!
I saved about $20k in closing costs just by going with HMB instead of a commercial bank. HMB also has an option to choose a fixed rate for a number of years. Commercial banks don't offer that, most times ur rate can change every month.

We are in the bottom of an interest rate cycle right now, and interest rates will rise over the course of your mortgage. If u can lock in a low fixed rate for part of that time, u will end up saving more even if the interest rate is a 0.5% higher now. Make sure u ask about prepayment options as well, as the faster u can pay back, the less interest you pay.

[crazychinee]

Many lols @ the land loan and then build @27,000 sal. Will type more on that to,morrow too late now .

But as a teaser banks now raise the mortgage rate within a period of time if you don't start construction . Eg RBL . So that 5.5 can get up to 7.5 quickly .

Mortgage indemnity insurance is also a good place to start saving , as well as using a bank with incentives . Eg rbc will spot a max of 25,000 to closing once the mortgage stays in existence more than 5 years with them .

[crazychinee]

If you have $400k in savings and work for 27K a month, look for T&C approved lot, buy cash then take the land as security and get a loan for construction.
This process will lake much longer but at the end of the day you are not sacrificing yourself to pay a 30yr mortgage and you get a house that you want.

Acquiring land is the problem. In a good area it's near impossible to find T&C approved land that hasn't already been sold or in the process of being sold.

1) Why buy land cash and then use it as security for a construction loan? How much do you think a bank is going to lend you? Secured or not you still need to show the ability to service the debt based on a .3 to .4% DSR within the time, and THAT loan is going to have a wayyyy higher loan rate than 5-6% that a mortgage gives you.

2)
3) Even if you try and do a bridging loan/mortgage, the money advanced to build isn't rated @ 5-6% as a mortgage, but you will be paying interest on this loan amount of wahtever your rate is..8-9% give or take, until completion and you submit all appropriate docs to the bank for conversion of the entire loan into one big mortgage.

4) You are assuming building costs/prices remain static, and you have a good contractor
5) If for any reason you fall ill or cannot complete construction, crapo smoke yuh pipe....


The SAFEST thing for a new home owner is to find a reasonable single /flat family home and start the ball rolling...

However if you want to save you're better off...
1) Buying a piece of T & C approved land. Most good residential areas now can go from 400-600,000 TT.
2) Downpayment and closing costs will average between 100-120,000 depending. (20% down , stamp duty/legal fees). Builders plans , t and C approval about 6000 to 10,000.
3) You now have a 2-3,000 a month mortgage(20 t0 25 years), well preserving your debt service ratio.
4) Start building with the 280,000 give or take that you still have. By the time construction is continuing,you should save a bit more.
5) A simple flat home on one lot without kitchen/furnishings should run way less than 400,000 including steel roof with a good contractor.
6) if you run short of money, you now have a partially completed home, that is worth WAYYYY more than your original mortgage..so guess what? It's way easier now to draw down money because the bank is already holding the mortgage . Fees can be minimal.
7) The key here is having a mortgage that you can pay multiple principal payments on. Some banks allow you once per year, some 2-3 times once sufficient notice is given. Scotia bank has a really good online mortgage calculator and amorizations scheduler.


Building isn't fun, and new homeowners need to know what thye're getting themselves into or they can get burnt very badly.

[boxy]

bump for additional info on this topic

[src1983]

Scotia offering 4.9%

[teems1]

Scotia offering 4.9%

4.9% is extremely competitive.

The current mortgage rates offered by local institutions are nowhere near as bad what our parents had to go through.

Our current problem when acquiring a house is the total cost. It is very high and growing every year.

[src1983]

Scotia offering 4.9%

4.9% is extremely competitive.

The current mortgage rates offered by local institutions are nowhere near as bad what our parents had to go through.

Our current problem when acquiring a house is the total cost. It is very high and growing every year.

That's the problem many are having, prices way overvalued and banks only lending On valuation amounts

[Halfbreed07]

Scotia, ask about their bi weekly payments.

[Country_Bookie]

Just remember that those low rates not fixed, and rates will go up over the course of your mortgage, which will mean monthly payment will increase. Ensure u can continue to pay when rates do increase.

[Halfbreed07]

Rates have dropped consistently for the past 4yrs. Which means that eventually they will have to go back up, but when they do you would have already reaped some rewards already. Responsible home owners would act accordingly when this happens.

[boxy]

how long did this process take in order to get approved. Who recently closed off on a loan for building what questions were asked? What fees were paid was it exorbitant?

[Halfbreed07]

Developers usually give you 60-90 days to close out, so the banks usually finalise you mortgage processing during that time. Fess are usually not more than 60k for a house less than 1.5mil.
Put aside cash for homeowners insurance and a separate term life.
That's about 20k annually.

[lalloboy101]

Heard RBC offering 4.9%, anyone with info?

[*$kїđž!™]

That's what I'm doing. I refuse to take any mortgage. The interest you pay back is ridiculous.

Paying a loan at $9000 monthly for 30 years is murder......
Mortgages are the worst and last option............

[scotty_buttons]

That's what I'm doing. I refuse to take any mortgage. The interest you pay back is ridiculous.

Paying a loan at $9000 monthly for 30 years is murder......
Mortgages are the worst and last option............

So what's the other option other than winning the lotto? [PERSEVERING FACE]

[Daran]

Lol in 30 years 9k a month will be like 2k due to devaluation, meanwhile your property may be worth 3 to 5 times more than it did 30 years before

[crazychinee]

Only a complete moron refuses credit.

[crazychinee]

Scotia offering 4.9%

4.9% is extremely competitive.

The current mortgage rates offered by local institutions are nowhere near as bad what our parents had to go through.

Our current problem when acquiring a house is the total cost. It is very high and growing every year.

That's the problem many are having, prices way overvalued and banks only lending On valuation amounts

Which is where valuators come in. Most responsible persons might seek to have a valuation done..prior to making a down payment on a property, to ensure they can cover the short fall.

Then again..if you do your research, and ask around 'guestimate' what a valuator might appropriate the amount at.

[silent_riot]

Shop around, you may realise that home ownership does not always require a mortgage.
I would advise (if you can wait) that you to buy T&C land, and build from scratch, rather than buy a furnished home.

[scotty_buttons]

That's the plan. Just.. It rel hard to be paying rent money somewhere else in the meantime tho.
Hence why I considering getting a cheaper, more affordable home for now and saving up to build my 'dream home' for later on? *shrugs*

[pete]

That is my plan. Found something I could afford on a 20 year loan that I would try to pay off early or maybe sell and get something else. It's a bit outside of civilisation but only 45 mins to and from work. I could live with that.

[uncle sam]

anywhere allowing 10% down on land purchases?

Republic, fcb and Scotia saying 25% which is ridiculous.

[src1983]

Scotia offering 4.9%

4.9% is extremely competitive.

The current mortgage rates offered by local institutions are nowhere near as bad what our parents had to go through.

Our current problem when acquiring a house is the total cost. It is very high and growing every year.

That's the problem many are having, prices way overvalued and banks only lending On valuation amounts

Which is where valuators come in. Most responsible persons might seek to have a valuation done..prior to making a down payment on a property, to ensure they can cover the short fall.

Then again..if you do your research, and ask around 'guestimate' what a valuator might appropriate the amount at.

You misunderstand what I was saying, ppl are calling ridiculous amounts for land and property, some 500k more than the value the valuator gives. The banks will not give more that the valuators value, and property owners aren't budging

[racedriverpro]

Azuri

[dreadman]

rbc rate is/was 4.9% last mth...dont kno about dis mth. republic was 5.25 las mth.

[cheese pie]

in for info

[scotty_buttons]

The amount you gonna pay for land in a nice residential area, might as well house and land one time

[uncle sam]

anywhere allowing 10% down on land purchases?

Republic, fcb and Scotia saying 25% which is ridiculous.

quoted for help

[TriniAutoMart]

That is my plan. Found something I could afford on a 20 year loan that I would try to pay off early or maybe sell and get something else. It's a bit outside of civilisation but only 45 mins to and from work. I could live with that.

Anymore cheap properties in your area pete?

[DrunkenMaster16]

Any updates on best mortgage rate / fixed rate? Found land finally, going to put 10% down to the owner then have 90 days to pay the remainder. Scotia is offering 5% (online) now getting the funds together to put the down payment and will have additional funds within 60 days to reduce the loan figure.