Canadian housing mortgage rates are all over the map. Don’t get trapped in an unnecessarily costly mortgage agreement.
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The Latest in Mortgage News: Recent hikes are “painful” for variable-rate mortgage borrowers, says BoC Nov 25th
Homebuyers with a variable mortgage rate are facing a "painful" adjustment as interest rates continue to rise, the Bank of Canada's Senior Deputy Governor Carolyn Rogers said this week..... More »
Variable-rate mortgages are about to trigger payment increases Aug 9th
There's been a lot of discussion recently about how variable-rate mortgage holders could face their "trigger point." We're going to explore what that means, and the implications for borrowers..... More »
TD Bank plans to sell $9 billion in mortgages to comply with asset cap + MORE Jan 23rd
TD Bank is planning to sell around $9 billion in residential mortgages as it works to adjust its balance sheet and meet an asset cap imposed by U.S. regulators..... More »
Why mortgage brokers should know prepayment penalty calculations inside and out Mar 20th
All mortgage brokers should have a comfortable working knowledge of how prepayment penalties are calculated and applied. .... More »
Growing Trend: Buying Real Estate with Family and Friends + MORE Oct 25th
While it’s fairly common for those in tight rental markets to have a roommate to help split the rent, an emerging trend is buying real estate with a family member or friend. Faced with high home prices in big cities and tougher mortgage rules, including a new stress test on uninsured mortgages, it.... More »
Is Toronto real estate really in a bubble?
– moneysense.ca
If you live in Toronto you realize you’re in the center of the Canadian real estate universe these days. While the last few months have seen Vancouver housing sales decrease and prices stabilize, Toronto’s real estate market has been catching fire. And of course, economists and bond rating agencies have noticed, too.
Just this week Douglas Porter, chief economist at BMO Capital Markets wrote in a commentary, “The Toronto market—and the many cities around it—are in a bubble,” meaning prices are becoming dangerously detached from good financial and economic fundamentals, mainly because people in Toronto believe there is so much demand that it will cause prices to keep rising strongly, thus encouraging more people to buy—and adding fuel to the growing bubble.
The facts appear strong. Prices in Greater Toronto have risen 22.6% in January from a year ago. And while price increases across Canada are expected to slow this year because of tighter restrictions from new federal home financing rules that aim to make it harder to get a mortgage, BMO’s Porter believes that Toronto and any city that is within commuting distance is in a dangerously overheated housing market…
Why a mortgage that leaves room for retirement saving is a must-have
– theglobeandmail.com
In expensive housing markets like Toronto or Vancouver, contributing to your RRSP can take a back seat — and catching-up later isn’t the solution it used to be
5 Best Cities To Live In Where Houses Are Under $400K
– walletpop.ca
Fed up with high house prices in Toronto or Vancouver? Thinking of packing up and moving elsewhere? We hear ya. With the average price of a single-family home in both these cities well above $1 million, plenty of people in Canada’s priciest cities are looking for alternatives.
Under the federal government’s new mortgage rules, the average-earning household in Canada — with a total income of $80,000 — can get a mortgage of around $380,000 today (assuming a 25-year mortgage at three per cent). That, plus the down payment, is what an average household in Canada can afford.
So we combined the Bank of Montreal’s labour market report card with data on house prices from the Canadian Real Estate Association to come up with a ranking of the best cities to set up shop, where an average home costs less than $400,000. Here’s what we found.
5. Halifax
(Photo: Walter Bibikow via Getty Images)
BMO labour market ranking: 12
Average household income: $84,560
Average mortgage payment: $1,038
People outside the Maritimes rarely consider moving there, but Halifax’s 5…
