Fixed rates possibly moving upwards
It looks like fixed rates may be possibly moving upwards tomorrow or Friday. This is based on the an increase in yield on the 5 year Government bond. The 5 year government bond (which leads mortgage fixed rates) sprang up to 1.51% today. That is a 3 1/2 month high. If yield hold above 1.50% we could see an increase in mortgage fixed rates. Bond yields do move up and down all the time so...
Read MoreWhat is mortgage amortization?
Mortgage amortization is the length of time that a mortgage loan is set up for. In other words this is the maximum amount of time a borrower has to pay out the loan based on the initial mortgage payment set up. Currently the longest amortization in Canada based on Government rules is 30 years.
Read MoreRenters and Rate Influence
More than 1 in 4 renters are planning to buy a home in the next two years according to recent study commissioned by The Mortgage Group (TMG). This could translate to about 12% growth in ownership. Of those surveyed, more than 54% said they would likely buy sooner if they expected interest rates to rise 2% or more in the next year. While the fear of future rate hikes often drives consumers...
Read MoreResidential Market commentary
Residential market Commentary: The afterglow of strong employment numbers out of the U.S. last week is still shining on investors. The creation of 243,000 jobs in January was more than enough to negate worries about a slight increase in unemployment on this side of the border. Good numbers in the in the Institute of Supply Management, Non Manufacturing Index reinforced the job figures, relaxing...
Read MoreLong Term Fixed Mortgage Rates
Long term mortgage rates for both 7 year and 10 year are now under 4%. Having a mortgage locked in under 4% for next 7 to 10 years is an amazing option especially on a investment property.
Read MoreUsing equity in your home to invest in RRSP
With RRSP season in full flight allot of people wish they had the income available to invest into their RRSP. An investment in a RRSP reduces a person income tax and at the same time builds wealth (if invested correctly) for the future. If you have large contribution room in your RRSP but do not have the funds to invest why not try taken equity from your home. The borrowing cost today are...
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