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Wednesday, March 31, 2010

Vacation Prices Increase Alert

Skyservice a charter airline operating to southern destinations has shut down operations. We anticipate that prices will increase by hundreds of dollars within the next 24 hours.

The Bank of Canada 2009 Annual Report.

ANNUAL REPORT / RAPPORT ANNUEL

The Bank of Canada 2009 Annual Report.

The 2009 Annual Report of the Governor of the Bank of Canada was tabled in the House of Commons today. This document is now available on the Bank of Canada’s website at: http://www.bankofcanada.ca/en/annual/2009/ar2009.html

Using home equity for a reverse mortgage is an option when pension income isn't enough

Using home equity for a reverse mortgage is an option when pension income isn't enough

By Terrence Belford, For Canwest News ServiceMarch 30, 2010

Your browser may not support display of this image. Your browser may not support display of this image.

Inge Hahn and her husband Ben received 40 per cent of their home equity in a reverse mortgage.

Photograph by: Peter Redman, Canwest News Service, For Canwest News Service

Inge Hahn can hardly contain her relief and excitement. After years of worrying about the rising cost of living and diminishing pension income, the 72-year-old and her 73-year-old husband now have a large chunk of cash to see them through.

In January, the pair obtained a reverse mortgage on their Orrville, Ont. home. It took just three weeks from the day she made that initial call to Home Equity Bank, the only source of reverse mortgages in Canada, until she had a cheque for $143,000 in her hands.

It represented 40 per cent of the equity she and her husband Ben had built in their lakefront home, but at an interest rate of just 3.75 per cent she figures rising house prices are likely to more than make up for any loss of equity by the time she and Ben die or have to move.

Unlike a bank loan or a conventional mortgage she faced no monthly payments. Interest and principal just add up year after year and only come due when they no longer occupy the home.

"I am on Cloud 9," she says. "You can't imagine what a relief this is for us. Our pension income just did not cover the bills any more. Now we can do all the things that need doing and have money left over to invest and provide extra income."

The Hahns are one of 7,000 customers who have gone to the Home Equity Bank since it started as the Canadian Home Income Plan (CHIP) in 1986, says Greg Bandler, vice-president of sales and marketing. The bank holds more than $1-billion in reverse mortgages.

"And business is booming," says Bandler. "One of the chief reasons is that since we became a schedule 1 bank on Oct. 13 last year we have been able to reduce the interest rates we charge considerably. We are now competitive with conventional mortgages.

"The second is that because of the recession and historic low returns on investments may Canadians are finding their pension income is just not what they need. To make it go further they are tapping into their equity of their homes."

Becoming a bank and having access to inexpensive money to fund reverse mortgages -- mainly through the sale of guaranteed investment certificates, which it sells through 50 other banks and institutions -- has suddenly made the CHIP program a reasonable alternative for seniors, say mortgage brokers across the country.

"I never saw the value of them in past," says John Panagakos of The Mortgage Centre, Toronto. "In the past, the rates charged have been extremely high, but now that they have come down I may have to reconsider them."

"I can see how they may make sense for some people now that rates are competitive," says Ajay Soni, senior broker with mortgage lender Invis in Vancouver. "But I still don't see them as a mainstream option for most seniors."

The sweet spot for Home Equity Bank seems to be seniors aged 72 or 73, says Bandler.

"They have rolled their RRSPs into RRIFs and found the income generated is short of what they need to live and pay normal bills," he says. "They come to us because this is tax-free money and can be used to provide that much-needed retirement income."

The CHIP plan is available to any homeowner aged 60 and over, Bandler says. They can borrow up to 40 per cent of the equity in a home and not face repayment until they die, sell or move.

© Copyright (c) The Vancouver Sun

Mortgage rate as of 31/03/2010

Our commitment:
* 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 %1.75 %
5 years Var Promo PAP2.25 %1.80 %
1 year 4.35 %2.33 %
1 year open6.55 %6.45 %
2 years3.95 %2.95 %
3 years4.70 %3.29 %
4 years5.34 %3.69 %
5 years5.85 %3.89 %
6 years6.10 %4.55 %
7 years6.65 %4.65 %
9 years5.62 %5.32 %
10 years 6.95 %4.99 %
15 years9.55 %9.25 %
18 years9.55 %9.25 %
25 years9.65 %9.35 %



*Some conditions apply, subject to change without prior notice.

Posted by DataTracker Powered by CoolRent

FYI: Regulatory Changes for Mortgage Products

FYI: Regulatory Changes for Mortgage Products

Subject: FYI: Regulatory Changes for Mortgage Products – Update to Qualifying Rate

SUMMARY:

On February 16, 2010, the Government of Canada announced a series of regulatory changes to support the long-term stability of Canada’s housing market. The Government has now provided the following details in relation to these changes.

Effective April 19, 2010, Qualifying Interest Rates guidelines will change as follows:

  • Fixed Rate Mortgages of terms less than 5 years and all Variable Interest Rate Mortgages: Applications will be adjudicated based on the greater of the 5 Year Bank of Canada Benchmark Rate**, or the actual customer rate (inclusive of any customer discretion).
  • Fixed Rate Mortgages of terms 5 years or greater: Applications will be adjudicated based on the actual customer rate.
  • This change applies to both conventional and insured mortgages.

ADDITIONAL INFORMATION:

  • The three key changes associated with this announcement are:
    1. Borrowers will need to be able to afford a five-year fixed rate mortgage, even if they choose a mortgage with a shorter duration.
    2. Investors, who want to buy a home that they don't plan to live in, will have to make a minimum down payment of 20%.
    3. Canadian home owners will only be able to withdraw 90% of the value of their homes in a refinancing, down from 95%.

Tuesday, March 30, 2010

Mortgage rate as of 30/03/2010

Our commitment:
* 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 %1.75 %
5 years Var Promo PAP2.25 %1.80 %
1 year 4.35 %2.33 %
1 year open6.55 %6.45 %
2 years3.95 %2.95 %
3 years4.70 %3.29 %
4 years5.34 %3.69 %
5 years5.85 %3.69 %
6 years6.10 %4.55 %
7 years6.65 %4.65 %
9 years5.62 %5.32 %
10 years 6.95 %4.99 %
15 years9.55 %9.25 %
18 years9.55 %9.25 %
25 years9.65 %9.35 %



*Some conditions apply, subject to change without prior notice.

Posted by DataTracker Powered by CoolRent

Canadian Mortgage Broker News - IMBA announces new president

Canadian Mortgage Broker News - IMBA announces new president

IMBA announces new president

| Monday, 29 March 2010


Margo Wynhofen, a Verico broker based in the Niagara region, has been named the new president of the Independent Mortgage Brokers Association of Ontario (IMBA), which held its annual general meeting in Mississauga last week.

"IMBA is fortunate to have an individual at its helm like Margo," said Jeff Atlin, IMBA's outgoing president. "Margo's drive, focus and commitment to IMBA and the mortgage industry will surely take IMBA to the next level."

Wynhofen - who is IMBA's first female president - joined the mortgage industry in 1998 and her academic achievements include an Honours degree in economics from the University of Toronto and an Honours post-diploma in financial services underwriting from Seneca College. She started Verico One Mortgage in 2006.

IMBA also welcomed some new faces to its board of directors, including Roslyn Goldmintz, Glenn May-Anderson and Brian Moskowitz.

Canadian Mortgage Broker News - Mortgage brokers appear safe from GST

Canadian Mortgage Broker News - Mortgage brokers appear safe from GST

Mortgage brokers appear safe from GST

| Monday, 29 March 2010


Finance Minister Jim Flaherty said Monday that there will be no additional GST on financial services following heated discussion about a new proposed tax policy that appeared in the federal budget earlier this month.

The debate is over a notice by the Canada Revenue Agency, which said it had plans to broaden the application of GST on financial services professionals like mortgage brokers, insurance agents, and financial advisors, who have so far been exempt from the tax. Flaherty denied this change Monday, blaming it on poor wording in the budget document.

"We will have the tools in the first Budget Implementation Act to make sure we get back to the status quo before the court cases, so people can rest assured that the tax treatment of defined financial services will not change," Flaherty said, adding that businesses still need "clear GST rules" - rules that won't be clarified until Canada Revenue Agency releases an explanation in the coming weeks.

Provincial mortgage associations IMBA, MBABC and AMBA have come together to fight the potential tax rule change, which IMBA said could cut broker commissions by 13 per cent if implemented. CAAMP has also been vocal on the matter, saying it has communicated with auditors and government officials for clarification on the issue.

"We're cautiously optimistic that they will listen to what the negative consequences of such a change would be," Murphy told CBC News last week, "and that they will continue with the current status quo."

Canadian Mortgage Broker News - Banks start interest rate shake-up

Canadian Mortgage Broker News - Banks start interest rate shake-up

Banks start interest rate shake-up

| Tuesday, 30 March 2010


Four big banks have increased their posted rates on fixed mortgages, signaling the start of an upward move on record-low interest rates.

Royal Bank, TD Canada Trust and Laurentian all moved their posted rates on five-year fixed mortgages by 0.6 per cent yesterday, a move followed by CIBC today. Many non-banks have already followed, prompting a surge in requests from variable-rate clients to lock into fixed rates.

"The phones have been ringing off the hook since yesterday," said Donna Ramsay, a Mortgage Architects broker based in Orangeville, Ont. "We have several clients that we have committed to calling to see if they want to lock into a fixed. We tell them that we're not here to tell them what to do -- we'll give them the facts."

The interest rate increase will also mean higher qualifying criteria for new clients, who must meet the five-year posted fixed rate when the new mortgage insurance rules kick in on April 19.

CIBC economist Benjamin Tal told the Globe and Mail the rise in rates along with other factors means the booming housing market will slow down significantly after spring.

"Given where interest rates are now, I still think you'll see an extremely strong spring. However, after that I think the housing market will stagnate," Mr. Tal said. "We are in the ninth inning of this booming house market. We are not expecting a crash, but we will stagnate."

Mortgage rate as of 30/03/2010

Our commitment:
* 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 %1.75 %
5 years Var Promo PAP2.25 %1.75 %
1 year 4.35 %2.33 %
1 year open6.55 %6.45 %
2 years3.95 %2.95 %
3 years4.70 %3.25 %
4 years5.34 %3.69 %
5 years5.85 %3.69 %
6 years6.10 %4.55 %
7 years6.60 %4.65 %
9 years5.62 %5.32 %
10 years 6.95 %4.99 %
15 years9.55 %9.25 %
18 years9.55 %9.25 %
25 years9.65 %9.35 %



*Some conditions apply, subject to change without prior notice.

Posted by DataTracker Powered by CoolRent

Friday, March 26, 2010

Mortgage rate as of 26/03/2010

Our commitment:
* 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 %1.75 %
5 years Var Promo PAP2.25 %1.75 %
1 year 4.35 %2.33 %
1 year open6.55 %6.45 %
2 years3.95 %2.95 %
3 years4.35 %3.25 %
4 years5.14 %3.69 %
5 years5.50 %3.69 %
6 years6.10 %4.55 %
7 years6.60 %4.65 %
9 years5.62 %5.32 %
10 years 6.95 %4.99 %
15 years9.55 %9.25 %
18 years9.55 %9.25 %
25 years9.65 %9.35 %



*Some conditions apply, subject to change without prior notice.

Posted by DataTracker Powered by CoolRent

Tuesday, March 23, 2010

Mortgage rate as of 23/03/2010

Our commitment:
* 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 PAP2.25 %1.75 %
1 year 4.35 %2.33 %
1 year open6.55 %6.45 %
2 years3.95 %2.95 %
3 years4.35 %3.25 %
4 years5.14 %
5 years5.50 %3.69 %
6 years6.10 %4.55 %
7 years6.60 %4.65 %
9 years5.62 %5.32 %
10 years 6.95 %4.99 %
15 years9.55 %9.25 %
18 years9.55 %9.25 %
25 years9.65 %9.35 %



*Some conditions apply, subject to change without prior notice.

Posted by DataTracker Powered by CoolRent

Monday, March 22, 2010

Canadian Mortgage Broker News - Inflation jump causes more interest rate speculation

Canadian Mortgage Broker News - Inflation jump causes more interest rate speculation

Inflation jump causes more interest rate speculation

| Monday, 22 March 2010


Some experts are predicting Bank of Canada interest rate hikes are less than three months away after Statistics Canada reported core inflation jumped to 2.1 per cent in February. This compares to the central bank's outlook of a 1.6 per cent average core inflation rate in the first quarter of 2010.

"We're progressively leaving the recovery phase," Yanick Desnoyers, assistant chief economist at National Bank Financial in Montreal told the Globe and Mail. He added policy makers "are going to change their tone on the economy in April, and they're going to move in June. The longer they wait, the more aggressive they'll have to be."

Inflation wasn't predicted to reach the Bank of Canada's two per cent target until the third quarter of the year and some are saying the effect of the Olympic Games in Vancouver - which drove up costs, particularly in the hotel sector - caused the jump. The inflation numbers also contributed to a surge in the Canadian dollar, which hit a high of 99.38 cents U.S. on Friday.

"[This] report must be turning heads at the Bank of Canada," economists Derek Holt and Karen Cordes Woods at Scotia Capital told the Financial Post. "While the details are mixed on the underlying components, it is pretty difficult to argue that emergency rates in Canada [of 0.25%] are still warranted."

In contrast, the Post said economists at TD Securities don't expect the Bank of Canada to over-react to the new number because "one-off factors" are well-identified.

Saturday, March 20, 2010

Mortgage rate as of 20/03/2010

Our commitment:
* 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 PAP2.25 %1.75 %
1 year 4.35 %2.33 %
1 year open6.55 %6.45 %
2 years3.95 %2.95 %
3 years4.35 %3.25 %
4 years5.14 %3.69 %
5 years5.50 %3.69 %
6 years6.10 %4.69 %
7 years6.60 %4.95 %
9 years5.62 %5.32 %
10 years 6.95 %5.20 %
15 years9.55 %9.25 %
18 years9.55 %9.25 %
25 years9.65 %9.35 %



*Some conditions apply, subject to change without prior notice.

Posted by DataTracker Powered by CoolRent

Thursday, March 18, 2010

Mortgage rate as of 18/03/2010

Our commitment:
* 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 PAP2.25 %1.75 %
1 year 4.35 %2.33 %
1 year open6.55 %6.45 %
2 years3.95 %2.95 %
3 years4.35 %3.25 %
4 years5.14 %3.69 %
5 years5.50 %3.79 %
6 years6.10 %4.69 %
7 years6.60 %4.95 %
9 years5.62 %5.32 %
10 years 6.95 %5.20 %
15 years9.55 %9.25 %
18 years9.55 %9.25 %
25 years9.65 %9.35 %



*Some conditions apply, subject to change without prior notice.

Posted by DataTracker Powered by CoolRent

Tuesday, March 16, 2010

CIBC: "Week Ahead" - Mar 15-19th

CIBC: "Week Ahead" - Mar 15-19th

CIBC Economic's "The Week Ahead".

Key Highlights of this week’s article: “The Visible Hand”

In terms of job creation, the 'visible hand' of monetary policy and fiscal stimulus seems to be working for both the US and Canada. For the US, it should be measured against the "what if" of even larger employment declines. For Canada, more than half of the jobs growth has come from government-funded health and education sectors. Monetary and fiscal policy can take credit for the uptrend in construction, and a wave of infrastructure projects slated to start this spring. There has been no meaningful upswing in manufacturing although we know that the auto sector has more plants operating versus a year ago. This implies that other manufacturing sectors have shuttered or downsized, with a strong Canadian dollar adding pressure to this global recession. We must now wait to see if this jobs stimulus will project itself into the private sector, and the overall economy.

Key Numbers to watch this week:

· Canada – Consumer Price Index - February (Fri 7:00AM) Core inflation is expected to drop off to 1.8%. With excess capacity limiting the ascent in prices, the year-on-year core inflation rate is set to remain close to the BoC's 2% target, given the BoC ample justification to honour its pledge to keep rates unchanged until Q3.

· Canada – Retail Trade - January (Fri 8:30AM) Retail sales have been on a clear uptrend since the trough in Dec '08, with gains in 9 of the subsequent 12 months. This trend likely extended to January due to the pending expiry of home renovation tax credits and higher gas prices.

· Canada – Manufacturing Shipments - January (Tues 8:30AM) Higher industrial product prices likely allowed nominal factory shipments to grow roughly 1% in January despite soft export volumes.

· US – Consumer Price Index - February (Thurs - 8:30AM) Inflation has been trending higher due to last year's record drop in energy prices, not a sign of a developing inflation problem. We look for both headline (2.2%) and core (1.3%) inflation to remain flat.

· US – Housing Starts - February (Tues - 8:30AM) US homebuilders remain cautious as a shadow inventory of pre-foreclosed homes loom. Building permits are pointing to a modest further increase in starts after January's 2.8% increase.

Currency Currents:

· The narrowing US trade deficit was driven primarily by slumping imports. For remaining trade imbalances, US$ must depreciate against Pacific Rim and OPEC nations, not the C$ and Euro.

· A Yuan revaluation would be good for China as an effective tool for tackling inflation, stimulate domestic consumption, sustainable growth, and a reduced reliance on US treasuries.

· The current economic picture raises the probability that the BoJ will add further liquidity to tackle deflation and rekindle growth, which could takes some steam out of the Yen.

Equity Insight:

· As TSX earnings are recovering, dividend cuts are decreasing and dividend growth is increasing, although modestly.

· Despite the 2nd deepest recession since the 1960's, profit margins only fell by 2%. Reasons: Oil bottomed at approx. twice the levels seen in past economic slumps, timely and aggressive rate cuts by the BoC and decent-looking balance sheets.

· China's recent surge in inflation was driven by food prices. This bodes well for Canada's fertilizer sub-sector as long-awaited demand is finally coming back.

Monday, March 15, 2010

Mortgage rate as of 15/03/2010

Our commitment:
* 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 PAP2.25 %1.75 %
1 year 4.35 %2.33 %
1 year open6.55 %6.45 %
2 years3.95 %2.95 %
3 years4.35 %3.25 %
4 years5.14 %3.69 %
5 years5.50 %3.79 %
6 years6.10 %4.69 %
7 years6.60 %4.95 %
9 years5.62 %5.32 %
10 years 6.95 %5.20 %
15 years9.55 %9.25 %
18 years9.55 %9.25 %
25 years9.65 %9.35 %


Posted by DataTracker Powered by CoolRent

Medical insurance soon required for all visitors to Cuba

Medical insurance soon required for all visitors to Cuba

Beginning May 1, 2010, foreigners and Cuban emigrants must carry a travel insurance policy with medical coverage in order to enter Cuba.

Cuba’s Executive Committee of the Council of Ministers published the new measure in the nation’s Official Gazette on February 16, which also states that foreign citizens who have temporary residence in Cuba must have medical insurance that covers them for the duration of their stay.

Diplomats and representatives of accredited international organizations will be exempt from mandatory insurance.

According to the measure, policies must be purchased from either foreign insurance companies approved by the Cuban government or Cuban firms at points of entry into the country.

Neither a list of approved foreign firms nor the eligibility requirements for approval has been released.

The cost of policies sold by Cuban firms and what they cover has not yet been disclosed.

Tourism is one of Cuba's main sources of income. In 2009, 2.42 million people, including nearly 300,000 Cuban emigrants, visited the island.

We will continue to keep you informed as new information is made available.

Saturday, March 13, 2010

Budget 2010 – Almost nothing to speak of…

Budget 2010 – Almost nothing to speak of…

EMPTY NESTERS: How to Sell the Place You Call Home

EMPTY NESTERS: How to Sell the Place You Call Home


Are you an "Empty Nester" who needs a home for the future? Is it
time to downsize or to move into another home more suitable for
your glorious retirement years?

Like thousands of homesellers, you may be discovering that after
years of non-stop child traffic in and out of your doors, toys on
the floor, music floating throughout, suddenly you can hear a pin
drop over the quiet hum of the refrigerator. Your rooms are
filled with pictures and memories of this wonderful time in your
life, but there are many empty rooms gathering dust now that your
children have moved on. The freer years ahead are exciting ones
to look forward to, and it may be time for you to move as well.

If you find yourself in this situation, you’re in vast and good
company. And what that means is that there are many wonderful
opportunities for you to create this new chapter in your life...
if you know what it takes to get the most out of the equity you’
ve built up in your current home.

To help you understand the issues involved in making such a move,
and how to avoid the most common and costly mistakes most Empty
Nesters make, we’ve prepared this special article to help you
identify and plan for the move ahead.


9 IMPORTANT EMPTY NESTER TIPS FOR SELLING YOUR HOME

Selling your home is one of the most important steps in your
life. This 9 step system will give you the tools you need to
maximize your profits, maintain control, and reduce the stress
that comes with the homeselling process:

1. Know why you’re selling, and keep it to yourself.
The reasons behind your decision to sell affect everything from
setting a price to deciding how much time and money to invest in
getting your home ready for sale. What’s more important to you:
the money you walk away with, the length of time your property is
on the market or both. Different goals will dictate different
strategies.

However, don’t reveal your motivation to anyone else or they may
use it against you at the negotiating table. When asked, simply
say that your housing needs have changed.

2. Do your homework before setting a price.
Settling on an offering price shouldn’t be done lightly. Once
you’ve set your price, you’ve told buyers the absolute maximum
they have to pay for your home, but pricing too high is as
dangerous as pricing too low. Remember that the average buyer is
looking at 15-20 homes at the same time they are considering
yours. This means that they have a basis for comparison, and if
your home doesn’t compare favorably with others in the price
range you’ve set, you won’t be taken seriously by prospects or
agents. As a result, your home may sit on the market for a long
time and, knowing this, new buyers will think there must be
something wrong with your home.

3. Find Out What Other Homes are Selling For.
(In fact, your agent should do this for you). Find out what
comparable homes in your own and similar neighborhoods have sold
for in the past 6-12 months, and research what current homes are
listed for. That’s certainly how prospective buyers will assess
the worth of your home.

4. Find a "good" real estate agent to represent your needs.
Nearly three-quarters of homeowners claim that they wouldn’t use
the same realtor who sold their last home. Dissatisfaction boils
down to poor communication which results in not enough feedback,
lower pricing and strained relations.

5. Maximize your home’s sales potential.
Each year, corporate North America spends billions on product and
packaging design. Appearance is critical, and it would be foolish
to ignore this when selling your home.

You may not be able to change your home’s location or floor plan,
but you can do a lot to improve its appearance. The look and
feel of your home generates a greater emotional response than any
other factor. Before a showing, clean like you’ve never cleaned
before. Pick up, straighten, unclutter, scrub, scour and dust.
Fix everything, no matter how insignificant it may appear.
Present your home to get a "wow" response from prospective
buyers. Allow the buyers to imagine themselves living in your
home.

The decision to buy a home is based on emotion, not logic.
Prospective buyers want to try on your home just like they would
a new suit of clothes. If you follow them around pointing out
improvements, or if your decor is so different that it’s
difficult for a buyer to strip it away in his or her mind, you
make it difficult for them to feel comfortable enough to imagine
themselves as an owner.

6. Make it easy for prospects to get information on your home.
You may be surprised to know that some marketing tools that most
agents use to sell homes (eg. traditional open houses) are
actually not very effective. In fact only 1% of homes are sold at
an open house.

Furthermore, the prospects calling for information on your home
probably value their time as much as you do. The last thing they
want to be subjected to is either a game of telephone tag with an
agent, or an unwanted sales pitch. Make sure the ads your agent
places for your home are attached to a 24 hour prerecorded
hotline with a specific ID# for your home which gives buyers
access to detailed information about your property day or night 7
days a week without having to talk to anyone. It’s been proven
that 3 times as many buyers call for information on your home
under this system. And remember, the more buyers you have
competing for your home the better, because it sets up an
auction-like atmosphere that puts you in the driver’s seat.

7. Know your buyer.
In the negotiation process, your objective is to control the pace
and set the duration. What is your buyer’s motivation? Does s/he
need to move quickly? Does s/he have enough money to pay you your
asking price? Knowing this information gives you the upper hand
in the negotiation because you know how far you can push to get
what you want.

8. Make sure the contract is complete.
For your part as a seller, make sure you disclose everything.
Smart sellers proactively go above and beyond the laws to
disclose all known defects to their buyers in writing. If the
buyer knows about a problem, s/he can’t come back with a lawsuit
later on.

Make sure all terms, costs and responsibilities are spelled out
in the contract of sale, and resist the temptation to diverge
from the contract. For example, if the buyer requests a move-in
prior to closing, just say no. Now is not the time to take any
chances of the deal falling through.

9. Don’t move out before you sell.
Studies have shown that it is more difficult to sell a home that
is vacant because it looks forlorn, forgotten, simply not
appealing. It could even cost you thousands. If you move,
you’re also telling buyers that you have a new home and are
probably highly motivated to sell fast. This, of course, will
give them the advantage at the negotiating table.

------------------------------
-----------


Gabriel Purcarus
Adresz Elite
3295 Souvenir
Laval, QC, H7W 1A9
Phone: 514-998-7927
Fax: 450-472-7910
Website: ImmoGrandMontreal.com
Email: Info@ImmoGrandMontreal.com

Wednesday, March 10, 2010

Canadian Mortgage Broker News - Canadas mortgage market boring but effective: IMF

Canadian Mortgage Broker News - Canadas mortgage market boring but effective: IMF

Canada's mortgage market "boring but effective": IMF

| Wednesday, 10 March 2010


The Canadian residential mortgage market has been "boring, but effective" in recent years, according to International Monetary Fund economist John Kiff.

In a report released by the IMF - and referenced by the Globe and Mail yesterday - Kiff examines numerous nuances of the Canadian and American mortgage lending markets and concludes the two have noteworthy differences but remain competitive when it comes to rates and products.

"It's not hard to conclude that Canadian fixed-term rates on prime mortgage loans are quite competitive with their U.S. counterparts," he said.

One distinction noted in the report was that in Canada, the amount of mortgage-originating depository institutions has "increased significantly" while in the U.S., the deposit-taking institution share of residential mortgage loan holdings has dropped 75 per cent over the past 40 years. Kiff also pointed out Canada's percentage of securitized loans is less than half of the U.S.'s 60 per cent securitization rate.

In explaining why the U.S. foreclosure rate has gone up while the Canadian rate has not, the report said Canada's policy on mortgage insurance means that the full amount of the loan is covered as opposed to the U.S., where mortgage insurance only covers losses that exceed the LTV ceiling. Canadian lenders also have recourse to all the borrower's assets and income if their loan goes to foreclosure, whereas in the U.S., similar action is too expensive, impractical or legally impossible.

Another stabilizing factor for Canada, Kiff noted, was the option for borrowers to pick between weekly, biweekly, semimonthly, or monthly payment schedules, which he said have helped keep Canadian mortgage delinquency rates in check.

- Nick Lypaczewski

Canadian Mortgage Broker News - Mortgages help boost banks bottom line

Canadian Mortgage Broker News - Mortgages help boost banks bottom line


Mortgages help boost banks' bottom line

| Wednesday, 10 March 2010


Canada's banks have shown better-than-expected results in the first quarter of 2010, with reports pointing to mortgages as a profit-boosting factor.

The Financial Times said the "unexpectedly robust" first-quarter earnings - a combined net income of $5 billion among the top five banks - were due to an increase in mortgage lending and other domestic business. An example is Scotiabank, which said it has seen residential mortgages increase by $4 billion since October 2009. The bank saw a total net income of $988 million in the first quarter of 2010.

"This quarter's results benefited from growth in mortgages, lines of credit and personal deposits, in particular our high interest savings and chequing accounts," said Scotiabank president and CEO Rick Waugh in a statement. "The year-over-year increase also came from higher net interest income as margins improved."

Other banks that saw growth in retail business included Toronto-Dominion, which saw record earnings of $720 million in Q1, up 23 per cent from last year. The bank's real-estate secured lending and personal business deposits also saw particularly strong volumes. Bank of Montreal reported net income of $657 million, with over $400 million of that from Canadian personal and commercial banking, an increase of 28 per cent from a year ago.

Canadian Mortgage Broker News - Guidelines tightened for self-employed borrowers

Canadian Mortgage Broker News - Guidelines tightened for self-employed borrowers

Guidelines tightened for self-employed borrowers

| Tuesday, 9 March 2010


CMHC is tightening the criteria needed for self-employed borrowers to get mortgage insurance, changes that will come into effect on April 9, according to Canadian Mortgage Trends.

Borrowers who apply under CMHC's self-employed stated income product will need a 10 per cent down payment instead of the five per cent down payment now required. These borrowers will also only be able to refinance up to 85 per cent loan to value instead of 90 per cent.

Debbie Thomas, partner and broker of record at The Mortgage Group, recently told CMP she has noticed a trend of insurance guidelines tightening for self-employed borrowers, who often write off a large portion of their income for tax purposes.

"The whole issue of reasonability has now been forced back and self-employed deals that used to be approved are not even close to being approved today," said Thomas. "It hasn't been an announcement or anything that has come out from the lenders or insurers, but it's something we've definitely noticed."

Mortgage rate as of 10/03/2010

Our commitment:
* 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 PAP2.25 %1.85 %
1 year 4.35 %2.33 %
1 year open6.55 %6.45 %
2 years3.95 %2.95 %
3 years4.35 %3.25 %
4 years5.14 %3.69 %
5 years5.50 %3.79 %
6 years6.10 %4.69 %
7 years6.60 %4.95 %
9 years5.62 %5.32 %
10 years 6.95 %5.20 %
15 years9.55 %9.25 %
18 years9.55 %9.25 %
25 years9.65 %9.35 %


Posted by DataTracker Powered by CoolRent

Thursday, March 4, 2010

Canadian Mortgage Broker News - Vacancies rising in BC, but sales pick up in apartments

Canadian Mortgage Broker News - Vacancies rising in BC, but sales pick up in apartments

Vacancies rising in BC, but sales pick up in apartments

| Monday, 1 March 2010


Rising vacancy rates have been good news to renters in the British Columbia apartment market as new supply has come online.


But as prices adjust, sales activity in apartments has also begun to pick up, according to a report this week by Avison Young.


While vacancy rates are climbing, up as high as 8 per cent in Chilliwack, Avison Young says prices have stabilized and sellers have adjusted their expectations.


"As a result of the lower prices in certain submarkets, the bid-ask gap will likely continue to narrow, leading to more sales as effects of the global financial meltdown and U.S. credit crisis soften," says the Avison Young Multifamily Investment Report on BC.


Despite the BC-wide vacancy increases, Victoria's vacancy remains below 1.5 per cent, and Vancouver just above 2 per cent, according to the Canada Mortage and Housing Corp.


According to Businessweek Magazine, Vancouver faces $700 million in financing for the luxury condos used by Olympic athletes in February, and the city needs to sell 474 units for as much as $10 million each to recoup its lending. These condos overlooking False Creek could otherwise prove damaging to Vancouver's credit rating.


Similarly, Montreal's 1976 Olympics left Quebec with $1.5 billion of debt that took three decades to repay, says the magazine.

Canadian Mortgage Broker News - Canadian mortgage industry gets praise from southern neighbour

Canadian Mortgage Broker News - Canadian mortgage industry gets praise from southern neighbour

Canadian mortgage industry gets praise from southern neighbour

| Monday, 1 March 2010


A U.S. scholar recently has lavished praise on Canada's "marvelous" mortgage and banking system in an article published for the American Enterprise Institute.


Mark Perry, a visiting scholar at the institute, says Canada's system proved "more prudent, more resilient, and much less prone to excesses." He says examining the differences between the U.S. and Canada might lead to more insight as to how America's difficulties started and what reforms are necessary.


He outlines eight major advantages to Canada's system: full recourse mortgages, shorter-term fixed rates, mortgage insurance is more common in Canada, no tax deductibility of mortgage interest, higher repayment penalties, public policy differences on low-income housing, a more concentrated bank system, and a lower rate of loan originations.


"While Canada's banking system has promoted responsible borrowing and prudent lending and underwriting practices with little politically motivated interference, the U.S. banking system seems to have encouraged excessive lending to risky borrowers because of the political obsession with homeownership," Perry writes.

Canadian Mortgage Broker News - Credit report analyzer launches through MorWeb

Canadian Mortgage Broker News - Credit report analyzer launches through MorWeb

Credit report analyzer launches through MorWeb

| Wednesday, 3 March 2010


Montreal users - call 514.906.7785


Marlborough Stirling launched the anticipated American-made credit score analyzer Scoremaker to MorWeb users last night and said it's been met with a big response so far.

The tool allows brokers to run a client's credit report (Equifax only) through an analyzing system, which then gives them a preview on how to improve the score in both the short and long-term. If the broker wants more detailed instructions in how the client can up their score, they can purchase the report for $49.95.

"Most brokers are looking for a short-term solution for their clients and with this program they can have someone ready for a mortgage in 45 to 60 days," said Doug Mitchell of True Business Solutions, the company that brought the product to Canada.

After unforeseen delays in getting the product here last year, Mitchell says the Canadianized version is "very simplified" for users. Axiom mortgage broker Bob Woods has been testing the product for the past two weeks and says he has already gotten reports for 20 of his clients.

"There might not be an immediate fix for the client, but giving them a way to improve their credit score establishes a relationship and will hopefully lead to more mortgages," said Woods, who says he plans to charge clients $200 for the detailed Scoremaker report and refund them the $150 if they come back to him for a mortgage. "If I can show these clients how little actions can make such a difference, hopefully that behaviour will change once they see how it can impact them."


Montreal users - call 514.906.7785

Canadian Mortgage Broker News - Interest rate stays put as speculation continues

Canadian Mortgage Broker News - Interest rate stays put as speculation continues

Interest rate stays put as speculation continues

| Wednesday, 3 March 2010


The Bank of Canada's plan to maintain the key interest rate has been spot-on for the past 11 months, but there is speculation the trend could be ending soon.

"Based on what I'm reading now...the pendulum has swung in the direction that we'll probably see an increase in rates sooner than we originally thought," said Bruno Valko, a mortgage agent with Dominion Lending Centres in Kitchener, Ont. "Economics 101 in high school taught me if you print more money [you'll see] inflation. And if you have inflation, you're going to get an increase in rates."

Interest rates have been held at 0.25 per cent since April 2009, four per cent lower than they were in January 2008. The last time the central bank raised the overnight rate was July 2007.

"With rates as low as they are right now people are taking a hard look before they go out and either looking at getting a lower rate seeing if it's worth their while or getting their equity takeout now," said Mortgage Centre Canada broker Pam Gaunt, who is based in Saskatoon.

A release from the central bank reports the economy grew at an annual rate of five per cent in 2009's fourth quarter thanks to strong domestic spending, increased confidence and policy stimulus. The next interest rate announcement is April 20.

- Nick Lypaczewski

CAAMP Stats

CAAMP Stats

Bank of Canada Interest Rate

January 19, 2010 0.25%
March 2, 2010 0.25%*
April 20, 2010 Next meeting date

Source: Bank of Canada
*Bank of Canada statement included reference to hold rate to end of second quarter 2010

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Bank Prime Lending Rate

January 20, 2010 2.25%
March 3, 2010 2.25%
April 21, 2010 Next meeting date

Source: Bank of Canada

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US Federal Reserve Board Discount Rate

December 15, 2009 0.00% – 0.25%
January 27, 2010 0.00% – 0.25%
March 16, 2010 Next meeting date

Source: US Federal Reserve

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Exchange Rate $CDN($US)

January 27, 2010 0.9392
February 10, 2010 0.9407
February 26, 2010 0.9501

Source: Bank of Canada

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Government of Canada Bonds

Bond Type January 27,
2009
February 10,
2010
February 24, 2010
1 year Treasury Bill 0.56% 0.56% 0.62%
3 year Benchmark
Bond Yield
1.66% 1.65% 1.65%
5 year Benchmark
Bond Yield
2.46% 2.51% 2.54%
10 year Benchmark
Bond Yield
3.35% 3.43% 3.45%

Source: Bank of Canada

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Total New Housing Starts (Seasonable adjusted and annualized)

Province

November
2009

November
2008

December
2009

December
2008

January
2010

January
2009

Newfoundland/Labrador

3,300

2,700

3,800

4,000

3,600

3,600

PEI

1,100

800

1,000

900

700

600

Nova Scotia

2,800

3,600

3,000

3,000

2,700

2,800

New Brunswick

3,600

3,900

3,200

3,000

5,200

3,800

Quebec

46,500

48,200

52,100

44,000

55,400

45,300

Ontario

55,800

58,300

54,500

66,100

55,500

54,700

Manitoba

4,300

5,900

3,300

6,400

5,100

3,600

Saskatchewan

7,600

5,700

4,300

4,700

6,300

3,800

Alberta

30,200

20,400

27,300

20,000

23,600

17,200

British Columbia

20,400

22,400

23,000

23,100

27,500

18,100

Canada

175,600

172,000

175,500

172,200

185,600

153,500

Source: CMHC Housing Now – December 2009 and December 2008.
This seasonally adjusted data goes through stages of revision at different times of the year.

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Average MLS resale price for local markets

City January 2009 January 2010
Halifax $242,861 $241,968
Saint John $155,520 $163,824
Quebec $202,977 $229,875
Montreal $256,432 $283,890
Ottawa $290,930 $323,762
Toronto $343,632 $409,058
Hamilton/Burlington $264,549 $288,397
Winnipeg $177,718 $206,454
Saskatoon $278,545 $270,191
Calgary $362,143 $382,009
Edmonton $317,049 $314,783
Vancouver $536,162 $637,637
Victoria $431,312 $509,514

Source: Canadian Real Estate Association

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Source: TD Economics February 2010