Mortgage Rule Changes

Mortgage rule changes and increasing interest rates—surprisingly—weren’t the top motivators for prospective homebuyers in 2017, according to a new survey from the Canada Mortgage and Housing Corporation (CMHC). Instead, the 2018 Prospective Home Buyers Survey found that improved accessibility (i.e., fewer physical obstacles and barriers) and investment opportunity were the main driving factors to purchase a home. The results were divided into three segments of buyers: first-time buyers, previous owners (who had previously owned a home but do not currently) and current owners. For first-time buyers and previous owners, the desire to stop renting was ranked as one of the top three motivators to buy a home by…

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Mortgage Update for 2018

Well, we have gotten through 2017 without any major issues and in fact in good shape overall.  Alberta has had a few tough years and has a bit to go yet before we all feel confident we have truly weathered the storm. The positive is the interest rates are still very low as well as house prices in many areas especially in Red Deer and surrounding areas.  Even though clients now have to qualify at the BenchMark rate as determined by the Bank of Canada, that qualifying rate is set at 2% above the contract rate  a client will receive from the lender who approves their mortgage.  The…

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