Toronto home prices “push the boundary”: BNN

Jeff Evans
Vancouver house prices
By: JamesZ_Flickr

There is a video on the BNN website in which they interview an economist with Mortgage Brokers Canada.  He talks about the hot housing market in Toronto (which is the second hottest home market in Canada to Vancouver) among other things.  One of the primary aspects of the hot market that he talks about is that low interest rates are driving price increases.  The foreign ownership issue is raised and he stated even 5% of buyers being foreign buyers would affect the market significantly also.  (I suspect that the number is much higher, but no one has firm data on this.)Read More

Watch out for the wolves!

I was meeting with my business development manager for Canadian Home Income Plan (CHIP) about their reverse mortgage product today, and he shared with me an experience with a client of his bank that is at once shocking but also, unfortunately, not uncommon.

There is a private mortgage lender who advertises on the radio that did a mortgage for a client who was terminal with cancer.  The mortgage amount was $500,000.  Do you know how much the fees were?  $65,000!  That is insane!  CHIP was able to take care of him in a way that he could enjoy his remaining days with his family in comfort, and provided a much more fair solution, but that is not really the point of the story.  It is technically legal to charge those kinds of fees, but it does not make it fair, equitable or correct.Read More