Interested in learning more about property mortgages in Canada? Look no further!
Latest News
Understanding the Smith Manoeuvre: a Canadian mortgage strategy decoded Jan 6th
For nearly four decades, Canadians have turned to an investment strategy of writing off the interest from mortgage payments as tax-deductible. Known as the Smith Manoeuvre—after its creator, financial planner Fraser Smith—the strategy involves getting a readvanceable mortgage, which includes a l.... More »
New joint venture creates one of Canada’s largest independent mortgage platforms Feb 4th
The newly formed OIM Group brings together two growing brokerages to create a national, multi-brand platform spanning underwriting, technology and alternative lending..... More »
Bank of Canada rate cut increasingly likely amid coronavirus fears, economists say - Global News Mar 2nd
Bank of Canada rate cut increasingly likely amid coronavirus fears, economists say Global NewsCoronavirus rate cut could open Poloz's finale at Bank of Canada BNNBloomberg.caBoC Increasingly Likely to Deliver a Surprise Rate Cut This Week - Mortgage Rates & Mortgage Broker .... More »
U.S. mortgage rates dip slightly, sending 30-year loans to 6.23% + MORE Nov 30th
Mortgage rates fell after three weeks of increases, giving prospective buyers some relief from price pressures. .... More »
“Should we refinance our mortgage?” Nov 19th
Q. We’re thinking about breaking our existing home mortgage to take advantage of the low interest rates we’re seeing now, and would appreciate some guidance. This is our scenario:
Mortgage principal: $572,000
Weekly payments: $746.00
Interest rate: 3.78% fixed and locked in until December 2023.... More »
Impacts of the Stress Test
– canadianmortgagetrends.com
There’s been a lot of talk about the government’s mortgage stress test recently—particularly since it was left untouched in last week’s federal budget, despite high expectations of at least some tweaks. But a recent report from Teranet shows some of the tangible impacts the stress test has had on the mortgage market, namely that Canada’s […]
MORTGAGE 101: Understanding Different Mortgage Options
– ratesupermarket.ca
To new buyers, the real estate market can appear intimidating with jargon like amortization, mortgage insurance, fixed vs variable and so on.
Here are some of the key terms and mortgage types you’ll encounter when shopping for your home loan.
What is a Mortgage?
A mortgage is a loan offered by financial institutions to make the process of owning a real estate property feasible. Interest is charged on the Principal amount and each mortgage payment consists of repayment of the principal, plus some of the interest.
In Canada, potential home buyers pay at least five percent of the total cost of the house upfront.
Now let’s explore the different types of mortgages that the Canadian market holds:
High Ratio Mortgage: Refers to the loan to value ratio of the loan. If you pay less than 20 percent of the property cost as a down payment the loan has a high LVR. In this instance, it is mandatory to attain Mortgage Insurance, also referred to as CMHC (Canadian Mortgage and Housing Corporation) Insurance…
Why are We Being Poorly Advised Against Homeownership?
– canadamortgagenews.ca
Something strange has been going on over the past decade. We’re often being told – and, in many cases, convinced – that it’s better to rent than to own.
I firmly believe everyone should own their home. In fact, I think we should own at least one investment property… and, in many cases, more than one, but I’ll get to that in a minute…
I can understand why many people, particularly Millennials, are believing it’s better to rent than own. After all, it’s easier to rent. Just look online for a condo or house for rent. Apply, sign the lease and you’re done. We’ll call this the Convenience factor.
Compare this with buying. You need to find a home, negotiate the price, get a lawyer to check out the property, have a home inspection, and then apply and qualify for a mortgage (which is a little harder now thanks to all the wonderful Federal government mortgage rule interference – I mean tightening. Uh, no, I mean changes – so we don’t take on too much debt)…
