Realty Taxes
The first item that takes priority to a first mortgage is the Realty Taxes levied through the municipality or township.
The municipality will issue an interim and final tax bill yearly (normally payable in six installments). Delinquent realty taxes take priority over all mortgages registered against the property. If property taxes are not paid in three years, municipalities have the option of selling your property for tax arrears and using the proceeds to pay off all amounts outstanding.
Because tax arrears take priority over your mortgage, many mortgage lenders require borrowers to pay an amount equal to 1/12th of the estimated taxes each month, added to the mortgage payment. In turn, the lender will pay the taxes to the municipality on behalf of the client. This gives the lender an added comfort level, knowing that the taxes are up-to-date.
Condominium Fees
The second item that takes priority to a mortgage is the condominium fees.
These fees pay the costs of operation of the Condo Corp. ie: grounds maintenance, snow removal, maintenance of common areas, building insurance, some repairs such as roofs and outside walls, elevators, etc.
If the fees are not paid and become serious arrears, the Condo Corp. may and can start a legal action (Power of Sale) against the unit owner.
Public Utilities Account
In many municipalities and townships they are the provider of the hydro and water. As such if these accounts run into serious arrears they can be attached to the Municipal Realty Taxes and collected accordingly.
Rates For
Fri, Jul 30, 2010
6:05 am
| 1 Year (Closed) | |
| CIR: 2.70 | Bank: 5.65 |
| 1 Year (Convertible) | |
| CIR: 2.70 | Bank: 5.65 |
| 1 Year (Open) | |
| CIR: 2.70 | Bank: 5.65 |
| 2 Years | |
| CIR: 3.45 | Bank: 3.65 |
| 3 Years | |
| CIR: 3.5 | Bank: 4.1 |
| 4 Years | |
| CIR: 3.89 | Bank: 5.24 |
| 5 Years | |
| CIR: 4.19 | Bank: 5.80 |
| 7 Years | |
| CIR: 5.15 | Bank: 6.0 |
| 10 Years | |
| CIR: 5.49 | Bank: 6.19 |
