Thursday, 28 August 2025
By Mortgage Outlet
Leah Zlatkin quoted in MSN: ‘Tips buyers should know before finalizing their mortgage’
Mortgages can be very complex once you look beyond the term and interest rate, and borrowers can be surprised by terms and conditions that may have an impact on their financial situation, says Leah Zlatkin, licensed mortgage broker.
She offers four areas that buyers should consider before signing up for a mortgage.
It’s not just the interest rate
Getting the lowest interest rate on your mortgage may sound like the best path to saving money, but some of the lowest rates often come with “strings attached,” she says. These include limits on pre-payments and even stiff penalties for paying your mortgage off early.
Understand the additional costs
A mortgage is more than regular payments on the principal and interest costs. They can come with additional fees. Zlatkin recommends asking for a full list of costs before signing. These include administration, appraisal and legal fees. Knowing these additional costs up front allows you to plan better and avoid surprising expenses that could break your budget.
Beware of the penalties
You might assume nothing will change over the term of your mortgage, but life happens, Zlatkin says. You might decide to move, refinance or pay off the mortgage early. All of these may come with penalties that could cost tens of thousands of dollars, she says. “Make sure you understand exactly how these are determined so you’re not caught off guard.”
Consider favouring flexibility
Two mortgages with the same rates can be very different after reading the fine print. It’s important to ask questions, including about mortgage portability if you must move, Zhatkin says. Other areas to understand include refinancing and prepayment privileges. “Sometimes paying a slightly higher rate gives you more freedom and ends up saving money down the road.”
