Blog Post

The Backyard BBQ: Things to Consider

Katherine Martin • Jun 03, 2016

The summer season is getting close, there is talk of barbecue everywhere you go.

We love it, don’t we? And not just because of the food aspect (although, admittedly, that’s a huge factor). We love the idea of the BBQ because of the social component. It’s here that we have the opportunity to welcome our family and friends into our home with the promise of a deliciously grilled feast at the centre of the festivities.



Burgers, ribs, chicken, and steaks; smothered with barbecue sauce, in your backyard, it doesn’t get much better than this.

Are you a seasoned griller with an itch to upgrade your setup? This is for you. Are you a novice, or are you just now beginning the process of looking for a grill of your very own? This is for you, as well.

The following are things to consider as you look for that perfect backyard BBQ:



One of the first things you will want to figure out is your useage! Consider the number of people for which you could be cooking, and then buy appropriately. Yes, smaller models are generally available at a reduced rate, but more space on the grill (primary square inches) may prove crucial for those extended family get-togethers, summer block parties and miscellaneous shindigs. If you feel you may use the space, spend the money and get the real estate (within reason, of course).



Coincidently, if you know for certain that you’ll be grilling for small(er) groups consistently, than a smaller grill might just be the ticket. Either way, it will be important for you to consider these options before you invest.



Before you hand over your hard earned dollars, you should be aware of the differences between cookers, so here is a breakdown of the different types of cookers! Beware, the options are endless, and beautiful! 



Charcoal


This grill is a classic of our time. It’s simplicity of design means that it’s easy to set up and operate (with relatively few mechanical parts to get in the way). There are a few drawbacks: it can be a touch difficult to control grilling heat, and the fuel (charcoal briquettes) tends to burn fairly quickly. In spite of these things, the charcoal grill should be something to consider as you sift through the various options available to you.



Propane


Fueled by a refillable propane tank, this type of grill is easy to use and easy to clean. Not to mention each tank tends to last a good long while (you’ll find yourself refilling approximately twice a season, if you’re using your BBQ on a daily basis) The downside of these models is the tendency of the parts to… well… break, especially the igniters. Because of this, don’t be sucked in by cheaper models; Instead, go for trusty names such as Weber and Broil King. The life of your BBQ (and your igniter) will thank you.



Natural Gas


These grills rely on a dedicated gas line to provide the necessary heat. And while the initial startup cost may be a little bit high, over time, you will save (compared to the fuel costs associated with propane and charcoal). Just don’t make the mistake of buying a natural gas BBQ if your house doesn’t have the appropriate utility!



Smoker


A smoker is not necessarily going to replace your BBQ, it should almost be considered as an addition to your primary cooker. A smoker is a unique piece in that it’s designed to “slow cook” its contents, adding deep flavour and rich texture over a series of hours or days. These cookers take much, much longer to produce a finished product, however, the finished product (if done right) will be immaculate.

Three words… Big Green Egg. Described as the ultimate cooking experience, a Big Green Egg is a kamado-style ceramic charcoal barbecue cooker, and you probably need one! There are thousands of youtube channels and online communities dedicated to cooking in a Big Green Egg to help get you started or to help perfect your craft.

Warning, if you follow this link, you might get sucked into a BBQ subculture that you may never escape, biggreenegg.com. They even have an annual event called Eggtoberfest where thousands of people come together in Atlanta to experience food cooked on an egg.



Brick Oven

Okay, if you want to go all out and be the envy of everyone you know… consider building a massive open fire brick oven in your backyard! Or maybe better yet, Jamie Oliver has come out with a line of backyard brick ovens. This one is called the Dome 60 and according to Jamie, it will cook a pizza in 1 to 2 minutes, “it will cook a sardine in a minute and a half, crispy skin all over, garlic, olive oil, parsley, lemon zest, beautiful.” Who doesn’t love Jamie Oliver!

Think about it, a brick oven in your backyard could potentially change your life!

Regardless of which way you go, have a great month, get out often, and happy grilling!

On a side note, if you need a bigger backyard to accommodate your newfound passion for grilling, I can certainly give you a hand with the financing… let’s talk over some BBQ!

This article originally appeared in the DLC Newsletter for May 2016.

Katherine Martin


Origin Mortgages

Phone: 1-604-454-0843
Email: kmartin@planmymortgage.ca
Fax: 1-604-454-0842


RECENT POSTS

Why Downpayment Source Matters

By Katherine Martin • 01 May, 2024
If you’re looking to purchase a property, although you might not think it matters too much, the source of your downpayment means a great deal to the lender. Let’s discuss the lender requirements, what your downpayment tells the lender about your financial situation, a how downpayment helps establish the mortgage loan to value. Anti-money laundering Lenders care about your downpayment source because, legally, they have to. To prevent money laundering, lenders have to document the source of the downpayment on every home purchase. Acceptable forms of downpayment are money from your resources, borrowed funds through an insured program called the FlexDown, or money you receive as a gift from an immediate family member. To prove the funds are from your resources and not laundered money from the proceeds of crime, you’ll be required to provide bank statements showing the money has been in your account for at least 90 days or that you’ve accumulated the funds through payroll deposits or other acceptable means. Now, if you’re borrowing all or part of your downpayment, you’ll need to include the costs of carrying the payments on the borrowed downpayment in your debt service ratios. If you’re the recipient of a gift from a direct family member, you’ll need to provide a signed gift letter indicating that the funds are a true gift and have no schedule for repayment. From there, you’ll need to show the money deposit into your account. Financial suitability Lenders care about the source of the downpayment because it is an indicator that you are financially able to purchase the property. Showing the lender that your downpayment is coming from your resources is the best. This demonstrates that you have positive cash flow and that you’re able to save money and manage your finances in a way that indicates you’ll most likely make your mortgage payments on time. If your downpayment is borrowed or from a gift, there’s a chance that they’ll want to scrutinize the rest of your application more closely. The bigger your downpayment, the better, well, as far as the lender is concerned. The way they see it, there is a direct correlation between how much money you have as equity to the likelihood you will or won’t default on their mortgage. Essentially, the more equity you have, the less likely you will walk away from the mortgage, which lessens their risk. Downpayment establishes the loan to value (LTV) Thirdly, your downpayment establishes the loan to value ratio. The loan to value ratio or LTV is the percentage of the property’s value compared to the mortgage amount. In Canada, a lender cannot lend more than 95% of a property’s value. So, if you’re buying a home for $400k, the lender can lend $380k, and you’re responsible for coming up with 5%, $ 20k in this situation. But you might be asking yourself, how does the source of the downpayment impact LTV? Great question, and to answer this, we have to look at how to establish property value. Simply put, something is worth what someone is willing to pay for it and what someone is willing to sell it for. Of course, within reason, having no external factors coming into play. When dealing with real estate, an appraisal of the property will include comparisons of what other people have agreed to pay for similar properties in the past. You’ll often hear of situations where buyers and sellers try to inflate the sale price to help finalize the transaction artificially. Any scenario where the buyer isn’t coming up with all of the money for the downpayment, independent of the seller, impacts the LTV. All details of a real estate transaction purchase and sale have to be disclosed to the lender. If there’s any money transferring behind the scenes, this impacts the LTV, and the lender won’t proceed with financing. Non-disclosure to the lender is mortgage fraud. So there you have it; hopefully, this provides context to why lenders ask for documents to prove the source of your downpayment. If you’d like to talk about mortgage financing, please connect anytime; it would be a pleasure to work with you.

Porting Your Mortgage

By Katherine Martin • 24 Apr, 2024
Porting your mortgage is when you transfer the remainder of your current mortgage term, outstanding principal balance, and interest rate to a new property if you’re selling your existing home and buying a new one. Now, despite what some big banks would lead you to believe, porting your mortgage is not an easy process. It’s not a magic process that guarantees you will qualify to purchase a new property using the mortgage you had on a previous property. In addition to re-qualifying for the mortgage you already have, the lender will also assess the property you’re looking to purchase. Many moving parts come into play. You’re more likely to have significant setbacks throughout the process than you are to execute a flawless port. Here are some of the reasons: You may not qualify for the mortgage Let’s say you’re moving to a new city to take a new job. If you’re relying on porting your mortgage to buy a new property, you’ll have to substantiate your new income. If you’re on probation or changed professions, there’s a chance the lender will decline your application. Porting a mortgage is a lot like qualifying for a new mortgage, just with more conditions. The property you are buying has to be approved So let’s say that your income isn’t an issue and that you qualify for the mortgage. The subject property you want to purchase has to be approved as well. Just because the lender accepted your last property as collateral for the mortgage doesn’t mean the lender will accept the new property. The lender will require an appraisal and scrutinize the condition of the property you’re looking to buy. Property values are rarely the same Chances are, if you’re selling a property and buying a new one, there’ll be some price difference. When looking to port a mortgage, if the new property’s value is higher than your previous property, requiring a higher mortgage amount, you’ll most likely have to take a blended rate on the new money, which could increase your payment. If the property value is considerably less, you might incur a penalty to reduce the total mortgage amount. You still need a downpayment Porting a mortgage isn’t just a simple case of swapping one property for another while keeping the same mortgage. You’re still required to come up with a downpayment on the new property. You’ll most likely have to pay a penalty Most lenders will charge the total discharge penalty when you sell your property and take it from the sale proceeds. The penalty is then refunded when you execute the port and purchase the new property. So if you are relying on the proceeds of sale to come up with your downpayment, you might have to make other arrangements. Timelines rarely work out When assessing the housing market, It’s usually a buyer’s market or a seller’s market, not both at the same time. So although you may be able to sell your property overnight, you might not be able to find a suitable property to buy. Alternatively, you may be able to find many suitable properties to purchase while your house sits on the market with no showings. And, chances are, when you end up selling your property and find a new property to buy, the closing dates rarely match up perfectly. Different lenders have different port periods Understanding that different lenders have different port periods is where the fine print in the mortgage documents comes into play. Did you know that depending on the lender, the time you have to port your mortgage can range from one day to six months? So if it’s one day, your lawyer will have to close both the sale of your property and the purchase of your new property on the same day, or the port won’t work. Or, with a more extended port period, you run the risk of selling your house with the intention of porting the mortgage, only to not be able to find a suitable property to buy. So while the idea of porting your mortgage can seem like a good idea, and it might even make sense if you have a low rate that you want to carry over to a property of similar value, it’s always a good idea to get professional mortgage advice and look at all your options. While porting your mortgage is a nice feature to have because it provides you with options, please understand that it is not a guarantee that you’ll be able to swap out properties and keep making the same payments. There’s a lot to know. If you’re looking to sell your existing property and buy a new one, please connect anytime. It would be a pleasure to walk you through the process and help you consider all your options, including a port if that makes the most sense!
© 2024 

Katherine Martin. All Rights Reserved.      

Share by: