Recent Blog Posts by Sara Kareer

Finance Minister Jim Flaherty unveils New Mortgage Rules

  Finance Minister Jim Flaherty unveiled three new changes this morning to mortgage lending rules: * Mortgage amortization periods will be reduced to 30 years from 35 years on insured mortgage loans * The maximum amount Canadians can borrow to refinance their owner occupied property will be lowered to 85 percent from 90 percent. * The government will withdraw its insurance backing on lines ...

Interest Rate Concerns Not Stopping Buyers from Entering Housing Market

Two surveys commissioned by the Bank of Montreal, BMO Financial Group and Royal Bank of Canada (RBC) show that despite being worried about rising prices and interest rates, many Canadians are planning on entering the housing market.    According to the BMO survey conducted by Harris-Decima, rising housing prices have encouraged first-time homebuyers to buy homes sooner, with one-third ...

New Mortgage Rules announced to support the Long-Term Stability of Canada's Housing Market

The new mortgage changes, announced yesterday by Finance Minister Jim Flaherty, will take effect on April 19, 2010. These new changes are designed to support the long-term stability of Canada's housing market and continue to encourage home ownership for Canadians. Here is a recap of the announcement: 1: Higher Qualification Rate: Given the fact that interest rates are at all time lows, it has been ...

Analysts expect a hot Spring Real Estate Market

Even before Finance Minister Jim Flaherty's announcement yesterday, Economists were forecasting a very hot Spring real estate market as home buyers had been expected to rush to beat the harmonized sales tax in Ontario and British Columbia. Now, homebuyers have one more reason to buy now.  Mr. Flaherty’s new qualifying standards that come into effect April 19, 2010 are expected to further ...

Bank of Canada Does it Again

The Bank of Canada today announced another cut to the key lending rate.  The Bank reduced the overnight rate by one-quarter of a percentage point to 0.25%. Here is an interesting article by James Cowan of the National Post providing insights on the bank rate.  The Bank of Canada Tuesday cut its key interest rate to 0.25%. What does that mean? As the country's central bank, the Bank ...

Bank of Canada cuts Rate

In a surprise move, the Bank of Canada announced a cut in their key lending rate by ½%.  Following this announcement, the Bank of Nova Scotia, Bank of Montreal,  RBC, CIBC, and TD Canada Trust said they will trim their prime lending rates by 25 basis points - meaning a quarter of a percentage point - effective Thursday (tomorrow).  This will bring the prime rate to 4.5 per cent ...