In our evolving explanation of the elements required to secure a mortgage, we come to one of the most misunderstood elements in the group. Income can be derived from various sources. Because of that reason banks will treat different sources of income differently. To understand this we must first understand what happens behind the scenes when a…
DetailsYour credit score is the first element that is looked at when one applies for financing. You can say that it is the lifeblood of your financial profile. In Canada, we have two main credit reporting agencies. They are Equifax & Transunion. Both agencies gather and build profiles on Canadians and use that information to determine…
DetailsCMHC raises premiums again. Effective March 17th The Canadian Mortgage and Housing Corporation will be significantly raising rates. The media and CMHC can sugar coat it all they want. The increase will hit Canadians and Monoline lenders hard. The new rates will see premiums jump to unprecedented values. that will have a long-lasting impact on the average…
DetailsThis morning, the Canadian Real Estate Association (CREA) released its December national real estate statistics showing home sales rose 2.2% month-over-month in the final month of last year. This rebound retraced less than half of the decline in November, when it posted the largest monthly decline in more than four years in response to…
DetailsThe dawn of the new mortgage rules is upon us. Just as the dawn of a new day reveals the storm clouds that we will face, so do the months of January and February reveal to us how the year will shape up for real estate in 2017. The last set of changes put in…
DetailsThe Bank of Canada today announced that it is maintaining its target for the overnight rate at 1/2 percent. The Bank Rate is correspondingly 3/4 percent and the deposit rate is 1/4 percent. Economic data suggest that global economic conditions have strengthened, as the Bank anticipated in its October Monetary Policy Report (MPR). However, uncertainty,…
DetailsCMHC Report: A new report was published today confirming that foreign ownership in Canada remains low. This confirms what we have been talking about over the last couple of months and shows the federal government holding a smoking gun pointed directly at the Canadian Real Estate Market and the heads of first time homeowners. It is…
DetailsCMHC recommended this week that the minimum down payment is increased. Evan Siddall CEO of CMHC gave a speech last week at the Bank of England’s offices. He recommended that the government take further action and increase the minimum down payment required for someone to buy a home. This recommendation was made on the heels of recent policy…
DetailsOn the heels of the new mortgage policy changes and a recent announcement by the Bank of Canada to keep the key overnight rate at .50%. The TD bank will increase its spread over the overnight rate by raising the prime rate to 2.85% This means that TD is now at 2.35% above the Overnight rate that…
DetailsMany of us remember those iconic words that were spoken by Capt. James Tiberius Kirk from on board the USS Enterprise. His monolog was a staple in the minds of all who had the pleasure of watching Star Trek. Well, today William Shatner the actor who portrayed Capt. Kirk is 85 years old and has…
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