CategoryInterest rates

Ask the mortgage expert: how Canada’s self-employed can unlock homeownership

For too long, Canada’s self-employed have faced a maddening paradox. The very financial strategies that prove your business savvy—like maximizing deductions to lower your taxable income—often become the biggest roadblocks to securing a mortgage.

As a mortgage broker, I see this scenario play out every week. I meet brilliant entrepreneurs, skilled contractors, and creative freelancers who have thriving businesses and excellent cash flow. Yet, they get turned away by traditional lenders fixated on a single line on a tax return. The story is always the same: “My business is having its best year ever, but the bank says I don’t make enough money.”

If this sounds familiar, take heart. The landscape has changed. Lenders and mortgage insurers now recognize the unique financial reality of the self-employed. A new generation of intelligent mortgage products has arrived, designed to look beyond your declared income and see the true financial strength of your business. The T4 slip is no longer the only golden ticket to homeownership. Continue Reading…

I hope you will enjoy this article and if you have any questions or would like to discuss I am always available.

Your best interest is my only interest. I reply to all questions and I welcome your comments. Like this article? Share with a friend.

Steve Garganis: 416-224-0114; steve@canadamortgagenews.

Posted August 5, 2025 Bank News

Refinance today before you can’t tomorrow

Alright, let’s talk mortgages. Because right now, for a lot of Canadians, that word “mortgage” isn’t exactly synonymous with “sweet dreams and financial freedom.” No, for far too many, it’s becoming a four-letter word that brings with it a whole lot of anxiety.

I’ve been in this business a long time, seen a lot of market cycles. But what we’re witnessing today is something else entirely. The sheer volume of people hitting their mortgage renewal dates with rates dramatically higher than what they signed up for just a few years back? It’s unprecedented. The “payment shock” isn’t just a buzzword; it’s a gut punch for a massive percentage of Canadian households.

Think back to 2020, 2021. Interest rates were practically giving money away. We saw fixed rates dipping below 2%, variable rates even lower. People bought homes, stretched their budgets, maybe even consolidated a little bit of debt with that sweet low-rate mortgage. Life was good, financially speaking.

Posted June 13, 2025 Interest rates

Ask the Expert: Can the new Liberal housing plan solve Canada’s housing crisis?

Recently, Prime Minister Mark Carney and the Liberal party unveiled Building Canada Strong, a new ambitious housing plan to accelerate residential construction with the goal of building 500,000 homes a year.

Their most notable policies include cutting development fees for new construction, having the government play the role of developer to build and manage affordable housing across Canada (the Build Canada Homes Plan), and to eliminate the Goods and Services Tax (GST) for first time homeowners purchasing homes under $1 million.

This plan comes at an uncertain time — Canadians are contending with high unemployment, stagnating real estate markets in our biggest cities, and an ongoing affordability crisis. Our mortgage expert weighs in on the new Liberal plan and where he thinks mortgage rates are heading in the near future.

What are your thoughts on the Building Canada Strong plan?

Do you think it goes far enough to solve the housing crisis? Anything you think they could do differently?

After a rollercoaster election and one of the biggest surprise turnarounds in history, we have a new minority government in Canada for the next four years led by Prime Minister Mark Carney. Love him or hate him, we should all wish the new leader all the best. His success will translate into our success.

Being Canadian means supporting your country and that means supporting and respecting your government. It’s okay to criticize when appropriate and necessary. We all do it. But in order … Continue Reading…

I hope you will enjoy this article and if you have any questions or would like to discuss I am always available.

Your best interest is my only interest. I reply to all questions and I welcome your comments. Like this article? Share with a friend.

Steve Garganis: 416-224-0114; steve@canadamortgagenews.

Posted March 11, 2025 Bank News

Ask the Expert: Steve Garganis – With the capital gains tax hike on its way out, is this your chance to buy an investment property?

With the capital gains tax increase looking less and less likely, how should Canadians be thinking about investment properties? Is now the time to buy?

Earlier this year, the federal government announced that it will be deferring the effective date for the proposed capital gains inclusion rate increase to 66.67% from 50% to January 1, 2026.

The proposal to increase to the capital gains tax was first introduced last April applicable to gains above $250,000. (For gains below $250,000, the same 50% capital gains tax would apply.) However, the government didn’t have the opportunity to table the legislation before parliament was prorogued.

However, this capital gains tax increase would have left some people in a tough position.

Some that entered into new construction agreements in 2022 were the most vulnerable, as they would have purchased when real estate values were inflated during the lower COVID-era mortgage rates. (However, this may not be the case for all, as property values in general, are down across Canada compared with 2022, with condos taking the biggest hit in Toronto and Vancouver.)

Family cottage owners and long-time property owners with larger capital gains would also be affected. Read More – Interview with Steve Garganis

I hope you will enjoy this article and if you have any questions or would like to discuss I am always available.

Your best interest is my only interest. I reply to all questions and I welcome your comments. Like this article? Share with a friend.

Steve Garganis: 416-224-0114; steve@canadamortgagenews.

Posted March 6, 2025 Bank News

Tariffs Up but Mortgage Rates Down

A quick note… we’ve all heard about the Trump Tariffs. It will make everything more expensive. Canada and also in the USA. It will put people’s jobs at risk, we are likely to see layoffs, and economists are forecasting for a recession. This is if the tariffs do go through and continue for over a month.

Now that I’ve cheered you up, here’s the good news. And there is some. Mortgage rates are headed lower. Fixed rates and variable rates. The old rule of bad economic news brings lower interest rates is true. A few things to point out about How interest rates are calculated.