Looser Mortgage Standards Hit the UK! Is Canada Next?! Aug 28th

Canadian housing mortgage rates are all over the map. Don’t get trapped in an unnecessarily costly mortgage agreement.
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Looser Mortgage Standards Hit the UK! Is Canada Next?!
There’s nothing surprising about the loosening of mortgage standards to spur growth. In the last real housing bubble of 1990, banks and government brought in stricter lending rules, making it tougher for borrowers to get a mortgage.
Fast forward to the present. We’ve yet to see a housing bubble or market crash, but the government has taken drastic – perhaps even unheard of – precautions to slow the housing market.
In 1990, I was working for the largest trust company in Canada. I can tell you that it has never been harder to qualify for a mortgage than it is today!
In 2006, we had more aggressive lending programs like zero-down payment options, and amortizations went from 25 years to 30, to 35 years and even up to 40 years!
There were interest-only mortgages (we just got a modified version of this back), and you could even finance your purchase for up to 100% of the purchase price.
Forecast time!
Watch for financial institutions to begin loosening their lending policies in Canada as the appetite for mortgage business becomes greater…

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