Hello Theodora, there are a few options available to you. It all depends on your current bank but the most common options are as follows. If you sell your home your mortgage can be ASSUMED by the person buying your house at the same rate as you currently have, this can be a selling feature if your mortgage interest rate is very attractive. Another option is PORTING your mortgage to your new property. In this case you are moving your mortgage balance and current rate to the new property, if you need extra funds it can be added to your new mortgage which is called a PORT AND INCREASE. The porting of your mortgage will help you avoid any penalties for breaking your mortgage agreement. The last option is the complete pay out of your mortgage. When you sell your house and you do not port or get your mortgage assumed it must be paid out before any sale funds find their way to you. I would be happy to discuss any other questions you have regarding mortgages. I am available from 9am to 9pm, I also work across all of Canada except Quebec. Contact me at any time: Abraham Niyazi Mortgage Agent Lic#M08010640 www.easyrate.ca 416-993-4082 or 1-866-728-3708 x 115

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I just began work at a mortgage company a few months ago because there is a rush of people that are wanting to refinance. we also do equity loans, reverse mortgages, etc. do you think this would be a good career to stay there long term, or do you think i should just work there a while and move on? i'm just not sure on the future of housing in this country

Yes. You want to learn the business in the slow times. Then when things get busy, you know what to do. During the good times, no one is available to train you. If the manager or owner is spending a lot of time with you, you know you have chosen the right place. If not, look for somewhere else.

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Let's say i buy a house for £100,000. the total i would repay back on the mortgage is £150,000 over 25 years (for example). 3 years after buying the house, i want to move. i sell the house for £110,000. do i still owe the bank £40,000 (since that's the total repayable?) or do i make a £10,000 profit? how does it work?? oh and if i do make the profit, then would it not be wise to take the mortgage over 30 years since the monthly repayments would be less and i could make the £10,000 as well as saving money over the three years?

You can sell the house whenever you want. AND repay the money owed to the bank. which is calculated upto the date you are paying off the mortgage back. It does not matter how long you took the mortgage for. So if you sell your haouse after 3 years you pay the money borrowed + intrest for 3 years (at whatever rate you got the mortgage) +any penalties for early repayment (only if it applies as, every case is different depending on the deal you sighned) + any selling cost eg deeds transfer etc.. In brief it would never be near 150,000 but, you should calculate the repayment costs inorder to know whether you going to make money . Although you make reasonable saving/downpayment amount over the 3years + any gains in the value of the property

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We would like to move as we have outgrown our home... we got a mortgage for 95k- we have still have 90k left to pay. we would like to sell our house for 100k (we hope! or more!) the new house we looked at will do a part exchange, it is on sale for 175k. how does this work then how much would the mortgage be approx for a new house?

You would have to contact your mortgagee (lender) and have them agree to a substitute of collateral. It's somewhat unusual, but not illegal. However, where are you going to get the $175K to pay the seller? From a pratical standpoint, you need to sell your present home and it looks like you would break even, so you would still need the down payment on the new home. Realistically, I don't see the transaction happening. realtor.sailor

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Im moving to the uk and buying a home soon and i was wondering how the whole mortgage system works. thank you.

Well, You pick a house you like, then have to pay back a certain amount each month, to however much the house is worth. Then when you've paid it all, you are mortgage free. If you then need more money, you ask the bank for a mortgage on your house and they give you the amount of money to buy whatever you need it for, then once again you pay that back each month. But, I don't have one, i live with my mum and we own our house. Go here, it probably will explain better than me. I simplified it (: http://en.wikipedia.org/wiki/Mortgage

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If you have 700+ credit score and 10% down, you can get a agency stated/stated loan at agency rates. Find a mortgage broker who knows his/her products.

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My husband's work moved us to az in november, and so we put our house up for sale. we will now be 3 months behind on our house payment at the end of this month. the mortgage company is unwilling to work with us at all on anything! they want over $2,000 by the end of the month to avoid foreclosure. we have already paid 40,000 (4 1/2 years paid on it) for this house and owe more now than when we financed it! we asked them if we could hold off on payments until the house sells, and the answer was no. we asked if they could take less than is owed for the house so that it would sell and they could have all the money (we owe 84,000 for a tax value 79,000 home), and the anwer was no. this company is vanderbuilt mortgage, and they are so awful! they bought the mortgage from our company we financed with, and we are just stuck! is there anything we can do legally to avoid foreclosure? i am just amazed how mortgage companies can abuse people so easily and get away with it thanks skip but they won't take any less than the 2,000, and we can't afford to pay for 2 houses in 2 different states. we would love to ask less for the home, but we have to get enough to pay the mortgage off when we sell it, hence the reason for asking the mortgage company if they would take less than what was owed.

You say you owe more now than when you financed it, so I assume you had a mortgage that allowed negative amortization. What I am wondering is if you owe more, or even nearly as much, than your asking price? If you don't have an appreciable amount of equity in the house that you'd like to recover, you could offer Vanderbuilt a deed in lieu of foreclosure. You lose the house, but you don't have the black mark of foreclosure on your financial record. On the other hand, if you do have significant equity in the house, you'll want to follow the advice given earlier in this exchange and do whatever it takes to sell asap. The foreclosure process takes a few months, and even after you've been foreclosed you have a period of redemption, usually six months, in which to pay the mortgage off. If you can sell soon, hopefully you'll make enough to satisfy that mortgage. Good luck!

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My husband and i are planning to move soon. i say that extra payments at this point are akin to putting money under the mattress. he thinks we will get more than we put in when we sell. we understand that extra money applied to principal shortens the loan, but don't understand how that all works. is the loan refigured every month? every year? where would we find out this information? our mortgage is with us bank - would their customer service be knowledgable enough? thank you!

Prepaying a mortgage is the same as investing at that percentage. So if your mortgage is 6% and you send them 1,000 you save 60 a year and when you sell you get back your $1,000 plus all the interest you saved.

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I took a job with higher pay out of state and will soon not be able to pay on my mortgage. i have filled out the paper work for the mortgage company for a short sale or deed in lieu but this could take months. i owe what the house is worth before closing and other costs. my question is this what is going to happen to me when i can not make a payment? will the mortgage company skip past a short sale option and forclose on me?

We had to do the same thing. We had to forclose on our home, just no choice. It took a while though. I have found that this site has a lot of really good free info on your situation. It's worth taking a look. www.homeloansfordummies.com. Good luck, I know it's not a great feeling.

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We may possibly upgrade to another house. we have no mortgage, our home is paid for. if we were to move, how would this work. we don't want a mortgage. can the house we own be sold to pay directy for the new house? (providing the home prices are very similar or the same). how does this work? thanks.

First you want to consult with your CPA or tax preparer over any possible tax consequence. Otherwise, you can buy a new home with the proceeds from the sale of your old just as if it were any other transaction. You will still have closing costs as related to the escrow/attorney service and transfer fees and whatnot, but you wouldn't *have* to have a mortgage, provided you have enough money to buy it outright. Once your house is sold, your escrow company will either provide you a check for the amount of sales price minus fees, or they can wire those funds directly to your bank account (for a fee, of course), or can wire those proceeds to the escrow company for your new purchase, if you've already selected one. Make sure you are up-front with your agent when buying a new home if you are buying it with the proceeds from your old one, that way he/she can add provisions to the contract in the event the house you're selling falls out. Between advice from your tax preparer and your real estate agent, you should be okay. Don't forgit, an "all cash offer" is attractive to a prospective seller. Use it to your benefit.