With the RRSP deadline looming, many Canadians are trying to make sense of their investment options. Personal debt levels in Canada have hit record highs, most of us don’t have a pension to fall back on and our retirement savings are far from adequate. Which leads us to the perennial problem: Should Canadian’s focus on paying off their mortgage and lowering debt or invest in RRSPs? Continue reading
Tag Archives: Home Ownership
Taking a Closer Look at the Canadian Housing Economy
Just how important is the housing market to the Canadian economy? According to a recent report by Willing Dunning, Chief Economist for the Canadian Association of Accredited Mortgage Professionals, the Canadian housing market accounts for nearly 8% of total Canadian employment. That’s nearly 1.35 million direct and indirect jobs.
The report also shows that the mortgage industry plays a particularly important role in job creation. According to the data released in the report, it’s estimated that 18% of all job creation in the last five years has occurred as a direct or indirect result of growth in the housing and mortgage sectors.
Not surprisingly, rising home values lead to increased consumer spending, which results in a stronger economy. But what happens when values reach their max? Continue reading
Renters Could Drive Increase in Canadian Homeownership
According to a recent study conducted by TNS Canada, the nation’s housing market is expecting to see increased activity within the next two years. The online study, which was commissioned by TMG The Mortgage Group Canada, discovered that just under one third of Canadian renters are planning to buy real estate within the next two years. That amounts to a potential increase in demand of nearly 12%. Not surprisingly, many recipients credit mortgage interest rates for driving their purchase decision. Continue reading
More Rules Rumoured for Hot Canadian Real Estate Market
The Government of Canada is considering imposing stricter rules on mortgages due to the nation’s seemingly overvalued housing market. Bank of Canada’s Governor, Mark Carney, and Finance Minister, Jim Flaherty, have been focused on the nation’s rising debt load for more than a year, stating that things must change in order to avoid serious economic repercussions. Ironically, instead of encountering a doomsday outcome, the Canadian real estate market has continued to boom as rates remain low and buyers maintain an optimistic outlook. Continue reading
Mortgage Brokers Offer Tangible Benefits
Very few people can afford to pay for their property in full. This is by no means a bad thing – property is expensive and it’s perfectly normal for an investment of this size to require long-term financial planning.
That’s what mortgages are all about.
Banks and lenders provide individuals with the option of borrowing money in order to afford a property purchase. But how do you know what kind of lending agreements are out there? The most obvious course of action is to head to your bank. But let’s not be hasty. Banks can only provide you with access to a small slice of the mortgage pie. A qualified mortgage broker, on the other hand, can connect you with lenders of all shapes and sizes, including trust companies, chartered banks, credit unions and private funds. Continue reading