The Bank of Canada took a step towards easing pandemic stimulus — the biggest yet by a major economy! Not only did it say it would reduce purchases of government debt (which was expected), it also brought forward its timeline for a possible rate hike. Previously, the Bank had forecast that slack in the economy…
Canada’s accumulated mortgage debt in 2020 was equivalent to a significant portion of its gross domestic product, according to the central bank. Figures from the Bank of Canada showed that outstanding mortgage credit increased by $111.12 billion in the 12 months ending January 2021, representing “more than 5% of GDP at the annual rate,” said real estate…
Homebuyers and homeowners rushed to join the party when the pandemic produced some of the cheapest mortgages in Canadian history. Extremely low interest rates, fewer home listings and high demand fuelled sales. As a result, over half a million homes homes changed hands in 2020, according to the Canadian Real Estate Association. But now, 5…
House prices around the country will continue going upwards this year, outpacing inflation after hitting record highs in 2020, according to a Reuters poll of property market analysts who said the risk of a COVID-19 resurgence derailing activity was low. Intermittent lockdown restrictions after a second wave of infections hit the country are threatening expectations…
Math isn’t for everyone but that’s why we have been blessed with digital and physical machines to help us crunch the complicated numbers. If you are looking to take out a mortgage sometime soon, know what you’ll be signing up for with our mortgage payment calculator. Understanding your mortgage payments is an important part of…
Heavy restrictions are making it difficult for people to make life changing decisions such as buying a house this winter. However, if you’re a qualified buyer, you could definitely consider it! Canadians will be spending more time at home this 2021 winter – living, working, studying, playing, working out, and so on. Is there really…
The Bank of Canada has started the new year announcing that it has left its target overnight benchmark rate unchanged at 0.25%. As a result, the Bank Rate stays at 0.5% and the knock-on effect is that borrowing costs for Canadians will remain low for the foreseeable future. Prior to the announcement, there was…
At the end of 2020, the CREA released its latest resale housing market forecast, which revealed that — despite turbulent spring months — homebuyers are on track to set a record for the last calendar yesr, with some 544,413 homes projected to change hands by December 31, an 11.1% increase from 2019 levels. Subsequently, the national…
Canada’s housing market was full of surprises this year. The average house price has risen 17% despite numerous predictions that prices would decline. Near the beginning of the pandemic, the CMHC predicted that house prices would decline 9% to 18%. However, exactly the opposite has actually happened! The experts may have been proven wrong, or…
The mortgage deferral rate is on the decline according to the CMHC. In their quarterly financial report released November 27, the CMHC reported it had deferrals on 5% of its entire portfolio of insured mortgages since September 30. That’s a decline from approximately 8% in August. The active mortgage deferral rates as of September 30 was 4%…
