Rate Update September 2021 – Large Banks Lowering Rates

Latest News Trish Pigott 23 Sep

There have been some exciting moves in the mortgage rate news since the BoC announcement earlier this month. Below is an excerpt from Canadian Mortgage News about the recent changes.

Six Big banks have lowered their 5-year fixed mortgage rate over the last couple weeks.

The banks dropped their uninsured 5-year fixed rate by 25 basis points to 2.19%, according to data from RateSpy.com.

Some bankss moves were more significant. That brings its insured (high ratio) 5-year fixed to 1.89% (from 2.34%) and its uninsured 5-year fixed to 1.99% (from 2.44%).

The moves follow a downtrend in bond yields in recent months. The 5-year bond yield has fallen from 1.01% in June/July to a range of between 0.80% and 0.90% since August. Bond yields typically lead fixed mortgage rates.

Sept. 21 Update

Additional rate cuts were made by two banks Canada on Tuesday.

Source

We are available anytime to talk about how these great rate changes can benefit your mortgage needs and financial goals.

Latest News: BC to See Boost in Housing Market

Latest News Trish Pigott 5 Aug

From the Canada Mortgage and Housing Corporation’s funding streams, the federal government has given a total of $349 million towards the construction of more than 800 new homes for British Columbians.

The 836 all-new homes will be spread across three projects developed by Wesgroup. These residential developments will be built in the areas of 100 Braid Street and 268 Nelson’s Court in New Westminster, as well as 8690 Jack Uppal Street in Vancouver.

All of these developments are located close to public transit, schools, and other vital services. The funding for these projects will be coursed through the CMHC’s Rental Construction Financing initiative.

“By providing financing for these three new rental housing projects to provide over 800 new rental units for families, our government is taking action to not only increase the supply of new rental developments here in British Columbia and across Canada, but to also provide housing options that are closer to jobs, services and amenities for middle-class families,” said Adam Vaughan, parliamentary secretary to the Minister of Families, Children, and Social Development.

“These developments provide quality housing accessible to a wide demographic, with great access to transit, amenities, services, and jobs,” added Beau Jarvis, president of Wesgroup. “This partnership demonstrates the successful implementation of a targeted government strategy and helps to address the challenges of delivering quality housing in dense urban areas.”

CHIP Reverse Mortgage

Latest News Trish Pigott 30 Jul

What is a reverse mortgage?

A reverse mortgage is a way for Canadian homeowners aged 55 or older to turn up to 55%* of the value of their home into tax-free cash. It lets you retire safely and securely in the home you love. It’s a loan secured against the value of the home. Unlike a traditional home equity line of credit or conventional mortgage, there are no monthly payments for as long as you live in your home. There’s no retirement like home.

The CHIP Reverse Mortgage is provided by HomeEquity Bank, a Federally Regulated Canadian Bank.

*some conditions apply.

Here are a few details about it:

  • Great for pensioners that have a large amount of equity but low monthly income
  • Available for condo’s, townhouses, and detached homes
  • Must live in the property
  • Applicants do not have to go through the government stress test
  • Income qualification is not required
  • $200,000 minimum home value
  • Mortgage can be set up to payout in a large lump sum or clients can draw a regular monthly payment to help with the cost of living and enjoy life doing what they want
  • Very simple process with minimal paperwork required

First Responder Mortgage Program™

Latest News Trish Pigott 28 Jul

First Responders are an integral part of our Canadian communities. From coasttocoast, these are the people who put Canadians first and ensure the health and safety of this great country and we wanted to give you something in return. The Dominion Lending Centres® First Responder Mortgage Program™ was designed exclusively for First Responders to provide a helping hand on their journey to and throughout homeownership. This program is backed by one of Canada’s largest banks and includes competitive rates and cash back incentives depending on your mortgage amount.

If you or someone you know is out there working hard to keep Canadians safe, we want you to know that I am here to provide you extra peace of mind for your home and mortgage.

This program is eligible for the following individuals:

  • Police Officers
  • Paramedics
  • Firefighters (employed and volunteer)
  • Correctional Services
  • Border Services
  • Search & Rescue (employed and volunteer)
  • Registered Physicians
  • Registered Nurses

 

Please contact me today for more details!

Bank of Canada Holds Steady on Overnight Target Rate

Latest News Trish Pigott 21 Apr

Today, the Bank of Canada held its target for the overnight rate at the effective lower bound of ¼ percent. The Bank is also adjusting its bond-buying program from weekly net purchases of Government of Canada (GoC) bonds of $4 billion to $3 billion. This adjustment to the amount of incremental stimulus being added each week reflects the progress made in the economic recovery.

Finally, the Bank now suggests that the remaining slack in the economy could be fully absorbed by the second have of 2022–rather than 2023, suggesting that they may begin raising overnight interest rates before the end of next year. The Bank went on to aver that this timing is more uncertain than usual, however, given the uncertainty around potential output and the highly uneven impacts of the pandemic.

The Bank of Canada now believes that first-quarter growth in Canada is considerably stronger than they were expecting back in the January Monetary Policy Report (MPR). This partly reflects a better global backdrop, particularly in the United States. The US recovery is supported by a rapid rollout of vaccines and substantial fiscal stimulus, bringing spillover benefits to Canada through higher demand for exports and stronger commodity prices.

To read more from Dr. Sherry Coopers report, click the link below.

CLICK HERE