Mortgage Rate News - Notice to Readers: Our mortgage news is now at RATESDOTCA

Canadian Mortgage News Daily — April 20, 2021

Here’s a daily helping of fresh Canadian mortgage news (the italics are the Spy’s 2 cents): 5-year fixed mortgage rates drop … slightly (RATESDOTCA) Federal budget 2021: Ottawa plans vacant home tax to dissuade foreign speculators, along with billions for affordable housing (The Globe & Mail – Subscription) A 1% tax is supposed to dissuade foreign buyers looking for safe offshore...

Canadian Mortgage News Daily — April 19, 2021

Here’s a daily helping of fresh Canadian mortgage news (the italics are the Spy’s 2 cents): Federal Budget a Snoozer for Housing (RATESDOTCA) The feds tried hard not to upset the apple cart with today’s budget. Are Mortgages with 35-year Amortizations Worth it? (RATESDOTCA) Yes indeed, 35-year ams still exist in Canada. Bank of Canada expected to slow pace of...

Canadian Mortgage News Daily — April 16, 2021

Here’s a daily helping of fresh Canadian mortgage news (the italics are the Spy’s 2 cents): Canadian Reverse Mortgage Rates Drop to Record Low (RATESDOTCA) Upfront rates are one thing. Renewal rates are another. BMO chief economist says “fiery demand” sets Canadian housing market into a “towering inferno” (The Georgia Straight) Sure Porter, upstage our nuclear meltdown metaphor with a...

Canadian Mortgage News Daily — April 15, 2021

Here’s a daily helping of fresh Canadian mortgage news (the italics are the Spy’s 2 cents): Meltdown Risk Growing for Canadian Housing (RATESDOTCA) Average price of Canadian home rising at fastest annual pace ever, now up to $716,828 (CBC News) Why Canadians aren’t interested in negative interest rates (Financial Post) 3 in 4 don’t want negative rates, says BoC. Now...

Canadian Mortgage News Daily — April 14, 2021

Here’s a daily helping of fresh Canadian mortgage news (the italics are the Spy’s 2 cents): How higher rates affect your mortgage renewal (RATESDOTCA) There’s a fair chance that many who got record-low 5-year fixed rates in the last 9 months will see their payments rise at maturity. They’re renewing a mortgage – should they go fixed or variable? (The...

Canadian Mortgage News Daily — April 13, 2021

Here’s a daily helping of Canada’s latest mortgage news (the italics are the Spy’s 2 cents): First-time Buyers Can’t Save Down Payments Fast Enough to Keep Pace with House Prices (RATESDOTCA) Meanwhile, CMHC says it plans to launch a revised First-Time Home Buyer’s Incentive this spring, which reportedly boosts buying power (i.e., further fuels home prices) Pattie Lovett-Reid: Housing affordability...

Late Breaking News from OSFI on its New Stress Test

Important Clarifications… Here’s more of what you need to know about the new stress test rules, straight from the regulator: On the Need to Act Now 25.6% of uninsured mortgages originated between July and December 2020 had a “qualified TDS” above 43%, OSFI says. 44% is the limit, and for a healthy market you really want to see that number...

New Uninsured Mortgage Stress Test Starts June 1

Here’s the latest on what we know about the banking regulator’s new mortgage stress test proposal… 12:10 p.m. ET Update OSFI has proposed a tougher minimum qualifying rate for uninsured mortgages. As planned, it will be the higher of: the mortgage contract rate plus 2%, or a 5.25% floor rate That 5.25% floor is 0.46%-pts higher than the current minimum...

OSFI Resumes Its Stress Test Review

For those who think the 4.79% minimum qualifying rate (mortgage “stress test” rate) is too strict, here’s a breaking update. Tweaks to the often-criticized “stress test” are back on the table. OSFI said today that it “will resume its policy work on the minimum qualifying rate for uninsured mortgages by issuing a new consultation tomorrow at noon (ET).” “OnJanuary 24,...

First-time Mortgagors: Taking it on the Chin

The Mortgage Report: April 5 Many modest-income Canadians who have never owned a home may never own a home, at least not an average home. That is, unless they can live almost anywhere (work remotely, for example), and/or they’re buying with someone else (e.g., a significant other). Here’s why… First-time homebuyers now expect to pay $433,000 on average, according to...