Tuesday, November 13, 2007

RBC expects Financial market volatility to prompt one more Fed rate cut in early 2008

Financial market volatility to prompt one more Fed rate cut in early 2008

Our assessment that financial market volatility will persist into early 2008 as the housing market meltdown continues suggests that investors and lenders will remain cautious and risk averse, which could limit credit availability and dampen borrowing activity.

Against this backdrop, we have revised our forecast and now expect that the Federal Reserve will cut the Fed funds rate by 25 basis points in the first quarter of 2008 to ensure that credit markets continue to function and that rates remain low enough to sustain borrowing by households and businesses.

Read more about Current Interest Rates

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Monday, November 12, 2007

RBC Saying that Canada's economy on strong growth path

Canada's economy on strong growth path

Canada's economy has shown solid momentum in the first half of this year with real growth averaging a pace slightly above 3.5%, reflecting the impact of the positive terms of trade shock given recent strong gains in export prices.

However, we have revised the second-half growth rate down to 2.8% because of both a weaker U.S. outlook and the ongoing credit tightness.

The lingering impact from these factors, along with the marked appreciation of the Canadian dollar, will moderate growth next year to 2.5%. Continuing favourable terms of trade are expected to limit the extent of the slowing in growth. Inflation rates are high and will remain above the mid-point of the Bank of Canada's target band. Above-target inflation would normally result in the Bank raising interest rates, but the impact of the credit tightness and the strong surge in the Canadian dollar will prevent interest rates from rising until late in 2008.

Economic growth is expected to rise only moderately in 2009 to 2.6%, although the quarterly growth rates are expected to show a slowing trend.

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Saturday, November 10, 2007

Housing Affordability - Rising price-to-rent ratios partly justified

A look beyond our standard affordability measure
Our latest housing affordability calculations showed that the proportion of before-tax household income going towards home ownership costs suffered one of its largest and most broadly based quarterly deteriorations in the current housing cycle stretching back to the mid-1990s. While the deterioration spanned every major city, it was the western markets that warranted caution because of the speed and depth of the deterioration.



Our affordability measure provides a rough depiction of trends in wages, the cost of capital, energy prices and tax rates, but it has limitations. It does not directly address whether or not house prices are high today by historical standards and how they compare to local rental options and it does not account for recent financial innovation, such as the introduction of products like extended amortization mortgages.


Another measure that provides an indication of an over- or undervalued market is the price-to-rent ratio that compares house prices to rental costs using the rent component in the consumer price index. The purpose is to compare the cost of buying compared to renting a house. While insufficient on their own to predict market valuations, together the affordability measure and price-to-rent ratios can help assess whether housing markets are inflated.


Rising price-to-rent ratios partly justified
The unanimous trend of rising price-to-rent ratios across every major city in the current housing cycle can be partly attributed to recent financial market developments and innovation. The precise combination of historically low interest rates coupled with significant financial innovation has been a key support in the current housing cycle. Interest rates were on a downward trend through much of the 1990s and have held at very low, attractive rates since the start of the decade, thus helping to fuel housing demand. Financial innovation has also helped to make the market more liquid through extended mortgage amortizations, higher accepted loan-to-value ratios and securitization. In fact, longer amortization products now dominate new mortgages in the insured market and comprise about 25% of total new mortgages in Canada.



Regional disparities behind soaring price-to-rent ratios
National price-to-rent ratios were remarkably stable through the 1990s, indicating a relative indifference between buying compared to renting a home. The result in the 1990s was a significant improvement in affordability right across the country. The tide turned at the start of the current decade and price-to-rent ratios have since increased by roughly 80% nationally. A rising ratio is indicative of house prices outpacing rental costs. These trends are not a consistent cross-provincial phenomenon. Part of the increase in the ratios is attributable to what has become an overheated market out west. However, part is also due to changing dynamics in the market that have made housing more affordable and accessible to lower-income segments.



The bottom line
While financial market trends help explain some of the increase in price-to-rent ratios in central and eastern Canada, they do not fully explain the increases out west. By considering affordability conditions in conjunction with price-to-rent valuation estimates, a fuller picture of the sustainability of current fundamentals emerges. Together, these measures point to evidence of overvalued markets in the west, while markets from Manitoba eastward appear, on balance, to be fairly valued From RBC Economics


Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale


Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,


Mark


A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com


Friday, November 09, 2007

Current Mortage Interest Rates

These are the current mortgage interest rates offered by one of the mortgage brokers that I deal with along with their discounted rates shown in the table.
TERMPOSTED OUR RATES*
6 Month 6.75%6.25%
1 Year7.25%5.55%
2 Year7.4%5.65%
3 Year7.4%5.7%
4 Year7.4%5.95%
5 Year7.44%5.94%
7 Year7.65%6.05%
10 Year7.9%6.15%
Variable Rate3.05%
Prime Rate6.25%
If you would like to see current rates, use this link Interest Rates

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Thursday, November 08, 2007

Best October ever pushes 2007 toward a strong finish

October Sets New Record for TREB Real Estate Toronto Real Estate Board (TREB) Average Prices and Graph

Best October ever pushes 2007 toward a strong finish


TORONTO, November 5, 2007 --Greater Toronto Area resale housing activity set a new record for the month of October TREB President Maureen O'Neill reported today.


With 7,915 transactions, activity was up 10 per cent over the previous best for the month, set in 2003. Sales were also up 15 per cent over last October.


October's strong performance has pushed year-to-date activity 12 per cent ahead of last year.


"There is every indication that 2007 will be a banner year for resale housing activity in the Greater Toronto Area," said Ms. O'Neill. "The effects of the City of Toronto's new land transfer tax will definitely be felt in 2008 but we are also confident that consumers will continue to see the value of real estate as a solid long-term investment."


Prices also rose in October to an average of $394,646, a four per cent increase over the previous month.


In Pickering (E13), overall activity was up 34 per cent, led by strong detached sales and a doubling of condominium apartment transactions.


Willowdale (C07) experienced the same combination of strong detached sales and sizeable condominium apartment transactions, which led to a 67 per cent increase in overall sales.


Condominium apartment sales also pushed the South Humber area (W07) to a 60 per cent overall increase in activity.


In Central Richmond Hill (N04), a combination of detached sales and attached/row-house sales, contributed to an overall increase of 54 per cent..


Toronto REALTORS® are passionate about their work. They adhere to a strict code of ethics and share a state-of-the-art Multiple Listing Service. Serving more than 26,000 Members in the Greater Toronto Area, the Toronto Real Estate Board is Canada's largest real estate board. Greater Toronto Area open house listings are available on www.TorontoRealEstateBoard.com.


See the graph showing the latest Price Trends


Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale


Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,


Mark


A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate



Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX

Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com




Wednesday, November 07, 2007

How Can a CMA (Comparative Market Analysis) Help You?

Can a Comparative Market Analysis Help You?

To get the most accurate estimate of how much you should list your property for, your real estate agent can provide you with a Comparative Market Analysis (CMA). A CMA is an informal estimate of market value, based on sales of comparable properties in your area. It generally takes into account various aspects of your home, including size, features and annual costs. Reviewing compa- rable homes that have sold within the past year, along with the listing or asking price on current homes for sale, should help you determine a fair sale price for your property.

CMAs can include homes that are currently for sale and those which have recently sold. They can cover areas as narrow as one or two streets surrounding your home, or as broad as an entire subdivision.

Most real estate agents will give you a CMA for free, hoping you'll list your home with them. Each CMA contains valuable information on several recent sales, including:

- How long each property stayed on the market
- How close the sale price was to the asking price

Notes comparing each home to yours, i.e.; number of bedrooms and baths, approximate square footage, sizes of major rooms, amenities such as fireplaces and pools, age of the home, property taxes and more.
The CMA is an informative selling tool, but like any tool, it doesn't work by itself. For this reason, the CMA will always need to be interpreted by a professional or with complete objectivity by the seller or buyer.

Remember, too, that the CMA is also a buying tool; it is consid- ered just as seriously by the buyer and his or her agent. As you and your agent are going to use the CMA to ask the highest possible price for your home, the buyer is going to use it to find reasons to either choose or eliminate your home, and to arrive at the lowest price possible.

Important Questions to Ask an Agent Before Listing Your Home for Sale

Do you have an active real estate license in good standing?
How long have you been licensed as an agent?
Why do you think I should list with you?
What professional designations do you hold?
What party will you represent -- the buyer or the seller?
What services do you offer?
Do you belong to an online homebuyer's search service?
Have you listed or sold in my neighborhood lately?
How will you price my home?
How will you market my home?
How will you keep in contact with me during the selling process, and how often?
What is your fee?
Will you cooperate with buyers' brokers?
What share of commission will you offer a cooperating broker who finds the buyer?
What awards have you won?

Important Questions to Ask Yourself About the Agent

Is the agent a good listener?
Is the agent accessible?
Is the agent part-time or full-time?
Is the agent cooperative and enthusiastic, or rude and arrogant?
Do you think you can have a good working relationship with the agent?

Sellers: Protect yourself and your home

Never allow random house-hunters into your home unescorted. A serious buyer will be working with a real estate professional or should be willing to contact your agent to schedule an appointment. Also, always lock your valuables away before an open house - the agent onsite will be monitoring traffic, but it's impossible to be everywhere at all times.

Would you like a Complimentary & Quick Over-The-Net Home Evaluation ?


Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Tuesday, November 06, 2007

TREB Home sales up 15 percent, price up 11 per cent year over year

October Sets New Record for TREB Real Estate Toronto Real Estate Board (TREB) Average Prices and Graph

November 5, 2007 -- TREB Members recorded 7,915 transactions of single-family homes in October, an all time record for the month, TREB President Maureen O'Neill announced today.

"Sales were up 15 per cent over the 6,876 figure recorded in October of 2006, and up about 10 per cent over the 7,227 transactions that took place in October 2003, which was our previous record."

"There is every indication that 2007 will be a banner year for resale housing activity in the Greater Toronto Area," said Ms. O'Neill. "The effects of the City of Toronto's new land transfer tax will definitely be felt in 2008 but we are also confident that consumers will continue to see the value of real estate as a solid long-term investment."

Prices rose in October, with the average climbing four per cent to $394,646 over September's $380,132, and up 11 per cent over the $356,423 recorded in October of 2006.

Breaking down the total, 2,964 sales were reported in TREB's 28 West districts and averaged $367,139; 1,602 sales were reported in the 14 Central districts and averaged $522,800; 1,555 sales were reported in the 23 North districts and averaged $415,071; and 1,794 sales were reported in TREB's 21 East districts and averaged $307,950.

See the graph showing the latest Price Trends This page will show you the latest prices, graphs, interest rates and more

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate



Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX

Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987
( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Monday, November 05, 2007

Boomers to boost condo markets through 2011


Boomers to boost condo markets through 2011

Demand from baby boomers over age 55, many downsizing from "empty nest" homes, will support steady price growth in eight urban condominium markets across Canada, says new data released by Genworth Financial Canada.
Genworth's Summer 2007 Metropolitan Condominium Outlook report finds the condo market demand easing slightly nationally, although new construction and resale activity remain high by historical standards. Victoria, Calgary, Edmonton and Ottawaall had record starts last year.

With the exception of Edmonton, condo starts will be down across the country this year, as builders look to clearinventory before expanding into new construction, says the report. The slowdown will further support price levels forexisting condos, as will demand from boomers over age 55. All markets will see price increases in 2007, ranging from 4.4 per cent in Toronto to 36.4 per cent in Edmonton, says Genworth.

"The record number of baby boomers will help maintain demand for condos in markets across the country, keeping price growth steady. That will benefit first-time home buyers, who otherwise might worry about their investment in a futurecondo downturn," says Peter Vukanovich, president, Genworth Financial Canada.

The report concludes that "the increasing population share of those 55 and over in all major urban areas provides a soliddemographic underpinning that is critical to the condo market's longer term health."

Census figures released in July by Statistics Canada show the number of people aged 55 to 64, many of whom are approaching retirement, is at a record high of 3.7 million. For example, boomers age 55 to 64 now account for 30.1 per cent of the Greater Toronto Area population, and 30 per cent of the Montreal population.

"Condos have traditionally been the entry point for first-time home buyers and we continue to see that in major urbancentres. But we're also seeing a clear trend among downsizing baby boomers who are looking for convenience, security and the ability to enjoy their retirement living in a condo where they can walk to restaurants and shopping, transit, andenjoy a new lifestyle," says Bob Finnigan, president of the Building Industry and Land Development Association (BILD).

The Genworth report reviewed resale condo markets in Quebec City, Montreal, Ottawa, Toronto, Calgary, Edmonton, Vancouverand Victoria. All eight markets registered price growth in 2006 and are forecast to continue to grow this year and through 2011.

It notes that condos are becoming a more attractive option for first-time home buyers, given the rising price of new detached homes in Canada. New homes are forecast to average $378,000 in Canada this year, a six per cent annual increase.

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale



Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark


A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com

Sunday, November 04, 2007

CMHC eases down payment rules for properties


CMHC eases down payment rules for properties

Move risks overheating already hot housing market


You have to wonder what David Dodge will be thinking this time. Just over a year ago, the Bank of Canada governor met with Canada Mortgage and Housing Corp. because of his fears exotic mortgages were juicing an already robust Canadian housing market. Now CMHC has decided it is going to let Canadians buy investment properties with no down payment.


The Crown corporation, which controls about 70% of the mortgage insurance market in Canada, has quietly introduced changes that lower the down-payment threshold for an investment property. Instead of needing 15% down, Canadians will be able to buy a second property -- not to mention a third and fourth and fifth -- with no money down.


"These enhancements will ensure continued supply of affordable rental accommodations across Canada," said Pierre Serre, vice-president of insurance products with CMHC.


Critics charge CMHC once again has moved into risky territory, the last time being its decision to allow Canadians no money down on a principle residence. "Look at the fee, anytime it's that high, you know there is a lot of risk," said one senior mortgage industry observer.


The mortgage insurance fee for the new product is 7.25% of the total amount of the loan. So a $300,000 mortgage would have a $21,750 mortgage insurance fee.


Instead of paying the fee up front, CMHC will allow that fee to be added to the overall mortgage which can be amortized over as many as 40 years. Based on 5.8% interest, the current discounted rate for a five-year term, it would cost just over $1,700 a month to carry that $321,750 mortgage.


By law, any consumer with less than a 20% downpayment must buy mortgage insurance if they are borrowing money from a financial institution covered under the Bank Act.


None of CMHC's competitors are coming close to this new offer. Genworth Financial Canada -- the other dominate player with about 30% of the mortgage insurance market -- requires investors to have at least 10% down.


Back in July, 2006, Mr. Dodge demanded a meeting with the federal crown corporation. He was concerned about products like interest-only mortgages which give consumers the option of not making a principle payment for the first 10 years of a mortgage.


Mr. Serre said CMHC did consider the issue of whether the changes could overstimulate the market. "We look at those kind of considerations all the time," he said, adding that to get a loan consumers will have to meet certain criteria in terms of their overall debt load. "We're not trying to get people into situations they can't manage."


Some question whether there was any need for the latest change, given how strong the market in Canada remains.


The Building Industry and Land Development Association said this week condo sales in Toronto - the largest market for new high rises in North America -- were up 31% over the first nine months of the year from a year earlier.


"I'm not sure why CMHC is relaxing the rules, the logic escapes me," said Stephen Dupuis, chief executive of BILD. "The market is strong. I look at what is happening in the United States and wonder if there is a need to be so free with credit."


The real reason for the new program, suggest some commentators, is CMHC trying to fend off competitors in the marketplace. In a constant battle with Genworth, CMHC is also facing up to four new mortgage insurers who have applied to do business in Canada or are already licenced to do so.


"There are competitors in the marketplace that didn't exist before. They are reacting to competition that hasn't even materialized yet," said Mr. Dupuis. CIBC World Markets senior economist Benjamin Tal said the latest changes by CMHC are probably just the beginning. "The genie is out of the bottle, this mortgage market is starting to move. Over the past 16 months we've seen more changes than the past 30 years," said Mr. Tal. Garry Marr, Financial Post
Published: Wednesday, October 24, 2007

Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale


Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,


Mark


A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com


Saturday, November 03, 2007

Now's may be a good time to lock in a mortgage - but I still think to go short for the long term

Now's may be a good time to lock in a mortgage - but I still think to go short for the long term, read more here http://www.mississauga4sale.com/Lock-In-Short-Term-Long-Term-Mortgage.htm

Mortgage rates have hit multiyear highs, and there could be worse to come before things settle down.

Call it yet another example of collateral damage from the problems in the U.S. subprime mortgage market.

Simply put, it's costing banks and other lenders more to raise the money they use to finance mortgages, and they're passing the cost on to people buying homes and refinancing existing mortgages.

That's why the posted major bank rate for five-year mortgages is as much as 7.44 per cent right now, which is the highest level since May, 2002, and why new variable-rate mortgages are becoming more expensive almost by the day (existing variable-rate mortgages are unaffected).

A discount of 0.9 of a percentage point off the prime rate used to be a good but attainable deal for borrowers. Today, mortgage broker websites - remember, these guys have access to many lenders - are showing best deals of prime minus 0.6 or 0.75 points.

Alex Haditaghi, CEO of Mortgagebrokers.com, said his contacts with bank representatives suggest that fully discounted five-year rates could go as high as 6.5 per cent from their current level around 6 per cent. He also warned maximum discounts on variable-rate mortgages may shrink further. "Two banks have given the heads-up that if you want to lock up your clients, do it now because by Nov. 15 you're going to see us go to 0.5 below prime."

If you're looking for a house or have a mortgage expiring in the next three or four months, you should talk to lenders right now to lock in the best possible rate. A 120-day rate guarantee is pretty common these days and it offers a shield against further rate increases. Shopping around for rates is more important than ever today because lenders are all taking different approaches to the current mortgage-market uncertainty.

Borrowing costs for mortgages track rates in the bond and money markets, which in turn are a reflection of sentiments about where the economy and inflation are headed. Today, inflation is contained in Canada and recently there have been economic forecasts that call for slower but still solid growth in 2008. Add it all up and you have an environment where rates should be holding tight, not rising.

The reason why this isn't happening is related to the same junk mortgages in the United States that helped pushed the stock market into its summer slump. These mortgages were packaged into investments that were widely purchased by banks, investment dealers and other institutional investors who are now a lot more risk-sensitive than they were before.

One way for investors to manage risk is to demand higher returns, and that's in fact what Canada's lenders are running into when they issue the short-term securities they use to finance variable mortgage loans. If the banks have to pay more, they have to charge more to keep up their profit margins. So it is that we have the incredible shrinking variable-rate mortgage discount in Canada.

Fixed-rate mortgage rates have jumped recently in what can best be described as a catch-up to this past summer's financial market troubles. You'll see this not only in the five-year rate, but also in posted big bank one-year rates that are as high as they've been since early 2001.

Benjamin Tal, senior economist at Canadian Imperial Bank of Commerce, said lenders held mortgage rates steady through August and September, and even cut them a bit at one point. Then, with bond yields on the rise earlier this month, a decision was made to bump up five-year rates significantly. "You might say that consumers got an extra two months of relatively cheap rates," Mr. Tal said.

The biggest victims of the U.S. subprime mortgage situation here in Canada are people with poor credit histories, new immigrants and the self-employed. Their mortgage applications are being scrutinized more carefully than six months ago, and some people are being offered loans at higher rates or are being rejected.

Tighter lending rules are going to be a fixture for a while, but higher mortgage rates may prove temporary. CIBC's Mr. Tal said the factors making variable-rate mortgages more expensive will slowly die away, and he argued that the state of the economy in both Canada and the United States doesn't suggest much risk of rising rates. "Over the next six months, it's very reasonable to think that rates will be stable, with a bias downwards."

If you're in the market for a home, get a rate guarantee and then keep an eye on the housing market. It's been hot, like, forever and high rates are just the sort of thing to cool things down.

Mortgage rates

Big Six banks

Bank of Montreal Mortgage 7.44%
Bank of Nova Scotia 7.44%
CIBC Mortgages 7.44%
National Bank 7.40%
Royal Bank of Canada 7.40%
T-D Mortgage 7.44%

Who has the lowest rates

ICICI Bank Canada 5.75%
Canadian Tire Bank 5.85%
Manulife Bank 5.85%
Citizens Bank of Canada 5.99%
Comtech Credit Union 5.99%
First National Financial 5.99%

SOURCES: BANK OF CANADA AND CANNEX FINANCIAL EXCHANGES

Read more about what my suggestions that you should do here:
http://www.mississauga4sale.com/Lock-In-Short-Term-Long-Term-Mortgage.htm


Search the MLS or read more about Interest Rates, Power of Sale Properties, Price Trends and more at my website. Homes for Sale

Thank you for reading my blog and if there is anything else I can help you with please don't hesitate to contact me,

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


Thinking of Selling? Best Mortgage Rates Current Home Prices Search MLS
RE/MAX Realty Specialists Inc.

Providing Full-Time Professional Real Estate Services since 1987

( BUS 905-828-3434
2
FAX 905-828-2829 ÈCELL 416-520-1577
E-MAIL : mark@mississauga4sale.com
8 Website : Mississauga4Sale.com