#1 Mortgage Rate SPECIAL in Canada ⚡

The Scotia 30 day Quick Close Special is the #1 hit with all the brokers across Canada.This is a limited time offer. It could end without warning sooner than Sept 30 – from what we see, it may.

Rates
3.69%, 3-year fixed, insured (less than 20% down)
3.99%, 3-year fixed, > 20% down payment (conventional)

  • These are both close to 0.75% below market rates right now.

Details
Application intake ends Sept 30, 2025
Must close/ possession in less than 30 days of application submission.
Purchase, refi or switch lenders on renewal for better deal.

This is a STEP – Scotia Total Equity Program – the one they advertise on TV

  • Buyers need to qualify at a slightly higher “stress test rate” so this may not be for all buyers, but we will do the math to see!
  • Mortgage payments must out of Scotia bank account
    • And customers must have 1 additional product
    • Our trick: could be as easy as adding an overdraft, fee is $5/ month
  • And if the buyer has rentals, they use a smaller rental offset at 50%, not 80%, or 100% that a few other lenders use.

Background
The program was intended for brokers who are being undercut by a Big-6 bank as the Big-6’s rates are very sharp right now due to the 1,300,000 mortgage renewals this year.

  • Brokers are expected to have the docs needed in hand and be in the middle of a live deal … which is why there are lots of “details” that are added to this special.

Our Take
Fantastic rate at o.75% BELOW MARKET if it is possible to get possession in 30 days or less.
We are doing a few right now. Everyone is happy and husslin.

NEXT STEPS
As always… for you and your customers I answer from 9-9 x 365, am in the office from 10 – 7 weekdays, best time to call is between 11 am to 3 pm.
Especially for these deals, as we need to get on them quickly.

MORE RATE DATA

Rate Summary & Strategy Breakdown:
→ Buying Soon? Fixed rates are creeping up. If your budget is tight or you want payment stability, consider locking in a five-year term. There’s solid value there today.

→ Coming Up for Renewal? Now’s the time to run the numbers. Even if your lender offers you what seems like a “competitive” rate, we’re seeing big differences between institutions. It could cost you thousands not to shop around.

→ Holding a Variable Rate? If you’re still comfortable with some short-term rate fluctuations, staying put might remain the cheapest long-term option—but the payoff likely won’t be immediate. Make sure your budget has some buffer.

→ Thinking Big Picture? There are strategies that can turn your mortgage interest into a tax-deductible expense—though they’re not for the faint of heart. If you’re serious about building wealth through real estate or investments, let’s chat about how advanced structures like “The Smith Manoeuvre” might fit into your broader plan.

Tip of the Week:
Don’t fixate only on the rate. As mortgage rates fluctuate, now more than ever it’s crucial to understand the terms behind the number. Prepayment penalties, portability options, refinance flexibility—these can have a significantly bigger financial impact than a minor rate difference.

More Rate Details: What Is going on with Canadian mortgages

Because Canadian fixed mortgage rates are largely priced off Government of Canada (GoC) bond yields, the uptick in U.S. bond yields flowed straight into ours, pushing fixed rates higher across the board here at home.

At this point, the lowest available three- and five-year fixed rates are sitting at roughly the same level. That makes five-year terms especially attractive right now—you get more rate stability with no premium. And while variable rates haven’t moved, they remain a long-game strategy that requires some comfort with uncertainty.

Variable mortgage rates are still likely to beat fixed over a full term—but only for borrowers who can stomach a bit more movement along the way. The Bank of Canada is now pegged by markets to cut rates later than originally expected, with just a 35% chance of a cut at the next meeting. Yikes.  Before Trump was elected we expected 4x o.25% cuts, and there has been none due to the tariff threat.

Insured Refinance when funds are used to build a legal suite!

What if your home could help pay for itself?

We have an exclusive lending program that allows homeowners to refinance their mortgage and add a legal rental suite—all in one step.

Here’s why this is a game-changer:

  • ✅ Borrow against your home’s future value (“as improved value”)
  • ✅ Finance up to 90% of the as-improved value (maximum $2M)
  • ✅ Rental income from the new suite can be used to help qualify
  • ✅ Options for up to a 30-year amortization to keep payments affordable
  • ✅ Consolidate existing debt into your new insured mortgage

This program is designed specifically to help Canadians:

  • Convert underutilized space into a legal rental suite
  • Boost property value while creating a new income stream
  • Contribute to housing availability in the community

Because this is a specialized product, it’s not available everywhere—only through select mortgage professionals like me.

If you’ve been considering adding a suite to your home, this could be the perfect time.

Call to learn how this program can work for you.

Its true, you can GET BEST RATES when you refinance / remortgage and use the funds  to build a suite

This is the best way to put your home to work for you.

Mortgage Mark Herman, Best Calgary mortgage broker specializing in refi+renos

How to Buy a Home in Alberta with Poly B Plumbing

Are you trying/ looking to buy a home in Alberta with Poly B plumbing?

We just completed financing on a purchase in Calgary with Poly-B throughout the home AND we managed to INCLUDE the cost to replace it it all into the mortgage too!!

Mortgage Mark Herman, best Calgary Alberta mortgage broker near me.

Action Steps

Please reach out if you would like to talk about:

  1. The contact for the home/fire insurance company that INCLUDES Poly B, with full replacement value of the home, as required
  2. Buying a home / getting a mortgage that needs Poly B replacement.
  3. Adding/ including the cost of a renovation into your mortgage on purchase, or on renewal, or at any time.

Summary

Homes with Poly B are priced lower accordingly due to the difficulty of getting home/fire insurance BUT there is some “good uplift to the value” if it can be fixed.

It was a rough ride but now that we have all the pieces in place, the next ones will be easier.

2 extra moving parts to a normal deal:

  1. Getting the quote for the replacement of the Poly B for the entire home, from a company that will do it.
  2. Hardest part was getting the home/fire insurance to cover 100% of the home replacement cost.

Below is the wording in the mortgage approval that came back to us on what it had to include from the mortgage lender:

  • *Copy of home insurance policy – need receipt of valid fire insurance particulars for the subject property.
  • **Coverage must include full replacement cost of Poly B for single family dwelling
  • *** Require full disclosure to insurance provider that home contains Poly B Plumbing and endorsement.

Tricks

Sometimes the insurance companies will only cover it for 30 – 60- or 90 days; until the work is completed. Then they go back to a normal policy at normal rates. If that is the case then the bank adds this clause:

  • It must be noted that Poly B will be replaced within “x” amount of days.
    • (This is usually whatever the contractors timeline to having the work done is the “x-days”)

Adding the cost of the reno into the mortgage – our specialty for the last 20 years.

We have a fantastic “Perfect Home Mortgage” that allows you to add up to $40,000 easily, or with some difficulty (more questions and paperwork) up to $100,000 in renos to the mortgage.

Essentially, 1 quote is needed for the work being done, then bank send the funds for the home, and the reno to the lawyer. When the work is 100.000% complete we order an inspection of the work, and the the lawyer pays the company for the work. this usually has to be completed in 90 days.

Below is the wording from the bank for this:

  • Please ensure the client knows there will be a holdback at the lawyers for the full cost of the Poly B improvement.
  • It is the buyer’s responsibility to make arrangements with the contractor to either pay them direct or have lawyer directed funds once completed.
  • It is a condition that an appraiser inspects and confirms the work done prior to funds being released and the cost of the inspection is paid by buyer.

 

ENDING…

Is this for you? Are you ready for the ride?

 

* Poly B, or polybutylene, is a type of plastic plumbing pipe that was commonly used in residential plumbing systems from the mid-1970s to the mid-1990s. It was initially favored for its low cost and ease of installation, but it has since been identified as a material prone to leaks and failures.

Canadian Mortgage with American Income, 2025

Yes, that headline is true!!

August 15, 2025

 

We finally have an “A lender” in the Canadian mortgage broker space that will allow a buyer’s USA/ American income to be used.

Quick summary of the details.

  • 30% down
  • 80% of USA salary to be used, income based on USA tax docs
  • Almost any standard residential property in Canada
  • “A lender,” at A rates, no lender fee, no broker fee, underwritten the same as all Canadian mortgages
  • No funny business here. This is a normal mortgage, that you would want. The same as what expect from any of the Big-6 banks in Canada.

For more data or to ask about a deal, contact Mortgage Mark Herman, on his cell phone. He usually answers his own phone; from 9 am to 9 pm MST daily.

 

Data points below summarize key criteria and parameters for an “A-lender” in the Canadian mortgage broker channel that accepts US income.


Borrower Eligibility

  • Citizenship: any (US, Canadian, or other)
  • Canadian residency: no minimum length of stay required
  • Tax history: two consecutive years of US tax filings (no CRA filings needed – its true!)

Income Documentation

  • W-2 forms (equivalent to Canadian T4 slips)
  • IRS Form 1040 (equivalent to Canadian T1 returns)
  • US Tax Return Transcripts or Notices of Assessment (NOA – Notice of Assessment)
  • All documents must cover the most recent two-year period

Income & Loan Parameters

  • Income recognized: up to 80% of gross US salary
  • Income types accepted: salary only (sorry, the bank can’t use fee-for-service, or self-employed/ BFS income)
  • Maximum loan-to-value ratio (LTV): 70%, means 30% down payment
  • Credit underwriting conforms to Canadian mortgage regulations

Property Types

  • Primary residence
  • 2nd home / Secondary or vacation home and even…
  • Rental or investment property

Notes

  • No requirement for employer size, industry, or Canadian work history
  • Simplified process: bypass CRA income filings entirely
  • Ideal for US-based clients relocating, investing, or holding dual residences

 

We used to run into a few of these deals ever year, and now we see one every month so we found a lender that can do this business for our realtor partners.

The buyers only need 30% down, and the bank will use 80% of their USA salary as the income.

Mark Herman, top Calgary Alberta and Vancouver Island mortgage broker

 

Canadian Residential Market Update

The Canadian economy continues to keep policymakers at the Bank of Canada guessing.  The key contributor to the quandary continues to be U.S. tariffs, and that puzzle has just become even more complicated.
Fixed rates are slowly rising due to Trump’s inflationary policies and we see that continuing until tariffs are sorted out.
In the mean time, now is a great time to buy as inventory is high and rates are only .4% above where they were before Covid.
Mortgage Mark Herman, Top Calgary mortgage broker specializing in 1st time buyers.
As of August first, the U.S. increased its tariff rate on imported Canadian goods to 35%, up from 25%, except for products covered by the CUSMA trade deal.  What that means remains to be seen, but any economic slowdown, inflation or unemployment triggered by the increase will figure into the BoC’s decision-making on its policy rate.
In the meantime, the Bank is monitoring a Canadian economy that has been remarkably resilient in the face of the tariff upheaval, so far.
The Bank of Canada once again held its benchmark, overnight policy rate steady at 2.75%, where it has been since the March setting.  The latest decision follows an increase in the June inflation reading from 1.7% to 1.9%, while core inflation remains stuck at about 3.0%. There was also a surprisingly strong employment report in June, with the economy creating 83,000 new jobs.  As well, expectations for Canada’s gross domestic product remain optimistic.
The latest report from Statistics Canada – which came out after the rate setting – shows GDP dropped 0.1% in May, as it did in April.  But, StatsCan’s early forecast for June suggests an increase and, as a result, GDP growth of 0.1% for the second quarter of 2025.
Market watchers say new data, coming this month, will give the BoC a clearer and truer view of the Canadian economy.  For those who are waiting for further interest rate relief, many of the experts say it will be September, or even October, before the Bank makes another move.

Bank of Canada keeps interest rate policy unchanged for July 2025

The Bank of Canada announced today that it is keeping its benchmark interest rate at 2.75%.

This was widely expected and reflects the Bank’s expert interpretation of current macroeconomic data, including inflation.

Mark Herman, best Calgary mortgage broker for first time buyers.

The Bank’s observations are summarized with our outlook below.

Canadian Economic Performance and Employment

  • In Canada, US tariffs are disrupting trade but overall, the economy is showing some resilience so far
  • After robust growth in the first quarter of 2025 due to a pull-forward in exports to get ahead of tariffs, Canadian GDP likely declined by about 1.5% in the second quarter, a contraction mostly due to a sharp reversal in exports following the pull-forward, as well as lower US demand for Canadian goods due to tariffs
    Growth in business and household spending is being restrained by uncertainty
    Labour market conditions have weakened in sectors affected by trade, but employment has held up in other parts of the economy
    The unemployment rate has moved up gradually since the beginning of the year to 6.9% in June and wage growth has continued to ease
    A number of economic indicators suggest excess supply in the economy has increased since January

Canadian Inflation and Shelter Prices

  • Inflation measured by the Consumer Price Index (CPI) was 1.9% in June, up slightly from the previous month.
  • Excluding taxes, inflation rose to 2.5% in June, up from around 2% in the second half of last year, largely reflecting an increase in non-energy goods prices
    High shelter price inflation remains the main contributor to overall inflation, but it continues to ease
    Based on a range of indicators, underlying inflation is assessed to be around 2½%.

Global Economic Performance, Bond Yields and F/X

  • While US tariffs have created volatility in global trade, the global economy has been reasonably resilient
    In the United States, the pace of growth moderated in the first half of 2025, but the labour market has remained solid
    US CPI inflation “ticked up” in June with some evidence that tariffs are starting to be passed on to consumer prices
    The euro area economy grew modestly in the first half of the year
    In China, the decline in exports to the United States has been largely offset by an increase in exports to the rest of the world
    Global oil prices are close to their levels in April despite some volatility
    Global equity markets have risen, and corporate credit spreads have narrowed
    Longer-term government bond yields have moved up
    Canada’s exchange rate has appreciated against a broadly weaker US dollar

No GDP Projections in July Monetary Policy Report

While some elements of US trade policy have started to become “more concrete” in recent weeks, the Bank notes that trade negotiations are fluid, threats of new sectoral tariffs continue, and US trade actions remain unpredictable.

Against this backdrop, the Bank’s July Monetary Policy Report does not present conventional base case projections for GDP growth and inflation in Canada and globally. Instead, the Report presents a current tariff scenario based on tariffs in place or agreed as of July 27, and two alternative scenarios—one with an escalation and another with a de-escalation of tariffs.

Modest Growth Outlook

The Bank notes that the current tariff scenario has global growth slowing modestly to around 2.5% by the end of 2025 before returning to “around 3%” over 2026 and 2027.

The Bank further postulates that in the current tariff scenario, after contracting in the second quarter, GDP growth picks up to about 1% in the second half of this year as exports stabilize and household spending increases gradually. In this scenario, economic slack persists in 2026 and diminishes as growth picks up to close to 2% in 2027. In the de-escalation scenario, economic growth rebounds faster, while in the escalation scenario, the economy contracts through the rest of this year.

In the current tariff scenario, the Bank would expect total inflation to stay close to 2% over the scenario horizon as the upward and downward pressures on inflation roughly offset. However, it notes there are risks around this inflation scenario. As the alternative scenarios illustrate, lower tariffs would reduce the direct upward pressure on inflation and higher tariffs would increase it. In addition, many businesses are reporting costs related to sourcing new suppliers and developing new markets. These costs could add upward pressure to consumer prices.

With still high uncertainty, the Canadian economy showing some resilience, and ongoing pressures on underlying inflation, the Bank’s Governing Council decided to hold the policy interest rate unchanged.

It offered that it will continue to assess the timing and strength of both the downward pressures on inflation from a weaker economy and the upward pressures on inflation from higher costs related to tariffs and the reconfiguration of trade. If a weakening economy puts further downward pressure on inflation and the upward price pressures from the trade disruptions are contained, the Bank offered that “there may be a need for a reduction in the policy interest rate.”

Final comments

Governing Council added that it is proceeding carefully, with particular attention to the risks and uncertainties facing the Canadian economy. These include: the extent to which higher US tariffs reduce demand for Canadian exports; how much this spills over into business investment, employment and household spending; how much and how quickly cost increases from tariffs and trade disruptions are passed on to consumer prices; and how inflation expectations evolve.

I added: “We are focused on ensuring that Canadians continue to have confidence in price stability through this period of global upheaval. We will support economic growth while ensuring inflation remains well controlled.”

Next scheduled BoC rate announcement

The Bank is scheduled to make its next scheduled policy interest rate decision of 2025 on September 17th.

Probably the end of Mortgage Rate Reductions for Canada

Expert opinions on Bank of Canada interest rate cuts are shifting. A growing number of market watchers are backing away from their predictions of two more reductions this year. Several are now saying the Bank has likely reached the end of the current trimming cycle.

Back in April we said that Prime is probably going to stay where it is now; discounting the expected 4 more reduction to 0.

that looks to have come true.

5-year fixed is the way to go to side-step all the world’s recent happenings .

Mortgage Mark Herman, best Calgary mortgage broker near me.

 

The central bank held its trend-setting Policy Rate at 2.75% for a second time in its decision on June 4. Since then, inflation numbers and Gross Domestic Product readings have given the BoC reasonable grounds to stand pat.

Statistics Canada’s latest figures for GDP show it declined by 0.1% in April compared to March. Much of that decline was led by the manufacturing sector, which is falling victim to U.S. tariffs and trade uncertainty. A similar reduction is forecast for May. While many economists admit the slowdown shows the economy is softening, they say it is not on the verge of collapse. GDP is 1.3% higher that it was a year earlier.

The other key factor in the Bank’s rate decisions, inflation, held steady at 1.7% in May. That headline number is actually below the Bank’s target of 2.0% and would normally suggest there is room for a further rate cut. However, that is a little deceiving.

Headline inflation (aka the Consumer Price Index) continued to be skewed by the elimination of the consumer carbon tax. As well, core inflation, which is the BoC’s preferred measure, remains stuck at 3.0%, which is the high end of the Bank’s desired inflation range.

The Bank finds itself trying to balance economic growth against the risk of rising inflation. The Bank’s next interest rate announcement is set for July 30.

Canadian Mortgage Economic Data, June 4th, 2025

The Bank of Canada announced today that it is keeping its benchmark interest rate at 2.75%, unchanged from April (and March) of 2025.

As noted under “Rationale”, the Bank appears to be in a holding pattern until it gains more information on the direction of US trade policy and its impact on Canada.

Below, is a summary of the Bank’s observations and its outlook.

Summary – the 5-year fixed is the best option for June 2025 and July 2025 so far. ensure you get a rate hold are rates are creeping up.

Mortgage Mark Herman, top Calgary Mortgage Broker for First Time Buyers

Canadian Economic Performance, Housing, Employment and Outlook

  • Economic growth in the first quarter came in at 2.2%, slightly stronger than the Bank had forecast, while the composition of GDP growth was largely as expected
  • The pull-forward of exports to the United States and inventory accumulation boosted activity, with final domestic demand “roughly flat”
  • Strong spending on machinery and equipment held up growth in business investment by more than expected
  • Consumption slowed from its very strong fourth-quarter pace, but continued to grow despite “a large drop” in consumer confidence
  • Housing activity was down, driven by a sharp contraction in resales; government spending also declined
  • The labour market has weakened, particularly in trade-intensive sectors, and unemployment has risen to 6.9%
  • The economy is expected to be considerably weaker in the second quarter, with strength in exports and inventories reversing and final domestic demand remaining subdued

Canadian Inflation

  • Inflation eased to 1.7% in April, with the elimination of the federal consumer carbon tax shaving 0.6 percentage points off the Consumer Price Index
  • Excluding taxes, inflation rose 2.3% in April, slightly stronger than the Bank had expected
  • The Bank’s preferred measures of core inflation, as well as other measures of underlying inflation, moved up
  • Recent surveys indicate that households continue to expect that tariffs will raise prices and many businesses say they intend to pass on the costs of higher tariffs
  • The Bank will be watching all of these indicators closely to gauge how inflationary pressures are evolving

Global Economic Performance

  • While the global economy has shown resilience in recent months, this partly reflects a temporary surge in activity to get ahead of tariffs
  • In the United States, domestic demand remained relatively strong but higher imports pulled down first-quarter GDP
  • US inflation has ticked down but remains above 2%, with the price effects of tariffs still to come
  • In Europe, economic growth has been supported by exports, while defence spending is set to increase
  • China’s economy has slowed as the effects of past fiscal support fade; more recently, high tariffs have begun to curtail Chinese exports to the US
  • Since financial market turmoil in April, risk assets have largely recovered and volatility has diminished, although markets remain sensitive to US policy announcements
  • Oil prices have fluctuated but remain close to their levels at the time of the April Monetary Policy Report

Rationale

With uncertainty about US tariffs still high, the Canadian economy softer but not sharply weaker, and some unexpected firmness in recent inflation data, the Bank’s Governing Council decided to hold the policy rate steady “as we gain more information on US trade policy and its impacts.

Looking Ahead: Uncertainty Remains High

The Bank noted that since its April Monetary Policy Report, the US administration has continued to increase and decrease various tariffs. China and the United States have stepped back from extremely high tariffs and bilateral trade negotiations have begun with a number of countries. However, the Bank said the outcomes of these negotiations “are highly uncertain,” tariff rates are well above their levels at the beginning of 2025, and new trade actions are still being threatened. Uncertainty remains high.

As a result, the Bank says it is proceeding carefully, with particular attention to the risks and uncertainties facing the Canadian economy. These include: the extent to which higher US tariffs reduce demand for Canadian exports; how much this spills over into business investment, employment and household spending; how much and how quickly cost increases are passed on to consumer prices; and how inflation expectations evolve.

Final comments

Today’s announcement ended with the following statement from the Bank’s Governing Council: “We are focused on ensuring that Canadians continue to have confidence in price stability through this period of global upheaval. We will support economic growth while ensuring inflation remains well controlled.”

Next scheduled BoC rate announcement

The Bank is scheduled to make its fifth policy interest rate decision of 2025 on July 9th.

GST Rebate for 1st Time Home Buyers

We have had lots of questions about this proram.

The legislation has been tabled, but is not done yet. As of today, and it is for contracts written May 27, 2025 or later.

https://www.canada.ca/en/department-finance/news/2025/05/gst-relief-for-first-time-home-buyers-on-new-homes-valued-up-to-15-million.html

Updates as they come in.

We have a 4-plex buyer who is purchasing a newly constructed 4-plex in Calgary at $1,250,000. His rebate is about 60k – now that is now pretty substantial!

Mortgage Mark Herman, 1st time buyer and move up mortgage specialist in Calgary Alberta.

BMO & CIBC: Not on list of Top-11 banks in Canada

Wow hey??

Who would guess that 2 of Big-6 banks that millions of Canadians “think they have a financial relationship with” did not even make the list of the Top-11 banks in Canada.

It is surprising the amount of customers that call us looking to “beat their bank’s mortgage rate” when they should be looking at if they should even be doing mortgage business at their main personal bank. 

Mortgage Mark Herman, Calgary Alberta new home buyer and mortgage renewal specialist of 21 years.

We recommend that they also look at the T’s & C’s – Terms and Conditions – to their own bank’s mortgages to find:

  • Payout penalties that are 500% to 800% – yes, 5x to 8x the amount of payout penalties at broker banks.
  • Their renewal rates are usually always at rates higher than what Broker Banks offer – because Broker Banks know the broker that placed you there will jump at the chance to move them to a different bank, for a better/ market rate, and then we get paid again. Big-6 banks don’t have to worry about that because you are usually not aware of market rates.
  • SELF-employed mortgage holders are often “worked over by the Big-6 banks” whereas, Broker Banks are more than happy doing tons for self-employed business owners.

Here’s the full list of Canada’s best banks for 2025, according to Forbes:

  1. Tangerine
  2. Simplii Financial
  3. RBC
  4. PC Financial
  5. Vancity
  6. EQ Bank
  7. TD
  8. Scotiabank
  9. National Bank
  10. Desjardins
  11. ATB Financial

footnote: link action here https://www.narcity.com/best-banks-in-canada-forbes-2025