Blog Articles
What Is The Interest Rate Differential (IRD) Penalty?
WHAT IS THE INTEREST RATE DIFFERENTIAL (IRD) PENALTY? If you choose a fixed mortgage term and need to pay out or refinance during your term you will be faced with an interest rate differential (IRD) penalty. A mortgage is a contract and if you break your obligations,...
Refinancing Your Mortgage in 2018
REFINANCING YOUR MORTGAGE IN 2018 Changes to the Mortgage Qualification rules have been very dynamic in the past decade. In an effort to curb runaway real estate prices, Governments at all levels have been making changes. For a full breakdown of all the mortgage...
7 Reasons Why You Might Break Your Mortgage Term
7 Reasons Why You Might Break Your Mortgage Term During the popular 5-year mortgage term, 60% of borrowers will break their mortgage. Think about that for a second. You have a 60% chance of breaking your term and triggering an early renewal penalty. (Assuming you...
A History of Mortgage Rule Changes In Canada
A HISTORY OF MORTGAGE RULE CHANGES IN CANADA With runaway home prices in some Canadian cities, it's important to look at the mortgage rule changes over the last decade. Most Canadians opt for the 5-year term and only start doing research when their term is up for...
6 Closing Costs You Need To Budget For
WHAT ARE CLOSING COSTS? Closing costs are an often overlooked expense in the home buying process, especially among first-time buyers. The expenses are in addition to your down-payment funds. Most lenders use a calculation of 1.5% of the purchase price in available...
Canadian Home Sales Slide in January Led By Golden Horseshoe
Latest blog post from Cheif DLC Economist, Dr. Sherry Cooper It is no surprise that Canadian home sales activity slowed in January following a pulling-forward sales surge as homebuyers hurried to purchase before the mortgage rule changes in 2018. The January 1...
January Jobs Report Shows Loss of 88,000 Jobs
Canada's January Jobs Report showed a staggering loss of 88,000 jobs. This was the most significant drop in nine years and was attributed to a record 137,000 plunge in part-time work. Full-time employment gained 49,000 new jobs but wasn't enough to see the...
Insured, Insurable & Uninsurable Mortgages – What’s The Difference?
Prior to the most recent round of Government tinkering, mortgages fell into two classes; high-ratio and conventional. There are now three classes of mortgages in Canada. They are Insured, Insurable & Uninsurable Mortgages. This can be confusing for the average...
Canadian GDP Strong
BEST CANADIAN GDP GROWTH IN SIX MONTHS LED BY MANUFACTURING COMEBACK Real Canadian GDP (Gross Domestic Product) increased 0.4% in November, bouncing back from a disappointingly flat economy in October. The improvement reflected a rebound in most factory sectors as...
Bank Of Canada Rate Decision – Rates Increase Cautiously
BANK OF CANADA RATE DECISION - RATES INCREASE CAUTIOUSLY The latest Bank of Canada rate decision has been made. As was widely expected, the Bank of Canada announced another quarter-point interest rate increase this morning, saying that more hikes are ahead. According...
