Wisdom from Kevin O’Leary, interst rates increases and housing demand
Kevin O’Leary – AKA Mr. Wonderful and self-proclaimed star of Dragon’s Den and Shark Tank – was speaking at our real estate conference yesterday. Surprisingly, he also used to be a professor at Ryerson’s School of Business so he does know more about what he is talking about then you would expect he does.
Alternative Canadian Mortgage Lenders
THE ALTERNATIVE LENDING MARKET IS GROWING!
According to data compiled by CIBC World Markets (based on Statistics Canada figures), the value of loans from alternative lenders has increased by 25% this past year. In comparison, the overall growth in the mortgage market for 2014 was 4%.
Oil Price & Mortgage Interest Rates
This is an easy way to see the relationship between oil prices and mortgage interest rates.
Mark Herman, Top Calgary Alberta mortgage broker.
The path between the price of oil and the cost of your mortgage may seem long and winding and hard to follow, but it does exist.
What the B of C says about housing prices …
The Bank of Canada (BoC) and the Economist say that Canadian housing is over valued 10% – 20%
Just days after the BoC’s highly qualified pronouncements Moody’s Analytics – an organization that some people find less than credible than the BoC – said maybe current prices can be justified by ‘structural changes’ in the market.
Payout Penalties and the Bank’s new(er) trick
PAYOUT PENALTIES:
Short Version:
Broker only lenders – the top 3 broker-only lenders are bigger than any of the banks in Canada – do not have POSTED rates like the banks do. They do not then give discounts off of posted to keep you happy. They have 1 rate and that is the rate you get which is usually always lower than the bank rates.
Retail Sales: Alberta spends the most
“More support of Calgary and Alberta home prices; the high-value jobs in Calgary pay more and the 40,000 people a year that move to Alberta are spending that money. The numbers are mind blowing.”
Mark Herman; Calgary, Alberta mortgage broker
Jonathan Muma Nov 25, 2014 10:25:24 AM
Albertans love to shop.
That’s according to the latest report from Statistics Canada which shows retail sales are up $6.7-billion, or 7.4 % from a year ago through the first nine months of this year.
That’s the highest annual growth rate in the country.
YYZ & YVR homes: more expensive than Rome, closing in on Paris!
This is some interesting data on the housing market in Vancouver and Toronto from one of the banks we deal with.
Mark Herman; Calgary, Alberta mortgage broker
—
Canadian home prices really are “world class”, at least in the country’s two hottest markets.
A survey shows the price for prime residential property Toronto and Vancouver has surpassed Rome and is closing in on Paris. Vancouver is at nearly $1,400 a square foot and Toronto is a little above $1,200. (Top spot is London at more than $3,600/sq. ft.)
Tricky changes to the mortge rules
Here is one of the changes of the mortgage rules that is now in effect – called the B21 Rules.
It will be sure to cause surprise for some customers that have large Line of Credits – LOCs
How the banks are now calculating monthly payments for secured lines of credit:
Downtown living the ‘new normal’
This is more support for central/ down town condos in Calgary supporting their prices as more people move to the core to avoid the commute.
Mark Herman, Calgary Alberta mortgage broker
Downtown living the ‘new normal,’ report says
Employers move to urban cores to attract qualified workers, retail follows.
Homeowners choosing urban living over suburbia is a key trend in Canada’s real estate market and is helping drive both retail and commercial development in city cores, according to a report. …
Interest rates expected to go up October 2015 says Bank of Canada
The Bank of Canada has updated when they plan to increase rates again … about a year from now – so next October? Expect rates to go up 1% then.
Mark Herman, top Calgary, Alberta mortgage broker