Invis on the Peninsula Announces
Prime remains at 4.75%
Surrey, BC - July 15, 2008 - With inflation fears from food & energy pricing being offset by a lagging Canadian economy, the BoC's hands are tied. Little will change for the next 18 - 24 months as the US's recession continues to worsen. Rates are still likely to stay low and will continue that way well into 2009.
While this is great news for those of you floating with a variable currently, for those who are in a fixed rate now may be the perfect time to make a move and break your current term. With Fixed rates staying stubbornly in the mid 5s and above, the penalty you would pay is likely the smallest it will ever be...combine that with significant savings with current variable rate mortgages (now in the mid to low 4s and below!) and now is the time to make a move. Call us now to save yourself a lot of money! |
Changes to High Ratio Insurance Policies made by Gov't of Canada.
The Government of Canada made dramatic changes to High Ratio Insuranced mortgages which will take effect in October this year. With no advance warning the changes were made in a political attempt to look like they were protecting Canadians from US style exotic mortgages, when in reality they are just stopping a small percentage from attaining home ownership, while causing others reduced cashflow. The changes include a maximum amortization of 35 years down from 40, the elimination of the 0% down programs, and reductions in debt service ratio limits. What does this mean for you? In most peoples situations little will change, and if you have more than 20% equity, nothing will change. In general it will be First Time buyers who will be affected and who may have to rent longer.
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