Canadian housing mortgage rates are all over the map. Don’t get trapped in an unnecessarily costly mortgage agreement.
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Tapping into Lower Interest Rates: Does Renewing Your Mortgage Early Save You Money? Jul 22nd
Late last year, many had forecasted that the Bank of Canada might cut interest rates in 2020. However, no one could have foreseen just how low-interest rates were about to plummet in the coming months.
Canada’s COVID-19 lockdown led to a sharp rise in unemployment, causing the Bank of Canada to s.... More »
Latest in Mortgage News: House Price Growth to Cool by End of Year: TD + MORE May 1st
TD Bank is forecasting that home prices have further to rise yet before finally starting to lose steam by the end of the year. “…with markets remaining historically tight, more near-term gains are in the cards,” wrote TD economist Rishi Sondhi in a recent report. But, with home pri.... More »
Latest in Mortgage News: Newton Launches Rate Search Engine “Discovery” + MORE Oct 13th
Newton Connectivity Systems this week launched its new broker rate search engine, Discovery. The system, which also serves as a rate distributor for lenders, promises to improve efficiency and the quality of service brokers can provide to their clients, Kevin Dear, VP of Broker Experience at Newton,.... More »
What’s the best way of using your home equity during retirement? + MORE Nov 10th
Mortgages in Canada can be a murky subject - one that we hope to shed some light on with a series of highly informational articles.
High Mortgage Volumes Helped Drive Q3 Results for First National And Equitable Bank - canadianmortgagetrends.comStrong mortgage volumes throughout the year helpe.... More »
Opinion: Why mortgage brokers are not order takers Dec 9th
A growing number of borrowers now expect fast, frictionless mortgage quotes without offering the details needed to make them real. It’s a mindset that’s becoming more common — and one that rarely survives underwriting..... More »
What the Bank of Canada Rate Increase to 1.5% Means for Canadian Home Owners and Home Buyers
– ratesupermarket.ca
From personal loans to mortgages, simply put, it’s now more expensive and more difficult for Canadians to borrow money.
At the beginning of 2018, new mortgage rules raised the bar for qualification. Under federal law, all financial institutions are now required to put any new applicants under a strict “stress test”, regardless of their down payment amount. Borrowers have to prove they can still make payments at the greater of two options: either the five-year benchmark rate published by the Bank of Canada (currently 5.34 per cent), or the contractual mortgage rate plus two percentage points. Otherwise, those borrowers will not qualify for a mortgage.
And in recent news, the Bank of Canada raised its overnight lending rate to the highest level in almost ten years; the target is now 1.5 per cent. Commercial banks responded right away by raising their prime rate to 3.7 per cent. This means if you have a variable rate mortgage or have borrowed money from a line of credit, it is going to get more expensive to service…
BREAKING: Ontario Car Insurance Rates Have Increased
– ratesupermarket.ca
Here at RateSupermaket.ca, we keep you in the loop of different ways to save, whether it be on your mortgage, through investments, or on your car insurance. The Financial Services Commission of Ontario (FSCO) has reported that Ontario car insurance rates have increased by 1.11 per cent on average.
Car insurance rates fluctuate based on a number of different factors. However, before an insurance company can change rates, it must first be approved by the Financial Services Commission of Ontario (a regulatory agency of the Ministry of Finance).
FSCO publishes approved rate changes quarterly, and the latest results are in:
In the second quarter of 2018, approved rates from auto insurance companies increased by 1.11 per cent on average – not a huge increase, but notable.
The range of approved rates seemed to be significant, with some companies lowering their rates by about 0.69 per cent, and another inflating its rates by 8.15 per cent on average.
“Consumers are urged to shop around for auto insurance,” FSCO said in its quarterly statement…
Why Did the Bank of Canada Raise Rates Last Week?!
– canadamortgagenews.ca
Last Wednesday, the Bank of Canada (BoC) raised its overnight target rate to 1.5% – up from 1.25%. This is the fourth increase since last June, when the target rate was 0.5%.
The timing is suspect to me. Last year, we had an increase around this time, but that was coming off of the hottest housing market in 29 years. We’re currently on the heels of a brutally slow spring market, yet rates are still rising? I don’t get it… this is a poor decision, in my opinion.
When it comes to four rate increases in the past year, there are facts, realities and perceptions that come into play…
FACTS
The BoC is using old facts to justify this fourth rate increase. This has pushed up lending costs for commercial businesses and consumers who borrow based on the bank Prime rate.
REALITIES
Variable-rate mortgages got a little more expensive. A good variable rate is anywhere between Prime minus 0.65% and 1.19% . For some of us in a variable rate, we could be seeing our mortgage rate just above 3% for the first time in almost 10 years! That’s right, if you were in a variable-rate mortgage for the last 10 years, you probably don’t know what a mortgage rate above 3% feels like…
