Holiday Alert: Most Ontario, Alberta, and Saskatchewan lenders and planners are closed Monday Feb. 18 for Family Day.
Don’t fret says the Gazette. The U.S. downturn hasn’t brought down Canada’s economy yet. Our housing starts and employment gains are strong once again. Moreover, Canadian wages are rising almost 5% annually, double the rate of inflation. Some feel this lowers the odds of significant rate cuts in coming months.
“The ongoing dramatic reduction in the fed funds rate will probably work to shorten the duration of the (U.S.) recession–if we are already in one. But it will also plant inflationary seeds for 2009. So if the story of 2008 is subprime and a recession, the story of 2009 will be inflation and rising interest rates.” — CIBC’s Benjamin Tal
Non-bank lenders have been inching down their fixed rates ever so slowly over the last week or so. For the most part, variable rate discounts are stuck where they’ve been for weeks.
Realtor Dorothy Wong says Toronto’s new land transfer tax is to Toronto homebuyers what cigarette tax is to smokers. Smokers keep smoking and Toronto homebuyers will keep buying.
Canadian Money Advisor is doing a free 1-hour teleseminar with Gail Vaz-Oxlade of the TV show Til Debt Do Us Part.
Home Trust has a 1-year mortgage at 4.99%. The downside is they charge a 2.5% lender fee and it only goes to 80% loan-to-value (plus a 5% LTV VISA at 8.99% interest). The lender fee applies again if you renew after a year, so this is primarily a one-year solution.
Xceed is letting go of 26 employees, 18% of it’s staff. The goal is to save $2 million a year. Their press release says, “Xceed thanks the departing employees for their contributions.”
ICICI Bank is hiring a new Mortgage manager to help launch a broker channel and boost branch originations. ICICI is known for deep discount rates so their entry into the broker channel could heat up competition.