How Much Do I Need For A Down Payment?

Until recently, it was generally expected that a home buyer would have to supply a 20% down payment. This is because interest rates were high, which meant the bigger your down payment the smaller your monthly mortgage payment. But in today's economic climate, most...

Bank of Canada Waiting to Hike Rates

The Bank of Canada announced last week the need to wait before continuing to increase interest rates. The Bank had previously been insistent that continued rate hikes would be necessary in order to keep inflation in an acceptable range, but doing so did not have the...

Stress Test Keeping Buyers Out of the Pool

Back in 2017 Canadian households were at record high debt levels. The Bank of Canada (BoC) announced its intention to continue raising interest rates. And housing prices had been going up and up with no end in sight. Too many Canadians were drowning in debt and the...

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...