Skip to content

CategoryConsumer Debt

Posted Bank News

The Great Mortgage Reset

A FOUR PART SPECIAL EDITION… PART 3 of 4

Canada’s mortgage lending rules and policies are broken.  They just don’t work.  And the more our Federal government tries to help, the worse it gets.  This is a 4 part series of what our government can do to make home ownership affordable.

KNOWING THE PAST WILL HELP OUR FUTURE.

I’m going to list some of the changes that have handicapped Canadians from buying and renting.  There are over 30 changes over the last 18 years but I’m just going to list the ones that have had the greatest impact.  Notice the pattern of ever tightening government lending rules that increase a homeowner’s

Continue reading “The Great Mortgage Reset”
Posted Bank News

The Great Mortgage Reset

A FOUR PART SPECIAL EDITION… PART 2 of 4

Canada’s mortgage lending rules and policies are broken.  They just don’t work.  And the more our Federal government tries to help, the worse it gets.  This is a 4 part series of what our government can do to make home ownership affordable.

IDENTIFY THE PROBLEMS.

1. QUALIFYING IS TOUGHER THAN EVER BEFORE

    Canadians can’t afford to buy or rent a home due to the high monthly cost. Home prices and rental rates have exploded! No surprise there.  

    Simple math.. Even a below average home, let’s use a $500,000 mortgage @ 4.69% will cost you $2,820/mth.  Add in property taxes, home insurance and

    Continue reading “The Great Mortgage Reset”
    Posted 1 Comment on Bank of Canada Rate Cut July 2024: Impact on Mortgages and Economy Bank News

    Bank of Canada Rate Cut July 2024: Impact on Mortgages and Economy

    The Bank of Canada just cut the overnight rate by another 0.25%. For the second consecutive month, they’ve lowered the rate. In total, a 0.50% drop in two months. (not enough, but it’s a start) Great news for anyone in a Variable rate mortgage. It means you will be paying 0.50% less on your mortgage. We can expect further cuts this year and next. Read on for more details.

    Continue reading “Bank of Canada Rate Cut July 2024: Impact on Mortgages and Economy”
    Posted Consumer Debt

    Why your groceries, homes and rents cost more. A Critical Analysis

    The Bank of Canada put out a report entitled   What drives up the price of groceries?

    They could have easily simplified the title to say “What Drives Up the Price of Everything”.  Their answer is the cost of ENERGY and the cost of labour. I’m going to remind you that this report is from the Bank of Canada.. “a Crown corporation that is separate from the political process” as their website says.   

    Continue reading “Why your groceries, homes and rents cost more. A Critical Analysis”
    Posted 1 Comment on Home Prices Heat Up Despite High Interest Rates Bank News

    Home Prices Heat Up Despite High Interest Rates

    Some weird stuff is happening in the world of real estate. As you likely know, the Bank of Canada has steadily raised interest rates over the past year in hopes of cooling inflation. This was also supposed to cool the housing market. Conventional wisdom dictates that higher rates would result in more mortgage defaults, more housing supply, and lower home prices. Oddly enough, none of that is happening. 

    Continue reading “Home Prices Heat Up Despite High Interest Rates”