Retail Condos

This might be an exciting opportunity for all you entrepreneurial types out there with the trend of Retail Condos.  Basically as a lot of the old shopping malls or large stores close down with there 1970's concept of mammoth square footage, owners of these relics of yesteryear are dividing them into Retail Condos (from 60-550 sq ft.) and for sale to prospective business owners, but just like residential condos location is key to allow your store to thrive. So look for anchor box stores/retailers with familiar names in your complex that drives customers to your area then you can "feed" from the foot traffic that's generated. Also again like your own home, a condominium corporation is set up with you the owner paying into a fund to cover maintenance for the reinvented space and common areas, so without saying if the age of the mall is growing "grey hair" have an expert check out the big ticket items as the roof, foundation, AC/ Heating systems etc. Now on the upside to own one of these units, retail condo owners are allowed to lease their space to another retailer or sell the unit (if in time) the location pays off. To finish up, like any investment......do your homework but in my humble opinion sounds like a win/win!

Pay Down your Mortgage Quicker with these KeyTips.

Congratulations you are getting a mortgage ( which for most will  be your biggest purchase of your life) so why not save some money/interest that is paid back to the lender and not be intimidated either by all the mortgage choices or interest rate information that will be sent your way and understand what your options are, read on.  Now first we are all wired differently when it comes to financial stress and to use the analogy of a car; how many of you would fret if your on a half of tank of gas with the next fill-up station miles away, or like myself because you know the mileage and your confident you have enough fuel your not worried. Much is the same in picking the right mortgage term ( length of the mortgage contract),  personally the longest term  i will do is a 4 year fixed which is always lower in interest than the most popular 5 year fixed (which most lenders push the hardest) and will save you big money over your typically 20 year contract. Now my favorite is the 1 year fixed which comes with rock bottom interest rates ( if your willing to roll the dice that the rates stay down) but if they are heading north, bonus!!!....you can lock in a secure rate a few months before your renewal date, also double bonus; with both of these options have the discipline and take what is saved in your monthly payment and apply it directly to the mortgage per month again saving you huge amounts. So to finish up on my picks; needless to say you have to pay attention to the business news and also have the plan in place to pay down your mortgage with the savings that you incur from the smaller amount owing to the lender due to the lower interests rates charge.  Now to the "other" side lol;  the terms i avoid are the 5 year variable, 3, 7 and 10 year fixed but maybe because of your debt levels are high  you might not qualify for my favorites so do not have those options for now, or again your tolerance
for the unknown rate hikes is such so you like the comfort of the long term security ( if that's the case, take the 10year fixed as it is usually just a few tenths of a % point from the 7 year and sleep at nights) but  all of this comes at a price with higher interests rates and of course more money out of your pocket.  In closing, you know yourself best and your comfort zone so pick what options are better for you and enjoy your new abode stress free.

Ways to Save More and Reduce Debt

We as Canadians are riding a wave of self destruction if we don't get our debt under control. As a society we have "grown" comfortable with the fact of owing back and forget that there is a cost of borrowing.....its call interest. Today we are at historical low rates but like any cycle it has to increase so now is the time to reel in those IOU'S. Here is a list how to save more and get out of debt faster  A) Set up an automatic transfer of money into a high interest savings account every time you get paid...out of sight, out of mind as they say.  B) Ask your lender if you can increase your mortgage payments by 10% and save huge amounts of interest owing to them. C) Increase your regular contributions to your RRSP ( Registered Retirement Savings Plan) or TFSA  (Tax-Free Savings Account) by the same amount your take home pay goes up each year.  D) Pay off any Credit Cards or Lines of Credit within 20 months and save on its high interest charges. E) How is it possible you might ask with the above list?  Track your monthly household expenses and cut down your biggest non-essential payouts......remember our previous blog on wants and needs people and lets start controlling our own destiny.