Tag Archive: survey


Competition, Stress Test, Driving Down Rates

Love it or hate it, Canada’s controversial mortgage stress test has led to one welcome benefit: bigger mortgage discounts. That’s due partly to slowing demand for B-20-compliant mortgages—i.e., mortgages that require borrowers to pass the banking regulator’s “stress test,” which was adopted in January. In its latest Senior Loan Officer survey, the Bank of Canada writes, “Mortgage approval rates continued...

New Mortgage Rate Insights From BMO

Rising rates and new mortgage regulations aren’t enough to scare nearly 1 in 4 Canadians. That’s how many plan to buy a home within the next year. This comes from a new BMO survey, which also found the national average price buyers expect to pay is about $474,000. That jumps to $580,000 in Toronto and $603,000 for Vancouver buyers. Most concerning...

Are Homebuyers Too Optimistic?

Canadians are more gung-ho than ever to buy a house. RBC’s latest Home Ownership Poll found that nearly a third of Canadians (32%) still expect to buy a home within the next two years. That’s the highest level of homebuying intention Canada has seen since 2010, and up 7% from last year. This is despite a string of new mortgage...

Canadians Notoriously Indifferent About Rate Shopping

You know the situation is bad when Canadians need to be told by a bank to shop around for mortgage rates. While we at the Spy beat that drum daily, banks are normally happy to sell you mediocre “special offer” rates, or even posted rates (for renewers who are gullible enough). That’s why it’s eye-catching to see Larry Tomei, Executive...

Advice Valued More than Ever

It used to be a lot easier to understand mortgages. But since January 2016 alone, we’ve seen: Minimum down payments increased to 10% for any portion of a mortgage above $500,000 Restrictions on refinancing Rates become much more dependent on: loan-to-value (because of changes to default insurance) amortization credit scores A stress test required for all insured mortgages, using the...

Low Rate or Low Borrowing Cost?

Would you rather have the lowest mortgage rate or the lowest borrowing cost? If you picked the latter, good for you. You’re mortgage savvy, and you’re in the minority. Check out this chart from a recent Manulife survey. Its findings show that the “interest rate” dominates all other factors when consumers pick a mortgage. That’s great news for a rate comparison...