Mortgage Logic

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Bank of Canada Holds On Key Overnight Lending Rate and Continues With Large Scale Asset Purchases

Earlier today, the Bank of Canada (BoC) made its eighth interest rate decision of the year. In a normal year there are eight interest rate announcements in total but this is far from a normal year, and there will likely be ten announcements. The news is generally positive, considering we are in the midst of …

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Good News, CMHC Competitors Decide Not to Tighten Rules, Maintain Home Shopping Affordability

In a news releases today Genworth Canada and Canada Guaranty have both confirmed that they will not follow suit with Canada’s main mortgage insurer, CMHC, in tightening lending guidelines for mortgages. Genworth MI Canada Inc. (TSX: MIC) said: “it has no plans to change its underwriting policy related to debt service ratio limits, minimum credit …

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Canada’s Mortgage Insurer Tightens Rules Effective July 1

Not good news. This will definitely contribute to retracting the housing market and lowering consumer affordability. Ottawa still believes that there is a housing bubble. We believe that this is being heavily influenced by the pandemic support handouts and the extra debt & risk that will result for the federal government because of it. They …

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BoC Bank Rate Announcement – Wednesday June 3rd, Tiff’s first

Today, Wednesday June 3rd, the Bank of Canada (BoC) made its sixth interest rate announcement this year, the first under its newly appointed Governor Tiff Macklem. The BoC has repeatedly stated that it has no intention of reducing the rate below its where it is at currently: 0.25%. The BoC did state that the impact …

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Bank of Canada Regularly Scheduled Rate Announcement Today – April 15, 2020

Today was a regularly scheduled announcement date for the Bank of Canada (BoC). After an unprecedented month of March when the BoC chopped their key rate three separate times for a total decrease of 1.5%, there was no change in their key rate today. The BoC press release today was very important and I encourage …

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Unscheduled Bank of Canada Rate Cut – Response to Covid-19 Pandemic, March 13, 2020

The Bank of Canada (BoC) just announced an unscheduled Key Rate cut of 0.5% (one half of one percent) in response to the anticipated drag on the economy that will be caused by the Corona Virus (Covid-19). This should immediately affect major FI’s (financial institutions’) Prime rate(s) of interest offered for lending purposes. The new …

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Minister Morneau announces new benchmark rate for qualifying insured mortgages

February 18, 2020 – Ottawa, Ontario – Department of Finance Canada For many Canadians, their home is the most important investment they will make in their lifetime. That is why the Government of Canada has introduced measures to help more Canadians achieve their housing needs while also taking measured actions to contain risks in the …

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