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Giving away 2 x $25 Dairy Queen gift card. Summer is here so enjoy some ice cream.

Your a VIP <<First Name>>

.... and you're in my VIP Club. Instead of traditional advertising, every month I am giving away something fun to my VIP's (past, present and future clients); you're one of them! There's no catch - I'm spending my advertising dollars on you. I'll be sending mortgage, insurance or investing news, keeping in touch, and offering you a cool giveaway.

Enter the Giveaway

Giving away 2 - $25 Dairy Queen gift card. 👉 Vote in the survey below 👈 and you will be entered in the draw for the gift card. Draw will be on July 20th, and winner will be notified shortly after by email.

What are you  doing for the Canada Day long weekend?

 A) Went to a beach and enjoyed the heat🏝 
 B) Staycation around the house and got stuff done 🏘 
 C) Started summer by going on a holiday with the family✈🚙 
 D) A little bit of everything - dinner, beach, hung with friends 🥂

How to hand down your cottage while keeping the peace and saving money

By Penny Caldwell

Published: July 30, 2018

Nothing is sure but death and taxes. Ben Franklin said it centuries ago, but it’s never been more relevant than now for the aging cohort of cottagers preparing to transfer ownership to the next generation. “If you’ve got time and some creativity, and you are dealing with advisors who have done it before, then it’s straightforward,” says Jamie Golombek, the managing director, tax and estate planning with CIBC Financial Planning and Advice. “The problem is if you haven’t done any planning, and someone dies, then there’s a tax bill to pay right away. Where’s the money going to come from?”

Where indeed? But finding the money for taxes is only one part of a sound succession strategy. With planning, you can also ensure that the cottage stays in the family and that it goes to the children who really want it. You can lessen the capital gains tax hit or even postpone it for generations. You can reduce or avoid costs such as the estate administration tax (also known as probate fees). And you can protect the cottage from financial or marital claims, a concern that’s top of mind for many parents. Finally, and perhaps most important, you can put a cottage sharing agreement in place that provides a framework for solving multi-owner conflicts.

Highlight this paragraph.

Strategy #3: Take out a mortgage or life insurance

Another option to discuss with your family is to gift or sell the property to the kids and have them take out a mortgage to fund the capital gains tax and/or the cost of purchasing it from you. Sharing mortgage payments on a cottage property may be an affordable alternative to the high price of a house in the city, and they may be able to designate the cottage as their principal residence.

Similarly, parents can take out a life insurance policy, payable on death, to cover the capital gains tax. “It is one of the few scenarios when I recommend life insurance,” says Tara Benham, a partner in tax with Grant Thornton on Vancouver Island. “And I recommend that the beneficiaries pay for the life insurance.” The cost of life insurance will depend on the age and health of the parents, but if several children will inherit the cottage, splitting the cost of the premiums is likely to be less expensive than eventually paying the tax.

Full article here.

Residential Market Update - Canada’s interest rate conundrum

The latest flurry of economic data appears to give the Bank of Canada the footing it needs to stand firm on interest rates.

Core inflation came in at 2.1% in May. That is the highest rate since 2012. The central bank prefers the core reading, which strips out volatile items like food and fuel, which were both the big influencers in May.

Canada’s retail sales numbers are generally deemed to be good. Although the April increase of just 0.1% is virtually flat, the underlying data shows that 7 of 11 sectors experienced increases. The big losers were businesses that were adversely affected by this spring’s bad weather.

Job creation set another record in May, adding nearly 28,000 jobs and pushing the unemployment rate to 5.4% -- a 43 year low.

The big uncertainty, now, is the United States where there is a growing consensus that the Federal Reserve is leaning toward an interest rate cut. The U.S. central bank left its rate unchanged last week, and data from the governors suggests they have no desire for a cut, but markets and futures traders are convinced it will happen in July. Fed chair, Jerome Powell, has not ruled out a cut if it is needed.

With rates where they are: 1.75% here and 2.25% to 2.50% there, neither central bank has much room for rate reductions. There are serious doubts that small or token cuts will spur businesses or consumers to spend more or take-on more debt.

Rates are coming down.

5 Yr Fixed Insured High Ratio and < 70% - 2.74%
5 Yr Fixed Insurable Rates 70.01% - 80% = 2.94 (Purchase only)
Insured HR 5 Yr. ARM - Prime - 1.0% ( 2.95%)
5Yr. Fixed Uninsured Conventional Special - 2.99%
(Wondering what the difference between Uninsurable and insured? Why is Uninsurable so much higher than Insured? Give me a call and we can chat about rates.)

Your Personal Guide to Mortgages booklet has now been updated to reflect the changes for 2019. This guide is free to download if you are looking for a new mortgage, a second mortgage or to refinance your current mortgage. If you know any one that might be looking for a new house - please pass this along. Also if you know of any real estate Agents that would be interested, please pass this along. I have had many compliments on the booklet and how nicely it lays out the process from pre-approval to move in day. Just click on my face and it will take you to the downloadable and shareable pdf. I hope you enjoy the read.

May Banville & Jones Winner!

Congrats to Jen Z on winning your gift card.

Lang Financial Referral Initiative

Because a lot of my very best clients have been referred to me by existing clients, I believe this is a great way grow my business. The finest complement I can receive is a referral. I am never too busy to see if I can be a resource for someone else you care about.

Each and every referral will get an automatic $25 gift card for the company of your choice.
When that referral does any business with me, mortgage - investing - insurance, I will give up to a $100 gift card to the person that referred. This is on top of my monthly VIP prize every month.

I always appreciate referrals and want to show how much I do.

For this next month, I am giving away 20 - $5 Tims cards to anyone who has a friend, family, co-worker, sign up to this newsletter. They can sign up at my website. The more people I can reach, the more people I can show my value proposition. The mortgage, investing and insurance world is becoming more and more confusing. It is a full time job for me to keep up the the changing rules and regulations. My goal is to educate my clients that we have the solutions that will solve their problems in an easy and stress free way. Please don't refer your cats or dogs 😂 and one email address per household.

Questions on your Insurance, Mortgage or Investments? Do you need to review your insurance to ensure you are fully covered? Please email me or call me today.