May 2nd Mortgage Industry Update
May 2nd, 2017 Mortgage Industry Update
The Bank of Canada announced on April 12th that it’s overnight lending rate will remain at 0.50%. The prime rate remains at 2.70%. Both fixed and variable rates are generally stable within the market at this point in time.
Additionally this week:
– CMHC’s latest Housing Market Assessment: 6 of the 15 metros assessed show evidence of overvaluation, down from 8 in its previous report.
– Toronto real estate lawyer: Over $1B from investors have been lost in syndicated mortgages across Ontario. Investors practice due diligence!
– Latest numbers from BILD: New low-rise homes in Toronto cost an average of $1,124,600 in March, representing a 32.4% year-over-year increase.
– Centre for Urban Research & Land Development at Ryerson University: Solution to affordability issue in GTA housing market is increase supply.
– Victoria has asked BC government to allow them to tax some foreign buyers 15% just like mainland, also to implement vacant homes tax.
– BILD: Only 10,153 homes available to buyers in builder inventories. Almost 50% drop from March 2016, when there were 21,006 homes available.
Stay tuned for the next update!
For any questions and concerns please do not hesitate to call Harpreet Singh The Mortgage King at (416) 795-1919.