The secret to attracting more health, wealth and happiness in 2014 and beyond

Like most people, you probably have lots of days when things go wrong and it's hard to feel grateful about what's happening in your life. But researchers are discovering that people who develop a consistent "attitude of gratitude" enjoy huge benefits. Expressing gratitude means always being aware of the good things that happen to you and never taking them for granted. The very act of being grateful puts you in a more positive mood, with more overall life satisfaction and happiness. In one study, participants who wrote down five things they felt grateful for, once a week for ten weeks, reported feeling less stress, and more optimism and contentment. When participants wrote gratitude letters to the significant people in their lives, they experienced greater joy and more meaningful relationships. An attitude of gratitude even promotes better health. Grateful people report fewer headaches, nausea, acne, anxiety, depression, and they spend more time exercising. The good news is that an attitude of gratitude can be cultivated. Here are some simple steps to help you feel more grateful so you can enjoy the many benefits:

• Express gratitude. Make a point of telling others how thankful you are to have them in your life, and mean it.
• Gratitude reminders. When you notice yourself feeling down about something, try to think of 4-5 related things you're grateful for. For example, if you're stressed at work, think of some things you like about your job.
• Strategic comparisons. Instead of feeling inadequate by comparing yourself to others who are more fortunate than you, compare yourself with those less fortunate and feel grateful.
• Journal. Every day, write down 3-5 things you feel grateful for. Not only does this help you focus on the abundance in your life, it gives you something uplifting to read when you're feeling low.

Make it a group ritual. Over dinner every evening, ask each family member to tell one thing that happened that day that they feel grateful for. Kupina Mortgage Team | www.kupinamortgage.com

Updated Interest Rates

SNAP-SHOT of my BEST RATES Principal Residence   QUICK CLOSES in 30 days or less & SPECIAL OFFERS (some conditions apply)   Fixed Term Specials 2.74% = 3 Year Fixed Term 3.39% = 5 Year Fixed Term (90 day rate hold) ***3.34% = Mortgage Over $300,000 -  5 Year Fixed Term Variable Term Specials 2.50% = Variable Closed is prime MINUS 0.50% (matures March 2017) 2.50% = Variable Closed is prime MINUS 0.50% (60 day rate hold) ***2.45% = Mortgage Over $300,000 -  Variable Closed is prime MINUS 0.55%   Other Mortgage Term Specials 100% FINANCING = 4.85% to 5.35% 5 Year Fixed Term with 5% cash back on closing   STANDARD MORTGAGES AND RATES   Variable Mortgages & Lines of Credit 2.70% = 3 Year Variable Closed is prime MINUS 0.30% 2.55% = 5 Year Variable Closed is prime MINUS 0.45% 3.50% = Line of Credit at Prime Plus 0.50% 3.80% = Variable 5 Year Open is prime plus 0.80%     * Prime rate is currently 3.00%   Fixed Term Mortgages (Four Month Rate Holds)   1 Year Fixed Term = 2.89% to 2.99% 2 Year Fixed Term = 2.79% to 2.99% 3 Year Fixed Term = 3.09% to 3.19% 4 Year Fixed Term = 3.34% to 3.39% 5 Year Fixed Term = 3.45% to 3.59%   Fixed Term Mortgages (SIX Month Rate Holds) 1 Year Fixed Term = 3.09% 2 Year Fixed Term = 3.14% 3 Year Fixed Term = 3.24% 4 Year Fixed Term = 3.49% 5 Year Fixed Term = 3.74%

Fixed Vs. Variable Mortgage: A Quick Comparison

Let's take a look deeper look at the age old question my clients ask...."So, Variable or Fixed?".  First, let's make some assumptions: 1) You can handle fluctuation in your mortgage payments and you will NOT loose sleep wondering if your rate will sky rocket because your parents keep telling you how they paid double digit interest rates in the 80's. 2) You qualify for a variable rate with acceptable debt-to-service ratios at the qualifying rate of 5.35%  3) Let's assume the Bank of Canada will start to raise the overnight rate by 0.25% in July and September of 2015, January and March of 2016, in July and September of 2017, and two more in July and September of 2018.

Here's a summary of how a $300,000 mortgage at a five-year fixed rate at 3.35% compares to a five-year variable rate at 2.45% (prime minus 0.55%):

A great strategy for variable-rate mortgage borrowers to set their monthly payment at the 5 year fixed rate payment amount. In this case, that would mean their initial monthly variable-rate payment of $1,336 would actually be $1,474. This would equal an extra payment of $138 per month going directly towards their mortgage principal. This allows you to get 'used to paying a higher rate' while enjoying the principal pay down. As the variable rate increases throughout the term, you simply adjust the $138 extra payment down so that your total monthly payment remains constant. Here is a summary of the effects when using this strategy on our comparison.

You will notice this strategy does not save you much in interest paid, however your balance after 5 years has lowered substantially...best of all you won't even notice the extra payment. Our assumption of the rate increases by the Bank of Canada may be considered aggressive - what if rates do not rise as fast as we assumed?. But, some may rightfully say that this small saving is not worth the risk inherent in the variable rate choice. Here's a great tool that I'd like to share. One of our lenders has prepare this Fixed vs Variable Comparison Calculator. Feel free to download and let the numbers speak for themselves. At the end of the day, you need to know what your risk tolerance is. We can only make an educated guess at what will happen to mortgage rates over the next 5 years.  We want you to be comfortable with your mortgage choice however in our comparison, today's variable rate would be the better option over the next five years … assuming that you can sleep at night. Mark Kupina  |  www.KupinaMortgage.com

Variable Rate Update

Good morning As you know, your variable rate mortgage, line of credit and/or student loans are all based on the Prime Rate and here is your personal update from me on the recent Bank of Canada announcement on changes to their Overnight Rate which in most cases impacts your Prime Rate. At 10:00 am EST, Wednesday December 4th, 2013, the Bank of Canada again did what we expected them to do … they continued to maintain their overnight rate.   What this means to you is that once again the prime rate on your mortgage, line of credit or student loan will not change and remains at 3.00%.  This is fabulous news but don't forget to make the most of the low payments you still have, as the rate will increase in the future.  If you haven't done so already, give me a call and we can chat about helping you get set up with a great GIC, Tax Free Savings Account, or Retirement Savings Plan as your payments continue to remain low.    The holiday season is upon us which often means our personal spending on gifts and celebrations will potentially blow our budgets as we spend more than we maybe should… let me help you get back on track with a review of your financial situation which might be a savings plan, purchasing an income property or debt consolidation to pay off high interest loans or credit cards.  If you would like to chat about some budgeting and saving strategies – let me know as I would be happy to assist. Here is an excerpt of the announcement from the Bank of Canada and what they had to say about their decision: "The global economy is expanding at a modest rate, as the Bank expected. Although growth in several emerging markets has continued to ease, growth in the United States during the third quarter of 2013 was stronger than forecast. Even if some of this pickup was due to temporary factors, the data are consistent with the Bank's view of gathering momentum in the U.S. economy.  In Canada, the housing sector has been stronger than expected but is consistent with updated demographic data and a pulling forward of home purchases in light of favourable financing conditions. The Bank continues to expect a soft landing in the housing market. Non-commodity exports continue to disappoint and the price of oil produced in Canada has eased further. Business investment spending is up from previous low levels, but is still recovering more slowly than anticipated. On balance, the Bank sees no reason to adjust its expectation of a gradual return to full production capacity around the end of 2015".  Based on this news and continued slower level of economic activity in Canada, the Bank does not expect to increase their rate in the foreseeable future with any change most likely to occur late 2014 or even not until 2015!   Remember, that any increase to the prime rate since 1992 has only been by 0.25% at any ONE time, so you won't see a large significant increase all at once. Fixed rates did go up but then have gone down a bit since at around 3.49 to 3.69% for a five year fixed term. Based on this recent announcement, and the anticipation that the prime rate will still remain low for a while now, unless you feel otherwise, I'd recommend that you remain with your current variable rate product as the interest is lower than a fixed term rate right now.  However, if having a fixed payment is important to you, call me so I can calculate what your new payment would look like and also if it is suitable for you. The next announcement on any change to the prime rate is January 22^nd, 2014 at which time I'll be in touch again. I wonder if I can ask a favour – this is a great time for first time home buyers who are thinking of purchasing in the New Year to start with a pre-approval plan now to get them on track and save unnecessary interest.  Also if you hear a friend or family member talk about going thru a financially tough time – maybe I can help with some budgeting and debt consolidation options for them.  In either of these cases, would you mind passing my contact information on to them – this is very much appreciated. Yours truly, Mark Kupina  |  www.kupinamortgage.com

Your Cellphone Account can Impact whether you’ll be Approved for a Mortgage

Equifax and TransUnion are the two main credit reporting agencies in Canada. They collect all the data on your loans, lines of credit and credit cards to create your credit report and calculate your credit score. This information is then used by lenders—including mortgage lenders—to determine whether you're a good credit risk. Recently, both credit reporting agencies started including cellphone accounts in their credit reports. This means if you make a cellphone payment after the due date, it appears on your credit report and reflects negatively on your borrowing profile. Even worse, if you allow your cellphone account to go delinquent and it's sent to a collection agency, not only does this appear on your report, it can also reduce your credit score. Mortgage lenders use this information to make underwriting decisions. Therefore, having a negative record with your cellphone provider can actually impact your likelihood of being approved for a loan and increase the interest rate you'll pay. If you've recently walked away from a cellphone contract, it's a good idea to get the company to put in writing that the contract has been fulfilled and is now closed. This can help prevent any damage to your credit rating. For more information on how to preserve or improve your credit rating, call us today. Mark Kupina  |  www.KupinaMortgage.com

The Art of Giving: How to Cultivate Joy this Holiday Season, and Beyond!

'Tis the season for giving. But with all the marketing, financial pressure and expectations at this time of year, sometimes giving doesn't feel so good. Sometimes it feels like an obligation. Or something you can't really afford. Or something designed to make you look good. In those cases, are you really giving anything at all? This holiday season—and throughout next year—instead of giving till it hurts or to outdo everybody else or to avoid feeling guilty, give something that makes you and the recipient feel happy. As an added bonus, this kind of giving rarely costs much! Here are some suggestions:

• Give your time. Visit a loved one you      don't see very often. Call a few special people on the phone—not a text or email—and spend some time finding out what's really going on in their lives.
• Give your skills. Give some lessons on      social media, a couple of hours of landscaping, paint a room, or babysit.
• Give gratitude. Tell someone how much they add to your life, how      they help make you a better person, how they make you smile—and thank them for it.
• Give your "Top 10" list.      Make a list of all the books, stores, service providers, movies, etc. that exceeded your expectations, and pass it on. Everybody likes to go with proven choices.
• Give a giggle. Save up the stories,  jokes or quotes that make you laugh and share them with loved ones. Again,      use the phone so you can hear each other laugh!
• Give forgiveness or an  apology. If you or someone close to you has caused pain, ask for      forgiveness or grant forgiveness. There's nothing more healing and      life-affirming than genuine forgiveness and reconciliation.
• Give random acts of      kindness. Put money in expired parking meters, pick up litter, hold the door      for somebody. The more people you help feel good, the sooner your whole world will feel great!

 

Annual Mortgage Review: How you can Benefit from a Mortgage Tune-up

Most people have regular checkups for their health, car and investment portfolio. But when's the last time you had a checkup for your mortgage? Your mortgage is likely the biggest financial transaction you'll ever make. It deserves as much—or more!—attention as all those other things. As your local mortgage professional, I'm happy to offer a no-cost annual mortgage review. It doesn't matter whether you're a current client of mine or not. This free service is offered without obligation of any kind. Why is an annual mortgage review so important? In a word, "change". Your family may be changing (new additions, kids going to university, retirement approaching), your financial situation may be changing (a raise, job loss, new investment goals, new debts), your plans may be changing (moving, getting married, starting your own business), interest rates are constantly changing, and new mortgages are constantly being introduced with potentially valuable new features. With all this change happening, it definitely makes sense to see if your existing mortgage is still working as hard as it can and providing maximum value. I'll sit down with you, review your mortgage, total debt picture, investment goals and current plans, then present you with professional advice about mortgage strategies that can help you achieve more while paying less. For more information on this free service, call me today! Kupina Mortgage Team | www.KupinaMortgage.com