With the new changes to the mortgage rules over the past few days, the Bank of Canada has decided to leave the overnight lending rate - and therefore mortgage rates - where they are for the time being. This will help balance the cooling effect that the new mortgage qualifying terms will bring about. More here from ATB's daily economic comment
Something new that slipped through MANY cracks this morning?
The Bank of Canada's qualifying rate has drifted downwards to 5.89% as of 06.30.2010... This should help 'ease' some people's concerns (a bit) when qualifying to purchase a home with a fixed term shorter than 5 years OR with a variable rate term.
Last week: 6.10%. This week 5.99%. Every little bit helps!
It has been a strong few months since the last quarterly earnings reports came out... how strong? Much more of the same from last quarter. Canadian Banks (lovingly dubbed “Widow and Orphan funds” by some) don’t seem to be slowing down in terms of turning a solid profit at all. How does this affect the Canadian Mortgage Market?
No matter the state of the economy, this is a common topic that is often one of the largest decisions that clients will make as they weigh the "security vs. peace of mind vs. getting ahead by paying down your mortgage faster" value and factor trade-off in choosing a mortgage.