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New Quebec Business Corporations Act | |||
| The newly enacted Quebec Business Corporations Act (QBCA) (SQ 2009, c. 52) replaces the Quebec Companies Act effective after 2010. The QBCA is intended to make the Quebec law more competitive, and several provisions reflect counterparts in the CBCA and the corporate-law statutes of some other provinces and US states. Enhanced protection of shareholders' rights should promote stability in financial markets and access to capital. This article summarizes some changes relevant to private companies. Unanimous shareholders' agreement ( SA). Voting and non-voting shareholders may conclude an SA themselves or with third parties such as creditors. An SA may limit or eliminate the board of directors' powers to administer the corporation's activities and internal affairs (such as salaries, dividends, and financial undertakings) or to monitor its management. It will be interesting to see how the tax authorities and courts view the impact on corporate control of the granting of rights to third parties. The establishment or termination of an SA must be declared to the Quebec Enterprise Registrar. Financial statements. At the annual shareholders' meeting, the board must present the corporate financial statements, which include a balance sheet and income statement and may include other information usually found in audited financial statements, as well as financial information required by the articles, the bylaws, and an SA. The corporation need not prepare its financials in accordance with GAAP, and it may choose to base them on specific provisions of Canadian income tax law and commercially accepted practices (see, for example, Canderel ([1998] 1 SCR 147)). Financing. A corporation may issue shares with or without par value, fractional shares, and shares with multiple voting rights. Shares in bearer form are prohibited. Shares of several classes or series with the same rights and restrictions are expressly allowed, which should facilitate the issue of shares bearing discretionary dividends within the limits set in McClurg ([1990] 3 SCR 1020) and Neuman ([1998] 1 SCR 770). Shares may be issued for fair value consideration in money, property, or past services. Consideration does not include a promissory note or a promise to pay by the issuee or by a person who does not deal at arm's length (as defined in the Quebec Taxation Act) with him or her. If the consideration is not fair value, a director is solidarily (jointly and severally) liable unless he or she did not know or could not have reasonably known that the consideration was not fair and he or she acted prudently and with reasonable diligence in the circumstances. A corporation may issue an instrument, certificate, or other evidence of a right to exchange, option, or acquire shares. Inter alia, the legislation codifies the grant of special warrants, options, and other hybrid instruments. Solvency tests prohibiting a loan, suretyship, and other financial assistance to a shareholder or subsidiary are eliminated. If shares are issued without full payment, any unpaid amount is a debt due by the shareholder; in the event of default, the shareholder loses voting rights and the shares may be confiscated. Paid-up capital. The corporation must maintain an issued and paid-up share capital account by class and series of shares. Except for shares with nominal value, the total consideration paid must be remitted. A lesser sum may by remitted in non-arm's-length transactions. The QBCA provides when and how issued and paid-up share capital accounts are credited and debited, with the objective of facilitating the application of the income tax PUC rules. Dividends. A corporation cannot declare a dividend if there are reasonable grounds to believe that it may be unable to pay its liabilities as they become due; otherwise, the directors are solidarily (jointly and severally) liable for restitution, with some exceptions. The rule does not apply to a dividend payable in shares in or in share option rights. All or part of a share dividend's value may be added to the class's paid-up share capital. Reorganizations. A corporation may not hold its own shares or its parent's, or allow a subsidiary to hold its shares, for more than 30 days; during that time, the parent shares' voting rights cannot be exercised. A limited holding period facilitates compliance with certain income tax reorganization rules. Non-compliant acts are invalid under the QBCA; apparently there is no provision similar to section 16(3) of the CBCA, under which acts are not invalid only because they are contrary to a corporation's articles or to the CBCA. The QBCA plan of arrangement regime is similar to that in the CBCA. Date and time. The date and time of articles of incorporation and amendment may be fixed, thereby enhancing the flow of transactions and certainty for tax purposes. Continuation. A legal person created under Canadian or foreign law may continue under the QBCA, and a Quebec corporation may continue under those other laws. Substantial alienations. Before a corporation can alienate (sell, exchange, and rent) property and thus disenable itself from continuing its substantial activities, a special resolution of two-thirds of its shareholders is required. A parent corporation must prohibit its subsidiaries from undertaking a property alienation that will prevent the parent from pursuing its substantial activities. The loss of control of a subsidiary is deemed to be an alienation of all its property. Alienations in the normal course of business and to a wholly owned subsidiary are excluded. A corporation is deemed to pursue its substantial activities if its activities require at least 25 percent of its assets' value at the year-end before the alienation and generate at least 25 percent of that prior year's revenue or income before taxes. Any dissenting shareholder may request the redemption of his, her, or its shares. Corrections and revival. New rules may allow the revival of a corporation to make a tax election and to allow a corporation's articles to be modified, corrected, consolidated, or cancelled. Directors. A director need not be a Canadian resident. Unless he or she acted with prudence and reasonable diligence, a director may be exposed to liability when there are reasonable grounds to believe that a corporation will be unable to pay its liabilities as they become due as a result of an acquisition of shares, an increase or decrease in share capital, a declaration and payment of dividends, or a reorganization. Under the Civil Code of Quebec, any director of a legal person must in the exercise of his or her functions act with prudence, diligence, honesty, and loyalty. A director's prudence and diligence is presumed if he or she relies in good faith on the report, information, or opinion of a corporate officer who the director believes is reliable and competent in the exercise of his or her functions. Except in the case of unpaid salary, the court may exonerate a director in whole or part if the director apparently acted in a reasonable manner and with honesty and loyalty and if in all fairness he or she should be exonerated. Language. Outside Quebec, a corporation may identify itself in a language other than French. Minority rights. A shareholder or a beneficiary of a security may have recourse if its rights have been abused or if the corporation did not protect its rights. A "security" is a share and, in the case of the reporting issuer, includes a debenture, bond, and note dealt in or traded on a securities exchange or financial market. The court may order an investigation of the facts. Recourse includes the right to act on behalf of the corporation, review its functions, modify an SA, make board appointments, forbid the corporation and its subsidiaries to make payments to previous or existing security holders, prevent a particular conduct, modify or terminate a contract, name a receiver, require the reimbursement of securities, and order a corporation's dissolution. Redemption right. A dissenting shareholder may require the redemption of its shares at fair value on the day before the adoption of a resolution or question such as a shareholder squeeze-out, substantial alienation of property, amalgamation, continuation, and dissolution. Claude Désy | |||
Canadian Mortgages, Insurance, Investment, Tax Planning
Sunday, February 28, 2010
Canadian Tax Foundation
Canadian Tax Foundation
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The Evolution of Payroll Taxes | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Statistics Canada's Provincial and Territorial Economic Accounts provides easily accessible data on public finance. The information shows that since 1981 federal and provincial payroll taxes have remained a small part of the overall tax burden, despite long-term increases in Canada and Quebec Pension Plan contributions and a long-term decline in employment insurance (EI) premiums. As shown in the table, federal and provincial income taxes rose from 19.6 percent of wages, salaries, and supplementary labour income in 1981 to a high of 27.1 percent in 1998 and have since settled in the range of 23 to 24 percent. Over the same period, the payroll taxes identified in the table rose from 6.3 percent of income to a high of 9.6 percent in 1998 and in 2007 amounted to 9.2 percent, an increase much smaller than the overall increase in personal income taxes. The two main payroll taxes have changed in opposite directions. The amounts shown for Canada and Quebec Pension Plan contributions, which include employee, employer, and self-employed contributors, rose substantially with the rate reform introduced to restore financial stability to the plans. These levies were equivalent to 2.0 percent of income in 1981 and now amount to 5.5 percent. Employee and employer contributions to the EI program amounted to only 2.4 percent of income in 1981, but rose to 4.0 percent in 1998 and then began a steady decline until 2007, when they were equivalent to only 2.1 percent.
Economic theory indicates that workers bear the burden of all payroll taxes: even those taxes initially imposed on employers are presumably passed along eventually in the form of lower wages. But employers see payroll taxes as a direct cost of employing workers. The move to increase Canada and Quebec Pension Plan levies was offset for most employers by reductions in the more onerous EI premiums. The balance shown in the table will change when the EI premiums are revised to reflect the program costs inflicted by the recession. David B. Perry | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Canadian Tax Foundation
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RRSP Assets: No US Estate Tax | |||
| In a Chief Counsel Advice released on January 22, 2010, the IRS ruled that a Canadian decedent's RRSP is not included in his gross estate for US federal estate tax purposes, because the RRSP's Canadian mutual fund holdings were most likely classifiable as corporations for US tax purposes. At death the decedent, who was not a US citizen or domiciliary, owned US-situs real property that was included in his estate for US estate tax purposes. His RRSP held shares of Canadian mutual funds that owned shares in US corporations. The estate's executor timely filed a US estate tax return that did not include any of the RRSP's value in the gross estate. The estate tax return was selected for audit, and the IRS auditor asked the chief counsel for an opinion on whether any of the RRSP was includible in the decedent's gross estate. If at death the decedent had directly owned the USco shares, as US-situs assets they would have been included in his gross estate. Because the decedent could withdraw funds at any time from the RRSP and designate a beneficiary of the plan's proceeds at death, the IRS concluded that the decedent possessed sufficient control over the RRSP to satisfy the first prerequisite to including it in his gross estate (under Code section 2036 or 2038 if the RRSP was a trust or other entity for US tax purposes, or under other sections if it was a retirement annuity). However, the RRSP's assets must also have US situs at the time of death. The IRS looked to sections 2104 and 2105 to determine the assets' situs and determined that it must first evaluate the US tax classification of the Canadian mutual funds in which the decedent had an interest. The IRS concluded that the RRSP's mutual funds were apparently corporations and not trusts for US tax purposes even though they were trusts under Canadian law. Thus, the mutual fund shares were essentially shares of a foreign corporation and were not US-situs property (section 2014(a)). For US federal income tax purposes, under the entity classification rules a trust is an arrangement created either by a will or by a lifetime declaration whereby trustees take title to property for the purpose of protecting or conserving it for the beneficiaries under the ordinary rules applied in chancery or probate courts. Usually the beneficiaries do no more than accept the trust benefits and are not its voluntary planners or creators (Treas. reg. section 301.7701-4(a)). Generally, an arrangement is a trust if it can be shown that its purpose is to vest responsibility in the trustees to protect and conserve the property for beneficiaries who cannot share in the discharge of that responsibility and are thus not associates in a joint enterprise for the conduct of business or profit such as a corporation or partnership. Certain business arrangements cast in trust form are not recognized as trusts for US federal tax purposes; this is true when title is conveyed to trustees for the benefit of beneficiaries, but the arrangement is not simply intended to protect or conserve the property for the beneficiaries. These business trusts are generally created by the beneficiaries as a device to carry on a profit-making business normally carried on through a business organization that is a corporation or partnership, and they are thus classified as such for US federal income tax purposes. The Chief Counsel Advice does not elaborate on its entity classification analysis or the mutual fund's specific characteristics, but it concluded that trust classification was not appropriate. Once the IRS determined that the mutual funds were business entities rather than true trusts, it had to determine whether the mutual funds were properly classified as partnerships or corporations. Generally, unless a foreign eligible entity with two or more members elects otherwise, it is classified as a partnership if at least one member does not have limited liability, and as a corporation if all members have limited liability. Presumably the IRS arrived at corporate classification for the mutual funds based on this liability analysis. Because the RRSP's mutual funds were classified as corporations, the RRSP was deemed to own foreign corporation shares, and its entire value was excluded from the decedent's gross estate. Leslie R. Kellogg | |||
Canadian Mortgage Broker News - Report says low inventory, high demand to squeeze spring market
Report says low inventory, high demand to squeeze spring market
Almost 90 per cent of major Canadian markets saw home sales increase in January, a sign that spring activity will be challenged by a lack of inventory, according to a new Re/Max report.
The Market Trends Report 2010 found the jump in sales activity in the usually slow month of January has led to a sharp decline in active listings. In addition, threats of higher interest rates, HST and tighter lending rules have prompted buyers to act quickly. Canadian markets seeing the tightest inventory levels include Toronto, Kitchener-Waterloo, Ottawa, Victoria, Great Vancouver and Halifax-Dartmouth.
"There have never been so many motivating factors in play at once," said Michael Polzler, executive vice- president, Re/Max Ontario-Atlantic Canada. "We're in for a heated spring market that will, in all probability, spill over into the summer months as the window of opportunity draws to a close."
He added that as pent-up demand builds, frustration levels will also grow.
"For every successful offer, there are those that will walk away empty-handed. They're thrust back into the buyer pool and the process starts all over again," he said, but pointed out most purchasers are remaining cautious in their bids.
Canadian Mortgage Broker News - Genworth involved in mortgage rule changes
Genworth involved in mortgage rule changes
Although there has been confusion over whether the new mortgage rules imposed by the federal government last week would affect only CMHC-backed mortgages, Genworth Financial Canada has said the new rules will also apply to mortgages it insures.
"We were involved heavily in the consultation process for the new criteria changes," said Genworth president Peter Vukanovich in an interview with CMP. "We don't feel there is any housing bubble, but we think it's important to maintain a safe and stable market and we think we played a role in ensuring underwriting processes are indicative of a prime-quality loan."
Vukanovich went on to say that because Genworth Financial Canada is backed by the government, the company is affected by the new rules.
Both Genworth Financial Canada and AIG United Guaranty have a 90 per cent federal government guarantee.
Canadian Mortgage Broker News - Will the Insured Mortgage Purchase Program continue?
Will the Insured Mortgage Purchase Program continue?
With reports the federal government will cut a number of its initiatives aimed to help banks through the financial crisis in next week's budget, there is talk about whether the $125-billion Insured Mortgage Purchase Program will continue.
The program, which aims to increase liquidity by allowing the government to purchase insured mortgages from banks, is set to expire in March. A story in the Globe and Mail said while bank interest has dwindled - only $66 billion worth of mortgages have been purchased - some bankers are arguing it should remain as a safeguard
"It eased a lot of funding stress," for the banks, Peter Routledge, an analyst at Moody's told the Globe. "I don't think it hurts the system to have it as a potential outlet if something unforeseen happens."
Boris Bozic, president of Merix Financial, echoed that sentiment in CMP late last year.
"It's really an insurance policy because the reverse option has been undersubscribed for some time now," he said.
The Globe reported banks only sold $1.4 billion out of a potential $4 billion worth of mortgages to the government at the latest IMPP auction held last week. One more auction is set for March 24.
Canadian Mortgage Broker News - Why Canadas housing market didnt burst
Why Canada's housing market didn't burst (Part II)
Why was the subprime market in Canada smaller?
Given the key role played by the "subprime" market, the question is why the Canadian subprime market was both smaller and levels of securitization were lower than in the U.S. While it is difficult to disentangle the reasons why Canada avoided the subprime boom, some factors can be identified that may have contributed to the differences in the Canadian and U.S. subprime markets.
Perhaps the simplest story is that Canada was lucky to be a late adopter of U.S. innovations rather than an innovator in mortgage finance. While the subprime share of the Canadian market was small, it was growing rapidly prior to the onset of the U.S. subprime crisis. In response to the U.S. crisis, some subprime lenders exited the Canadian market due to difficulties in securing funding. In addition, the Canadian government moved in July 2008 to tighten the standards for mortgage insurance required for high LTV loans originated by federally regulated financial institutions.
This further limited the ability of Canadian banks to directly offer subprime-type products to borrowers.
There are also several institutional details that played a role. For one, the Canadian market lacks a counterpart to Freddie Mac and Fannie Mae, both of which played a significant role in the growth of securitization in the U.S.
Secondly, bank capital regulation in Canada treats off-balance sheet vehicles more strictly than the U.S., and the stricter treatment reduces the incentive for Canadian banks to move mortgage loans to off-balance sheet vehicles. Finally, government-mandated mortgage insurance for high LTV loans issued by Canadian banks effectively made it impossible for banks to offer certain subprime products. This likely slowed the growth of the subprime market in Canada, as nonbank intermediaries had to organically grow origination networks.
The Canada-U.S. comparison suggests the low interest rate policy of the central banks in both countries contributed to the housing boom over 2001-2006, but that a relaxation of lending standards in the U.S. was the critical factor in setting the stage for the housing bust.
A caveat worth emphasizing, however, is that it tells us little about what would have happened if U.S. monetary policy had been tighter earlier, as tighter monetary policy in the early part of the decade may have helped to limit the subprime boom by slowing the rate of house price appreciation over 2002-2006.
One thing the comparison does highlight, however, is the practical challenge facing policy-makers in assessing whether a rapid run-up in asset prices is actually a bubble, or just a sustainable movement in market prices.
Canadian Mortgage Broker News - Why Canadas housing market didnt burst
Why Canada's housing market didn't burst
Housing markets in the United States and Canada are similar in many respects, but each has fared quite differently since the onset of the financial crisis.Unlike the U.S., Canada has not experienced a dramatic increase in mortgage defaults, nor has any Canadian bank required a government bailout. As a result, observers such as The Economist have pointed to Canada as "a country that got things right."
The different housing market outcomes in Canada and the U.S. can tell us something about the underlying causes of the housing boom and subsequent bust in the latter. In particular, they can be used to evaluate the roles that low interest rates and relaxed lending standards played.
Monetary Policy and the U.S. Housing Bust Some observers blame monetary policy for lowering interest rates over 2002-2005, pushing up housing demand, increasing residential investment and raising housing prices. In this view, the monetary-policy induced housing boom thus set the stage for an inevitable housing bust.
The low interest rate policy of the Federal Reserve over 2001-2005 is often cited as a key factor in the U.S. housing bust. The main narrative is that by lowering short-term interest rates, longer-maturity mortgage interest rates are pushed down. This increases the demand for housing, puts upward pressure on housing prices and encourages builders to ramp-up construction of new homes. This leads to an "oversupply" of new homes, which triggered the housing bust in the U.S.
There are also claims that interest rates were too low over 2001-2005, when looked at by both historical standards, as well as compared to those predicted by the Taylor rule (a monetary policy rule which relates U.S. Federal Reserve's ideal target rates to inflation and GDP).
The Bank of Canada made dramatic reductions in its target interest rate over 2001-2002, but one might argue that Canadian monetary policy was not quite as "loose" as that in the U.S. as it maintained a higher overnight rate over 2002 to 2004.
But a case can be made that Canadian and American monetary policies were very similar, at least in terms of the housing market. Estimates put the deviations from the Taylor rule for Canada and the U.S. over 2001-2006 to be nearly identical. In fact, the two benchmark mortgage interest rates move closely with one another until after the beginning of the U.S. housing market crisis, when U.S. rates fell significantly below Canadian rates.
Mortgage interest rates-the main direct channel through which monetary policy impacts the housing market-tracked each other closely in the two countries, but unlike the U.S., where the mainstay of the mortgage market is the 30-year fixed mortgage, the most common mortgage product in Canada is a five-year fixed-rate mortgage (with a 25-year amortization period).
Relaxed Lending Standards: different subprime lending booms
Another leading explanation of the housing boom and bust relies critically on relaxed lending standards. This story is linked to the dramatic rise in subprime lending and high levels of loan securitization, which some commentators have argued reduced the incentives for mortgage originators to maintain underwriting standards. This is one area where there was a significant difference between the two countries, both in the size and nature of the subprime market and in the fraction of mortgages securitized.
Subprime lending has grown rapidly in both countries, though the magnitude has been far more striking in the U.S. While subprime mortgages accounted for less than five per cent of mortgage originations in the U.S. in 1994, one-fifth of all mortgages originated between 2004 and 2006 were subprime.
But while subprime lending also increased in Canada, it remained much smaller than in the U.S.
The most cited estimate is that subprime lenders had a market share of roughly five per cent in 2006, compared to 22 per cent in the U.S. Moreover, the Canadian subprime market never expanded significantly into newer products, such as interest-only or negative amortization mortgages, whose popularity grew rapidly in the U.S. from 2003 to 2006. Instead, the Canadian subprime market mainly offered products popularized in the U.S. during the 1990s, such as longer amortization periods for loans (from 25 to 40 years), and mainly targeted near-prime borrowers.
Securitization has also been less common in Canada than in the United States, with roughly 25 per cent of Canadian mortgages securitized in 2007 versus nearly 60 per cent in the U.S. The Canadian securitization market has grown rapidly over the past decade, rising from roughly five per cent of mortgages in 1998 to over 25 per cent in 2008.
However, in many ways, the Canadian market resembles the early stages of the U.S. mortgage securitization market, as most securitized mortgages in Canada are backed by an explicit government guarantee. This government guarantee requires limits on borrowers' debt-service ratios and amortization periods, which makes it more difficult for lenders to offer some types of subprime loans.
The subprime story is also consistent with the different pattern of mortgage delinquencies in Canada and the U.S. In the U.S., mortgage delinquencies for both prime and nonprime mortgages began to rise before the recession began and unemployment rates began to climb.
In contrast, mortgage delinquencies in Canada have only recently begun to increase, after unemployment rates started rising and the Canadian and world economies slowed sharply in the fall of 2008. Finally, the relaxed lending story is consistent with the fact that the U.S. experienced a housing bust over 2007-2009 while Canada did not.
While the expansion of subprime lending provided a temporary boost to housing price growth rates, when prices stopped rising, the inability of some borrowers to refinance homes they could not afford led to a spike of delinquencies. The resulting increase in liquidation and foreclosure sales put additional downward pressure on house prices, which, in turn, pushed more borrowers into default. This negative feedback cycle helped push a correction in the housing market into a housing bust.
One possible critique of this argument is that while Canada has not yet experienced a housing bust, it is likely to experience one in the next year. Indeed, a recent Merrill-Lynch- Canada report noted that Canadian house prices over the past decade closely resemble U.S. house prices with a two-year lag. Based on this, they concluded that Canada was also likely to experience large decline in house prices over the coming year.
Canada's smaller subprime market share and fewer households with high LTV ratios, however, suggest that the country is less likely to see the rapid increase in defaults that helped trigger the bust in U.S. housing prices. So far the incoming data suggest that the Canadian housing market is likely to experience a housing market slowdown rather than a bust.
Canadian Mortgage Broker News - U.S. mortgage employment increases
U.S. mortgage employment increases
A turnaround of sorts has been noted in U.S. mortgage employment. After three straight years in which a total 128,329 mortgage jobs were lost from 2006 to 2008, there were again gains in that field in 2009, according to an employment index.
MortgageDaily.com''s 2009 Mortgage Employment Index shows 8,321 jobs were gained last year.
The strongest gains were in Texas, where lenders added 1,722 jobs. Still, some states struggled, as 2,797 layoffs occurred in Illinois - higher than any other state. Florida and Washington also had job losses in excess of 1,000.
In the fourth quarter alone, California had the strongest performance in mortgage job growth, with 987 added. Iowa was close behind. New York lost some 500 mortgage jobs in the final quarter, the worst of any state.
Bank of America led the way in terms of companies hiring in the fourth quarter of 2009, adding 2,500 mortgage jobs. Wells Fargo & Co. wasn''t far behind.
Canadian Mortgage Broker News - Ottawa leads latest housing price gains
Ottawa leads latest housing price gains
House prices continued to rise in December, according to Statistics Canada, especially in Ottawa, Toronto and Vancouver.
Nationally, the New Housing Price Index rose 0.4 per cent in December over the previous month, the same rate it rose in November.
The price of new houses in Ottawa-Gatineau rose higher than any other city in Canada, up 0.8 per cent in December from November and up 1.8 per cent from a year earlier. Not far behind was Toronto and Vancouver, at 0.7 per cent increases over the previous month.
"In Ottawa-Gatineau, the increase in prices was attributable to good market conditions and competitive factors," Statistics Canada stated in its release.
Montreal and Regina were the only other exceptions where prices rose significantly in the last year. Western Canada has seen the largest declines, with prices in Edmonton down 9.4 per cent from a year earlier in December, and Calgary down 3.1 per cent.
Calgary and Victoria were the only two cities to see declines in monthly prices this past December, both down 0.2 per cent.
"In Calgary, some builders moved to new phases of development with lower priced lots," Statistics Canada wrote. "Lower negotiated selling prices contributed to the decrease in housing prices in Victoria."
Canadian Mortgage Broker News - Canadians household finances in trouble, says Vanier Institute
Canadians' household finances in trouble, says Vanier Institute
A new study released by the Vanier Institute of the Family suggests average household debt is rising at an alarming pace and Canadians'' mortgage and credit card payments are suffering.
"At the household level, this recession is not over," said Clarence Lochhead, executive director of the Ottawa-based Vanier Institute. "For far too many, there is too little income, too much spending, too little saving and too much debt."
The study found that average household debt in Canada climbed to $96,100 in 2009, creating a record-high debt-to-income ratio of 145 per cent. Another finding was a 50 per cent increase in mortgages running 90 days or more in arrears in 2009 compared to 2008.
The report''s author, Roger Sauvé, also flagged concerns over a housing bubble. He said in the past 20 years, house prices have averaged 3.7 times household earnings and now that number is at five times earnings, with real estate providing 48 per cent of the net worth of Canadian households.
Canadian Mortgage Broker News - From the Press: What people are saying about the new mortgage rules
From the Press: What people are saying about the new mortgage rules
A day after Finance Minister Jim Flaherty announced three changes to mortgage rules in Canada, it appears the overall response from the financial community has been favourable; however, questions still remain, including whether clients must qualify at five-year posted rates or five-year discounted rates. Here''s a roundup of what''s being said in the press:
"The changes reflect reasonable public policy. Our government has taken the opposite tack to what has happened in the United States, where they have tried to attract the maximum number of people to make financial commitments regardless of ability to pay." - Phil Soper, president and CEO of Royal LePage (Toronto Star)
"In our opinion, the announced changes are prudent. They will not dramatically impact housing; but, they will help to cool the market, temper speculation and reduce the risk to personal finances from the inevitable future rise in interest rates. Although the policy adjustments are only to government-insured mortgages, which are for mortgages with less than a 20 per cent down payment, the new rules will probably be applied to all mortgage lending." - TD Economics
"It''s a fine line he (Flaherty) is walking. You have to act in a responsible way in a hot real-estate market, but you don''t want to overdo it and derail it. What he''s done is very surgical, directed to where it hurts rather than an umbrella response." - Benjamin Tal, chief economist, CIBC World Markets (Montreal Gazette)
"Are we going to see the odd borrower have to come up with more money or not buy they house they want? Absolutely. But will it have a dramatic effect? No." - Peter Majthenyi, mortgage planner, Mortgage Architects (Globe and Mail)
"How the government can go from 100 per cent rental financing (17 months ago) to 80 per cent today is confounding. The intent is understandable, but the government could have increased net worth requirements, increased Beacon minimums, tightened debt servicing guidelines, or limited the number of insured rental mortgages a person can qualify for. Instead, the solution was near-draconian, and it will have an effect on the rental stock in Canada." - Canadian Mortgage Trends
“The Canadian bond market will probably catch a bid [from the policy changes]. So long as you can take any residual Bank of Canada tightening out of the Canada curve, that will be more beneficial than detrimental towards bond yields.” - David Rosenberg, chief economist, Gluskin Sheff & Associates (Bloomberg)
Saturday, February 27, 2010
Mortgage rate as of 27/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 3.75 % | 1.85 % |
| 5 years Var Promo PAP | 2.25 % | 1.85 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 4.35 % | 3.25 % |
| 4 years | 5.14 % | 3.69 % |
| 5 years | 5.50 % | 3.84 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 4.95 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.20 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
Posted by
DataTracker Powered by CoolRent
Friday, February 26, 2010
Mortgage rate as of 26/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 3.75 % | 1.85 %|
| 5 years Var Promo PAP | 2.25 % | 1.85 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 4.35 % | 3.25 % |
| 4 years | 5.14 % | 3.69 % |
| 5 years | 5.50 % | 3.84 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 4.95 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.20 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
Posted by
DataTracker Powered by CoolRent
Tuesday, February 23, 2010
Mortgage rate as of 23/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 3.75 % | null|
| 5 years Var Promo PAP | 2.25 % | 1.85 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 4.35 % | 3.25 % |
| 4 years | 5.14 % | 3.69 % |
| 5 years | 5.50 % | 3.89 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 4.95 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.20 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
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DataTracker Powered by CoolRent
Thursday, February 18, 2010
Mortgage rate as of 18/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 3.75 % | 1 year fixed: null|
| 5 years Var Promo PAP | 2.25 % | 1.85 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 4.35 % | 3.25 % |
| 4 years | 5.14 % | 3.69 % |
| 5 years | 5.50 % | 3.89 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 4.95 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.20 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
Posted by
DataTracker Powered by CoolRent
Nouvelles normes hypothécaires
Voici certaines précisions importantes au sujet de l’annonce d’hier par le ministre Flaherty :
- Pour les résidences secondaires, sont maintenant admissibles uniquement les 1 logement (Avant les 1 à 4 logements étaient admissibles au programme résidence secondaire)
- Pour le locatif, le offset à 80% n’est plus admissible. On doit maintenant prendre 50% des revenus locatifs et les appliquer aux revenus bruts de l’emprunteur.
- Applicable a partir du 19 Avril 2010-02-17.
Wednesday, February 17, 2010
Canadian Mortgage Broker News - Industry not surprised by Flahertys mortgage rule changes
Industry not surprised by Flaherty's mortgage rule changes
Federal Finance Minister Jim Flaherty announced three new rule changes connected to government-backed insured mortgages Tuesday morning, saying the government is "taking proactive, prudent and cautious steps" to prevent a housing bubble.
The biggest change is the requirement that all borrowers be qualified at a five-year fixed mortgage rate even if they choose a shorter-term, lower-interest product.
The government also lowered the maximum amount Canadians can withdraw in refinancing their mortgages from 95 to 90 per cent, and introduced a minimum down payment of 20 per cent for government-backed mortgage insurance on non-owner occupied properties purchased "for speculation."
George Hugh, vice-president of lending sales at ING Direct, said the rule changes won't be a big adjustment for ING because it already qualifies borrowers at three-year terms even if they're taking out a mortgage with a shorter term.
"I think it's proactive behaviour - the changes will have more impact on some lenders compared to others, but I think overall they're very good for the market," said Hugh.
Don Bayer, president of the Toronto-based independent brokerage Monster Mortgage, said he expected the rule changes to be tougher, adding he would have liked to see a more across-the-board rate for mortgage qualifications.
"Some banks have posted rates and some don't, so what they should've done is put a prescribed rate out there so that the whole industry had to follow one rate - for example if the variable rate is two per cent they have to qualify borrowers at five per cent," said Bayer, who also questioned the motive behind banks requesting the rule changes.
"What I find a little ironic is that it's the banks that wanted the government to intervene, yet it's the banks that control 90 per cent of the mortgage market - so is this being done to eliminate third parties from originating mortgages in Canada? I don't know. The majority of the banks are our customers as well, so I don't know why the banks are suddenly so concerned over this."
The rule changes are set to come into effect on April 19.
Canadian Mortgage Broker News - Genworth already using potential new mortgage rule
Genworth already using potential new mortgage rule
The federal government is considering a new mortgage rule where clients who take out variable rate mortgages must be qualified based on a higher interest rate, according to the Globe and Mail - a practice Genworth Financial already has in place.
"We're approving people at [a rate of] about four per cent now," said Peter Vukanovich, Genworth president and COO, at a recent Finance Summit that was telecast to select groups across the country. He said the measure would prevent mass foreclosures were rates to go up a few per cent, but "if rates go up from two to five or six per cent, then it's that pay shock that might affect more people."
The Globe and Mail, which has been following the government's discussions around mortgage rules closely, said although Finance Minister Jim Flaherty is being urged by some senior banking officials to raise down payment requirements and shorten amortization, qualifying variable-rate borrowers at a higher rate would be a less extreme and more politically favourable option.
It's also something broker Mark Herman suggested in a story here, and while some banks already qualify borrowers on this basis, government rules would be a method of standardization across financial institutions.There is a general weariness towards the government becoming to actively involved in regulating a way out of a potential bubble, and this could be seen as a middle of the road option.
"The pendulum will swing to over-regulation [of the mortgage industry]," said Vukanovich. "It's something we need to watch for."
Canadian Mortgage Broker News - Home Trust clocks another successful year
Home Trust clocks another successful year
Home Capital Group maintained its reputation for growth - the Globe and Mail recently named it one of the top 10 stocks of the decade - after releasing its year-end results for 2009.
The lender saw earnings for the year reach $144.5 million, up 32.9 per cent from 2008, thanks in large part to a successful fourth quarter. On-balance sheet residential mortgages increased 33.9 per cent in 2009 and total originations grew by almost a quarter.
"Looking ahead, we are confident that Home Capital remains well positioned to continue generating robust earnings and growth in 2010," the company said in its fourth quarter report, adding it has set objectives of 15 to 20 per cent growth in earnings and assets for the year ahead.
Home Capital has gone through a number of recent changes, including the December departure of long-time president Nick Kyprianou and the appointment of Martin Reid, the company''''s former treasurer. In January, the company announced its investment with National Energy Corporation, which operates as National Home Services, and its plans to finance current and future residential water heater installations by NHS to the tune of $90 to $100 million in 2010.
In its report, the lender also emphasized its pull-back from non-residential mortgages to "reduce the company''''s exposure to this sector in light of the uncertainty in the commercial real estate markets."
Canadian Mortgage Broker News - ING president speaks out against tighter mortgage rules
ING president speaks out against tighter mortgage rules
After providing several comments on the potential housing bubble in Canada, ING Direct Canada president Peter Aceto told the Globe and Mail that Ottawa shouldn't tighten mortgage rules.
"High level, one-stroke fixes are too simple, and can have a very large impact," Aceto told the newspaper. "I worry about government-based tightening of the mortgage rules creating a much worse reaction - too fast of a cooling, which is not really good for anyone."
Aceto went on to say that banks can tighten rules themselves and do not need Finance Minister Jim Flaherty to "make the decision for them."
The comments come alongside a warning from Scotia Capital economists Derek Holt and Karen Cordes, who predicted a housing bubble forming in a report released late last year.
"You can't go from 100 km/h to zero in a nanosecond without suffering harsh consequences," they wrote, according to the Globe. "Newton's third law is the best caution that can be served up with respect to abruptly altering Canadian mortgage rules as per some of the whisper talk leading up to the March 4 federal budget after the currently government sharply liberalized the mortgage market in early 2007."
Canadian Mortgage Broker News - Boom or bubble? New numbers build speculation
Boom or bubble? New numbers build speculation
Housing starts hit a 15-month high according to a real estate report today, as media all across Canada continued to speculate whether the latest gains had stretched too far.
The Wall Street Journal and Canadian Business were amongst the publications recently to ask whether Canada's surprise performance in real estate was the start of a boom in the industry, or instead was nearing a bubble about to burst.
Rather than anything dramatic, however, most experts in the real estate industry still see 2010 as another strong year with a slowing of price gains in the second half as supply increases.
The seasonally adjusted annual rate of housing starts reached 186,300 units in January, up 5.8 per cent from 176,100 in December, according to the CMHC.
In January last year, housing starts began the year with 149,081 units, with activity progressing as the year went on.
Regionally, B.C. had largest increase in housing starts, with a 19.8 per cent jump in housing units in the province. In the Prairie region, the seasonally adjusted rate of urban starts decreased by 4.8 per cent.
Canadian Mortgage Broker News - Flaherty has no plans to tighten mortgage rules: Globe and Mail
Flaherty has no plans to tighten mortgage rules: Globe and Mail
Hmmmmm, half true just week later.
Bad memory???
Following a report in Saturday's Globe and Mail that banking officials have called for tighter mortgage rules to stave off a housing collapse, Finance Minister Jim Flaherty told reporters he does not see signs of a housing bubble in Canada.
According to the paper, Flaherty made the comments following the weekend's finance summit. Although he said there were some "signals in the market that are concerning," he added there is no "compelling evidence" of a housing bubble. He did, however, remind the Globe and Mail that he has policy tools available to "take action to counter negative trends."
"I have used some of them before and can use some or all of them again," Flaherty said, making reference to the government's decision to disallow zero-down mortgages and 40-year amortizations in 2008.
The discussion of tightening mortgage rules surfaced in December when Flaherty mentioned the possibility of increasing down payment and amortization periods to cool off the housing market. The Globe said the Department of Finance has canvassed the mortgage industry for ideas on whether tighter mortgage rules are needed.
CAAMP's Jim Murphy told the newspaper that it would have "serious concerns" with ten per cent down payments, while Canadian Mortgage Trends' Robert McLister said the CMHC has already "increased its vigilance" on mortgage insurance approvals.
Canadian Mortgage Broker News - U.S.-based firm pays borrowers to pay their mortgage
U.S.-based firm pays borrowers to pay their mortgage
Lately some borrowers in the U.S. have been considering walking away from their mortgage, even if they have a means to pay it.
Some say it's a rational decision when you owe more on your mortgage than the home is now worth.
New Jersey-based Loan Value Group LLC has come up with an incentive to keep those payments coming, however. In a press release today, the company says it is launching the Responsible Home Owner Reward program where it will pay a cash reward to borrowers if they agree to keep paying their mortgage.
That amount they will pay varies on income, negative equity, geography and other risk factors.
"RH Reward is the only program of its kind in the mortgage industry, and its structure and incentive-based design are unique," says Loan Value Group CEO Howard Hubler. "There is no cost to the borrower whatsoever, yet the homeowner receives the full benefit of the reward."
He says it is "by far" cheaper and simpler than any other loss mitigation strategy.
Canadian Mortgage Broker News - Competition bureau aims to make property listings cheaper
Competition bureau aims to make property listings cheaper
The Competition Bureau says today it will try to make it cheaper for sellers to list their homes on the Multiple Listings Service (MLS).
Currently consumers are forced to pay for services on the MLS site imposed by the Canadian Real Estate Association they may not want or need, says the bureau.
"Consumers should be able to choose which services they want to buy in order to facilitate that transaction, including lower-cost options," says Melanie Aitken, Commissioner of Competition.
Before listing on the MLS system, which accounts for the vast majority of real estate transactions in Canada, agents must agree to comply with the Canadian Real Estate Associations restrictions.
For example, the Competition Bureau says agents are prohibited under CREA's rules from offering consumers the option of simply paying a fee for an agent to list a home on the MLS system. Instead, all consumers looking to list a property must purchase a pre-determined set of additional services from an agent, such as presentation of offers and negotiation of a final deal.
Canadian Mortgage Broker News - Home Trust releases short-term variable products
Home Trust releases short-term variable products
Following last week's news that Street Capital introduced two new short-term variable mortgages, Home Trust announced the launch of one-year and three-year term variable-rate products.
"We've noticed there has been an increased demand for shorter-term mortgages because some people think that rates have not bottomed out," said Armando Diseri, vice-president of mortgage lending for Home Trust's Accelerator program. "In order to satisfy this demand and give our brokers and consumer more options, we felt introducing the one-year and three-year variable-rate mortgage was the sensible thing to do."
The products are offered through Home Trust's prime-focused Accelerator program. The features and guidelines are the same as its five-year variable-rate Accelerator product, including a prepayment penalty.
Home Trust will announce its 2009 fourth-quarter financial results on Monday.
Canadian Mortgage Broker News - Mortgage market strong, housing bubble nonexistent: Carney
Mortgage market strong, housing bubble nonexistent: Carney
Bank of Canada governor Mark Carney said Canada is not experiencing a housing bubble and he doesn't see the need for structural changes to the country's mortgage market, according to a report in Reuters.
"The Canadian mortgage market has functioned I think exceptionally well during the course of the last decade ... we've seen the strength of the system of mortgage insurance and it's provided an important funding avenue for the banks as well," said Carney after a speech in Winnipeg on Feb. 4.
The speaking engagement also gave Carney a chance to address the current talk of a housing bubble forming in Canada due to explosive home sales and escalating prices. He said the strength in the housing market was "expected" due to where monetary policy was and said the bank is "following it closely."
"We want to caution people that rates are extraordinarily low right now, they're low for a reason ... but it's a means to an end," he said.
Canadian Mortgage Broker News - Mortgage fraud increases in U.S.
Mortgage fraud increases in U.S.
The number of mortgage fraud cases increased last year in the U.S., with the highest concentration in areas with high property foreclosure rates.
According to MortgageDaily.com's fourth quarter 2009 mortgage fraud index, the activity was worst in Florida and Nevada, with a combined 1,780 cases last year.
Last week in the U.S., a former Beverly Hills real estate appraiser was sentenced to three years in federal prison for her role in a large-scale mortgage fraud.
Prosecutors say Lila Rizk was part of a ring that obtained dozens of inflated mortgage loans for homes in wealthy Southern California neighborhoods. She was ordered by the judge to pay her part of a $46 million restitution to Bank of America Corp. and others.
Canadian Mortgage Broker News - Canadas economy continues growth
Canada's economy continues growth
For the third straight month in November, Canada's economy grew, backed by strength in the gas and oil industries, wholesale trade, and continued real estate activity.
Statistics Canada reports gross domestic product advanced 0.4 per cent on the month, beating the market estimate of 0.2 per cent.
Economists say the data shows Canada's economy is on pace to meet or exceed the Bank of Canada's 3.3 per cent growth estimate for the final three months of 2009.
But while there is optimism by economists, Canadians are growing in their pessimism, says a new consumer confidence survey by the RBC Monthly Canadian. Some 52 per cent described the economy and job prospects as bad, compared to 48 percent feeling it was good in January. In December, 51 per cent had viewed it as good, compared to 49 per cent as bad.
Also, 56 per cent of Canadians expect the economy to improve over the next year, down from 60 per cent in December.
Canadian Mortgage Broker News - U.S. government plans exit from mortgage markets
U.S. government plans exit from mortgage markets
After investing more than $1 trillion to keep mortgage rates low, the U.S. government is expected to pull back and exit over the next two months.
The program of buying mortgage-backed securities in an effort to reduce fixed-rate mortgage rates is set to end this quarter.
If that happens, many in the housing industry are concerned about what impact it will have. The government's housing assistance enabled homebuyers to get cheap loans and help revive much of the U.S. housing market, but the lasting impact is unclear.
A rise in interest rates, however small, would likely do damage to the fragile confidence of those considering buying real estate in 2010. The Federal Reserve said last week that it will keep the target rate for overnight bank lending near zero to help nurture the recovery.
Foreclosures will probably reach three million this year, surpassing last year's record of 2.82 million, according to RealtyTrac Inc.
Canadian Mortgage Broker News - Residential sales in B.C. to slow in 2011
Residential sales in B.C. to slow in 2011
Residential sales growth will remain positive in the next two years, but won't be able to replicate the past year's growth, says the British Columbia Real Estate Association (BRCEA).
In its Housing Forecast Update for the first quarter of 2010, the association says B.C. Multiple Listing Service (MLS) residential sales are forecast to increase six per cent from 85,028 units in 2009 to 90,100 units this year, before falling to three per cent to 87,500 units in 2011.
B.C. residential sales went from about 50,000 units in the first quarter last year to 112,000 by the fourth quarter 2009, a 124 per cent increase.
"That gold medal finish will give way to a silver medal performance in 2010," says Cameron Muir, BCREA Chief Economist.
Meanwhile, prices are forecast to increase five per cent to $490,900 this year, then another one per cent to $494,800 in 2011.
"Higher mortgage interest rates will limit price appreciation next year," says Muir.
Canadian Mortgage Broker News - Canadas six most magnetic metro areas for migrants
Canada's six most magnetic metro areas for migrants
A study of the 50 largest metro areas in Canada has revealed the six most attractive spots to newcomers, regardless of origin.
The study, by the Conference Board of Canada, found that regardless of the educational background of the individual, the six most appealing metro areas in the country in terms of ability to attract newcomers were Calgary, Waterloo, Ont., Ottawa, Richmond Hill, Ont., Vancouver and St. John's.
The judging factors included the following categories: society, health, economy, environment, education, innovation and housing.
After the economy category, migrants ranked the society category second, followed by environment, education, innovation, health and housing.
The study also found that migrants with a university degree placed the most emphasis on the education category, followed by society, innovation, economy, environment, health and housing.
Tuesday, February 16, 2010
Changes to Mortgage Insurance Rules
MORTGAGE INSURANCE RULES ANNOUNCEMENT
This morning, Federal Finance Minister Jim Flaherty announced prudent changes to mortgage insurance rules intended to come into force on April 19, 2010. CAAMP was actively engaged in the discussions around these changes which are as follows:
There were no changes to down payment requirements or length of amortizations for owner-occupied residences.
- All borrowers must meet the standards for a five-year fixed rate mortgage even if they choose a mortgage with a lower interest rate and shorter term;
- The maximum amount one can withdraw in refinancing their mortgage will be reduced to 90% from the current 95% of the value of one's home;
- Non-owner occupied properties will require a minimum down payment of 20%.
CAAMP will continue to monitor developments including transition rules.
For additional details on the changes - click here
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Monday, February 15, 2010
Mortgage rate as of 15/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 3.75 % | 1 year fixed: null|
| 5 years Var Promo PAP | 2.25 % | 1.90 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 4.35 % | 3.25 % |
| 4 years | 5.14 % | 3.69 % |
| 5 years | 5.50 % | 3.89 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 4.95 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.20 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
Posted by
DataTracker Powered by CoolRent
Friday, February 12, 2010
Mortgage rate as of 12/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 3.75 % | 1 year fixed: null|
| 5 years Var Promo PAP | 2.25 % | 1.90 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 5.25 % | 3.25 % |
| 4 years | 5.14 % | 3.69 % |
| 5 years | 6.10 % | 3.89 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 5.15 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.35 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
Posted by
DataTracker Powered by CoolRent
Thursday, February 11, 2010
Mortgage rate as of 11/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 3.75 % | 1 year fixed: null|
| 5 years Var Promo PAP | 2.25 % | 1.95 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 5.25 % | 3.25 % |
| 4 years | 5.14 % | 3.79 % |
| 5 years | 6.10 % | 3.89 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 5.15 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.35 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
Posted by
DataTracker Powered by CoolRent
Mortgage rate as of 11/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 3.75 % | 1 year fixed: null|
| 5 years Var Promo PAP | 2.25 % | 1.95 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 5.25 % | 3.25 % |
| 4 years | 5.14 % | 3.79 % |
| 5 years | 6.10 % | 3.84 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 5.15 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.35 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
Posted by
DataTracker Powered by CoolRent
Wednesday, February 10, 2010
Mortgage rate as of 10/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 1 year fixed: null2.00 % | |
| 5 years Var Promo PAP | 2.25 % | 1.95 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 5.25 % | 3.25 % |
| 4 years | 5.14 % | 3.79 % |
| 5 years | 6.10 % | 3.84 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 5.15 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.35 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
Posted by
DataTracker Powered by CoolRent
Tuesday, February 9, 2010
Mortgage rate as of 09/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 3.75 % | 2.00 % |
| 5 years Var Promo PAP | 2.25 % | 1.95 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 5.25 % | 3.25 % |
| 4 years | 5.14 % | 3.79 % |
| 5 years | 6.10 % | 3.84 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 5.15 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.35 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
Posted by
DataTracker Powered by CoolRent
Mortgage rate as of 09/02/2010
* Negociate on your behalf the best interest rates and loan conditions
* Provide you with a pre-approval service
* Explain to you the range of government programs (Home Buyers Plan, ...)
* Protect your mortgage rate for up to 120 days
* Transfer your mortgage free of charge*
| Mortgage product | Posted rate | Our rate |
| 5 years Variable | 3.75 % | 2.00 % |
| 5 years Var Promo PAP | 2.25 % | 2.00 % |
| 1 year | 4.35 % | 2.33 % |
| 1 year open | 6.55 % | 6.45 % |
| 2 years | 3.95 % | 2.95 % |
| 3 years | 5.25 % | 3.25 % |
| 4 years | 5.14 % | 3.79 % |
| 5 years | 6.10 % | 3.84 % |
| 6 years | 6.10 % | 4.69 % |
| 7 years | 6.60 % | 5.15 % |
| 9 years | 5.62 % | 5.32 % |
| 10 years | 6.95 % | 5.35 % |
| 15 years | 9.55 % | 9.25 % |
| 18 years | 9.55 % | 9.25 % |
| 25 years | 9.65 % | 9.35 % |
Posted by
DataTracker Powered by CoolRent
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