What to do with a rental property when you owe more than it’s worth + MORE Apr 22nd

Mortgages in Canada can be a murky subject – one that we hope to shed some light on with a series of highly informational articles.
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2020 Mortgage Forecasts: Defaults to Jump, Originations to Tumble, Sales to “Suffer” + MORE May 8th

There’s no doubt that Canada’s mortgage and real estate industries will suffer in the short term due to the impacts of the coronavirus pandemic. But how long will the pain last and how far out might the recovery be? Those are questions being asked by many in the industry, and some have p.... More »
 loan

Deferring Your Mortgage Could Cost You More Down the Road + MORE Jun 4th

Well over 700,000 Canadian homeowners have now taken advantage of various mortgage payment deferral programs offered by most mortgage lenders. It’s no wonder there’s been so much demand, considering more than three million jobs have been lost across the country since the start of March when the.... More »
 line of credit

How to Read Your Credit Report + MORE Jun 1st

Your credit report summarizes your credit history and helps lenders weigh your credit risk. Often your credit report is initiated when you apply for your first credit card. Over time it can help you reach your larger financial goals such as obtaining a rental agreement or mortgage. When you apply f.... More »
 property mortgage

Advice for cash-strapped renters and landlords during COVID-19 + MORE May 17th

When the COVID-19 pandemic swept across North America in early 2020, it created a wave of income loss that impacted people from all walks of life. While some individuals have been hit harder than others, it’s difficult to find a group or industry that hasn’t been affected. A small segment of the.... More »
While Canadian lenders stepped forward with unprecedented measures to assist those affected by the COVID-19 pandemic, there were still some homeowners unable to make their mortgage payments over the past month. As many as one in 20 homeowners (6%) said they missed their mortgage payment recently due in part or in full to the ongoing pandemic, with another 5% declining to answer. That’s according to new data from Forum Research. The survey, which polled 1,335 people on April 13, found […]

Continue Reading On canadianmortgagetrends.com »

COVID-19 fallout makes a hasty mortgage refinancing tempting — but it could cost youQualifying is less easy now, and there are expenses to be considered even if you do, writes Elaine Smith.

Continue Reading On thestar.com »

Q. I bought a home in Fort McMurray, Alta., for $413,000 in 2007. Five years later, in 2012, I moved out and started renting the property, and it has remained an income property since then.
With the decline in oil prices, the town of Fort McMurray has seen real estate losing value like crazy. After 12 years of paying the mortgage, I am now underwater. The rent I’m currently able to charge does not cover all of my expenses; in 2018, I received $15,000 in rental income and had $19,000 in expenses, excluding payments on the mortgage principal.  I owe $282,000 on the mortgage, at 3.4% fixed interest; it comes up for renewal in 2024. If I were to sell, the estimated price as of Nov 16, 2019, is $150,000 to $180,000. (Yes, I know it is bad!)
As you can see, I’m in a black hole and I don’t know what to do about it. I am not receiving any positive income and the property value has dropped each year that I’ve held it. I want to sell, but don’t have enough savings to cover the gap between the expected sale price and what I owe on the mortgage…

Continue Reading On moneysense.ca »

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