What do you mean by an adjustable mortgage rate?
An adjustable mortgage is the normal mortgage package offered by JN Bank. With an adjustable mortgage, you receive up to 40 years to repay at 8.5 per cent. However, your rate may be adjusted by JN Bank, depending on what it costs the bank to provide you with financing. If the costs increase then your mortgage rate may also increase, or lowered if the costs are reduced.
If I choose to fix my interest rate, for how long can I fix my rate?
A fixed interest rate is beneficial, as it protects you from fluctuations in market rates. If you choose a fixed rate mortgage from JN Bank, you may choose to pay at a single interest rate for up to 15 years.
Could my repayment be extended beyond the age of 70 if I’m benefiting from an extended mortgage?
Yes, your repayment could be extended beyond the age of 70 under the following circumstances:
- If the income to service your mortgage comes from a source that is reasonably expected to continue beyond the age of 70 years old (eg. property rental, self-employment etc.) or until you die (eg. pension),
- If you have additional resources which can be liquidated if your income stream dries up
- If your loan to value ratio (LTV) is relatively low (i.e., 75% or less), or your total debt service ratio is at least 10% below the prescribed ceiling
- If you have existing life insurance policies which are assignable
Who can benefit from the balloon payment option?
The balloon mortgage payment option is ideal for persons who:
- Intend to sell property to liquidate the debt
- Expect to receive a lump sum of cash, such as gratuity on retirement payments, claim settlements, etc.
- Buy and sell property
- Sell other assets to repay the debt
- Are young enough to convert the loan to a longer-term traditional mortgage at end of balloon payment period
Do I have to pay a lump-sum of funds at the end of my payment holiday?
No. If you have opted for a payment holiday, you may choose to honour your deferred loan payments in a lump-sum at the end of the moratorium, or you may choose to have the sum capitalized. If you choose to have the sum capitalized, the sum of your monthly payment could be increased, or you may choose to have the life of your loan extended. However, any extension to the life of your loan will be dependent on your age.
What do you mean by a graduated mortgage?
Your graduated mortgage is a beneficial option targeted to assist you with managing your payments. With a graduated mortgage, you start with a low monthly payment and your payments gradually increase over a specified period.
How long is the graduate period under the graduated mortgage?
The graduate period is five years or less.
With the Mortgage Plus, can I benefit from the terms of any of JN Bank’s mortgage options?
Yes. You have the freedom to choose your mortgage terms based on any of the seven options available to you from JN Bank. You may receive up to 95% financing and up to $5 million in unsecured funds.
Can I switch to any of these new mortgage options if I am already a JN Bank mortgagee?
Can I blend mortgage options?
You may have a conversation with our mortgage experts to determine the best option for your needs.