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Fred Said:

Real Estate Investment – Property Insurance: Contact Insurance Broker? What to tell current Insurance Company?

We Answered:

Don't know about the first question. I would just call the general office line, tell them what you need to do, and ask them who they think you should talk with.

Regarding the second question, there are lots of insurance brokers down here, anyway. There is one in San Diego called B.H. Gold that specializes in finding lower priced insurance for people who have existing policies and changing them over to the new company. The company provides a commission to the broker for finding the client, while the client saves money - and gets refund checks - by going with the new company.

My mortgage broker's sister is an insurance broker in the San Francisco Bay Area. She handles all of my insurance needs. I'm sure there must be something like that in Canada, too.

Leslie Said:

Decreasing annuity and amortization question?

We Answered:

Well I wasn't able to get the number you had but it's close.

First find what your payment is going to be, I got $968.730470 by using n=360, i/y=6.24, p/y=12, pv=0.7(225,000), fv=0.

Next find the present of your loan with 160 payments to go since this would be the outstanding principal on the loan after the first 200 payments and the same as your lump sum payment. I got $105,048.1639 by using n=200, i/y=6.24, p/y=12, pmt =968.730470 which was calculated above, and fv=0

Next find the amount you would have paid if you paid the 160 payments at $968.730470 which turns out to be $154996.8752

Now subtract the lump sum amount from the amount you would have paid making the 160 payments and get 154996.8752-105048.1639= 49,948.7113

Now I know the numbers don't match but this is how I would have answered the question. Hope this helps!