Overnight Rate Remains Unchanged

As expected, the Bank of Canada's benchmark rate remained unchanged at 1.75% this month. According to Scotiabank vice president of capital markets, Derek Holt, "the market went too far in terms of pricing out rate hikes further on." The Central Bank raised it's key...

Benefits of Variable-Rate Mortgages

Canada Mortgage and Housing Corporation regularly publishes statistics relevant to borrowing behaviours. We had the highest percentage of insured borrowers switching to variable-rate mortgages last quarter. What's going on? It's simply more cost-effective, and will...

Bank of Canada Stands Pat

As of their December 5th announcement, the Bank of Canada will stand pat on the overnight rate currently at 1.75%.  "The global economic expansion is moderating largely as expected," they said, "but signs are emerging that trade conflicts are weighing more heavily on...

Nearly half of Alberta Mortgages to Renew in 2018

2018 is the year of mortgage renewals in Alberta! This has been Mortgages for Less’ busiest year with mortgage renewals. A CIBC Capital Markets report says that an estimated 47 per cent of all existing mortgages will need to be renewed this year. A normal...

Bank of Canada Raises Qualifying Mortgage Rates

On May 9th, the Bank of Canada raised its Benchmark Qualifying rate. The Benchmark rate is the median average of the 5-year posted rates from the major six banks. Given recent rate increases over the past few weeks, that median rate increased this week by...

The Calgary Housing Market Expected to Stay Stable for 2018 

Canada’s housing market has long been considered quite overheated. This trend is mostly driven by the extreme markets of Vancouver and Toronto housing markets; these are the markets that government regulations that limit loan to value ratios among others were targeted...

Bank of Canada Holds Steady – for Now  

Governor Stephen Poloz and his Governing Council ended their deliberations on April 18th, and the end decision was not to raise interest rates. This has left the benchmark interest rate at 1.25% for now. However, they are unlikely to keep interest rates this low for...

How Millennials Can Leave the Nest

Housing price increases have outpaced inflation for years, pricing many Millennials out of the housing market. For many Millennials, the solution has been to remain at home for years longer than their parents planned. In fact, roughly a third of those between the ages...

The Big Six Are Not Your Friends

  On March 20, 2018, the FCAC issued a report dispelling any myth that the Big 6 banks are friendly, supportive institutions - or even neutral. The FCAC report said that the banks had too much of a focus on selling products and services. It warned that they lacked...

Interest Rates Steady after Bank of Canada Meeting

Thank you, Donald Trump. Those unlikely words from Canadian mortgage leaders are the result of the economic uncertainty created by Trump’s politicization of the renegotiation of NAFTA. This fact, combined with the slowdown in domestic spending at the end of 2017 that...