Category Archives: General Interest

How Do Consumers Feel About the Market?

Economists and mortgage experts are always quick to analyze the Canadian housing market. However, these industry leaders often forget to ask for consumer opinions and insights. Luckily, there’s the CMHC Annual Mortgage Consumer Survey to help fill this gap.

Conducting in February and March of 2012, the CMHC Mortgage Consumer Report surveyed 3,502 recent mortgage consumers in order to better understand how market conditions are impacting the average buyer. Findings from the report are extremely useful, not just for first time home buyers and competitive mortgage rate seekers, but also for mortgage brokers and lenders. Here’s a look at some of the top statistics. Continue reading →

Housing Prices Now and Then – Are Things Really That Bad?

If you believe the headlines, housing prices are on the rise across Canada even as consumer debt continues to pile up. The allure of low mortgage rates has thousands of home hunters bidding on what appear to be overpriced properties. But is that really the case?

When it comes to understanding the true price of a home, there’s one main factor to keep in mind – affordability. When the affordability of homes good, demand will usually exceed supply, leading to a hot housing market. So, just how affordable are homes in the current market? The answer from the Bank of Canada might surprise you. Continue reading →

Planning to Retire With a Mortgage? You’re Not Alone

Canadian’s won’t be retiring their mortgage debt anytime soon, according to a recent survey by the Bank of Montreal. Data shows that more than half (51%) of Canadian homeowners plan to carry their mortgage into their retirement. But there’s more to this figure than meets the eye, says Phil Soper, chief executive of Royal LePage Real Estate Services. Soper argues that changing demographics and approaches to money management are what’s causing this increase, rather than just increased consumer debt. Continue reading →

Retirement and Risky Real Estate

It’s hard to think about decreasing property values when listing prices are through the roof, but failure to understand and plan for the inevitable “bubble” burst could leave you high and dry, especially if you’re rounding the bend on retirement. According to Ben Rabidoux, a correspondent for the Globe and Mail, the next decade will likely be one of the most tumultuous in Canadian real estate history. Here’s what you should know. Continue reading →

Taking a Closer Look at CMHC’s 2011 Annual Report

The Canada Mortgage and Housing Corporation marked its 65th anniversary last week with the release of their 2011 annual report. As the nation’s top mortgage insurer (the organization backs $567 billion in default mortgage insurance), the CMHC controls roughly three-quarters of the nation’s mortgage default insurance. Despite inching ever closer to the $600 billion dollar government-imposed limit, the CMHC’s reported that there’s still plenty of room to meet the nation’s core demand for mortgage insurance. Continue reading →