Trusted Tips and Resources

Trusted Tips & Resources

Trusted Regina Financial Advisor Shares a Tip on Estate Planning Strategies

John Barabe has an unwavering commitment to quality and service which has enabled him to build and retain a successful practice in Regina. He and his team believe that planning with honesty and integrity are cornerstones to improving clients' quality of life. He applies his knowledge to help clients make the right choices when considering all the product and service options that exist in today's marketplace.

Here he shares a tip on Estate Planning Strategies.

Estate Planning Strategies



Many families are not aware of the estate planning options necessary to ensure their intentions are carried out on death.  Estate planning is complicated enough without adding family dynamics into the mix making preparation important.


With the current trend of living together without getting married many couples think that the same marital status that applies to taxation also applies to estate.  It does not.  

Upon death, without a valid will, a common law partner is not recognized as a spouse and would be excluded from a share in the estate.

Consideration and selection of an appropriate nominee guardian for minor children is an integral part of the estate planning process.  Why risk courts and government agencies intervening to make decisions.  You need certainty that the care of your child’s life is in the right hands.  Emotional toll is only compounded with the potential of inheritances that may be tied up and or depleted in the process.


Although a will only makes up a portion of an estate plan, there are many unintended mistakes that are commonly made.  For example, many people enter into identical wills with their spouse or partner.  

What few are aware of is by law the survivor may not change or revoke his or her will after the death of their partner.  Changes could be contested causing family problems and unintended beneficiaries.  

What if the surviving spouse develops additional needs?  What if one of the children divorce and both are beneficiaries?  What if a surviving spouse wishes to make special arrangements for a caregiver or charity that helped either party in a time of need?  The variations are endless.  This common problem is solved by adding a simple provision to your wills. 


Sometimes seemingly small word changes can have unintended but substantial legal ramifications that result in dramatic changes to the distribution of assets from what was planned.  Small changes can undo best intentions and unfortunately family conflict can result.


The process John follows for estate planning includes:


  1. Complete an estate planning checklist.
  2. Meet with you and your spouse or partner and clarify and confirm desires and objectives
  3. Ensure the people involved with your estate are aware of the intentions.  This can include beneficiaries, executors (or executrixes), trustees and guardians.  
  4. Then implement.  All the other steps are not valuable without action.

Make sure your beneficiaries are taken care of, according to your wishes. 

John Barabe and his team carefully consider your needs, goals and dreams in order to implement a well-constructed financial strategy, so that you can have peace of mind about your hard-earned money and financial future. They can simplify your life by addressing your complete financial well-being, which encompasses everything from:

John Barabe is a Trusted Financial Advisor


The opinions expressed within this article/communication are those of the Financial Advisor and are not necessarily those of Keybase Financial Group Inc. Any data provided is for illustration purposes only. Clients and prospective clients should always read a product prospectus and fully understand all of the risks associated with the product before purchasing.

Third party publications are not prepared by Keybase Financial Group Inc.The opinions, estimates and projections contained in the publication are those of the author as of the date of the indicated and are subject to change without notice. Keybase Financial Group Inc. makes no representation or warranty, express or implied, in respect therein and accepts no liability whatsoever for any loss arising from any use of or reliance on the reports or its contents. The provisions of the publication are not to be constructed as an offer to sell or a solicitation for or an offer to buy any securities.

Trusted Regina Mortgage Expert Answers Questions About Rising Lending Rates

Trusted Regina's Skott Enns and Ryan Boughen of TMG The Mortgage Group can be found in the Mortgage category.  


We sat down and asked Skott Enns of TMG The Mortgage Group some questions we thought you'd like the answers to!


"As many of you have now heard, the Bank of Canada increased its lending rate to 0.75%. That is an increase of 0.25%, from their previous rate of 0.50%."


QUESTION #1: Who will be affected by this?


 "When the BoC increases their rate, this will typically translate into an increase in the Prime lending rate, which is how banks calculate their variable mortgage rate. Hence, if you have a variable rate mortgage (or  there is a line of credit component attached to your mortgage), you can  expect your mortgage rate (and likely your payment) to increase by 0.25%  in the very near future."



QUESTION #2: What does this actually mean?


"Of course no one likes to hear that their interest rate is increasing, but before panicking, it is important to look at what this actually means in dollars and cents. With this 0.25% increase, your mortgage payment will increase by $13/month for every $100,000 you owe."


"So if you have a $300,000 mortgage, this will increase your mortgage payment by $39-ish per month. Clearly you would rather keep that money in your own pocket, but this is not a scenario where the sky is falling."


Image result for arrow going up with house


QUESTION #3: What to do?


a) "We can lock in your mortgage rate by converting it to a fixed term. When you originally received your mortgage financing you (in most cases) were committing to that particular lender for a 5 year period. If you are now 2 years into that variable rate and wanted to lock into a fixed term, you would be locking into a term of at least 3 years. Make sense? Keep in mind, however, that in many cases, the fixed rate that you would be locking into is still going to be higher than your new increased variable rate."


b) "We can do nothing, and stay the course with a variable rate. Although one can never guarantee what will happen with mortgage rates, history shows that those borrowers with variable rates who stay the course as opposed to locking in mid term still save more money."


SKOTT'S TWO CENTS:


"As a blanket statement, I am encouraging the clients who are calling me to stick with their variable rates. As mentioned, in most cases your new variable rate will still be lower than the fixed rate you would be locking into. If you consider this, in addition to the ultra low penalty that comes with breaking a variable rate mortgage (should it ever happen), I still believe a variable term is the right way to go."


"That being said, every situation is unique. If you have any questions at all about your mortgage please do not hesitate to contact me at 306.201.6500."


I am happy to answer any questions/concerns you may have.


If you are looking for honest, unbiased advice from a mortgage broker in Regina they would love to talk with you!

Skott Phone 306-201-6500  Ryan Phone 306-570-3379 


TMG The Mortgage Group Skott Enns & Ryan Boughen are Trusted Regina Mortgage Brokers


 

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