February 9th, 2016 Mortgage Industry Update
The Bank of Canada announced on January 20th that it’s overnight lending rate will remain at 0.50%. The prime rate remains at 2.70%. Additionally, almost all fixed rates have climbed and stabilized, as compared to the end of 2015.
Additionally this week:
– CMHC Chief Economist: Housing starts down in January 2016 as compared to December 2015, with the exception of Ontario.
– TREB: Sales of homes in GTA increased by 8.2% in January compared to a year earlier, 4,672 sales through MLS, price up 11.2%. The average price in the city of Toronto last month was $636,728. Average price for detached home increased by 11.6% to $1,061,789; the average semi-detached increased 12.8% to $515,024.
– San Francisco Credit Union now offering 100% financing to combat homebuyers paying extremely high rents.
– Statistics Canada: Real GDP rose only by 0.3 per cent on a month over month basis last November.
– CMHC report: Calgary and several other cities exhibited “strong” evidence of problems in the real estate sector; mainly due to overbuilding.
– A few rate changes:
Home Trust increases their 5 year fixed promotional mortgage rate to 2.69%.
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.Share this post on: Connect with us on: