Finance Minister Jim Flaherty announced new mortgage regulations to curb Canadians' rising household debt. The new rules reduce mortgage amortization periods to 30 years from 35, lower the maximum amount Canadians can borrow to refinance mortgages to 85% from 90%, and withdraw insurance backing on home equity lines of credit. The changes aim to reduce highly leveraged mortgages and Canadians' debt levels, which recently hit a record 147% of disposable income.
Sue and settle occurs when an agency intentionally relinquishes its statutory discretion by accepting lawsuits from outside groups that effectively dictate the priorities and duties of the agency through legally binding, court-approved settlements negotiated behind closed doors— with no participation by other affected parties or the public.
Sue and settle occurs when an agency intentionally relinquishes its statutory discretion by accepting lawsuits from outside groups that effectively dictate the priorities and duties of the agency through legally binding, court-approved settlements negotiated behind closed doors— with no participation by other affected parties or the public.
What Is The Federal Estate Tax Marital DeductionMark Eghrari
When you are planning your estate, you should be aware of of the existence of the federal estate tax which can significantly erode assets that you are passing on to your loved ones. Learn more about federal estate tax in this presentation.
Last week, the federal government breached the current debt ceiling, $14.284 trillion. The Treasury had begun taking evasive action the week before, but warned that it couldn’t do so beyond early August – and Congress would have to raise the debt ceiling before then. Will the government default? The strong betting is that it won’t. The bond market doesn’t seem to be worried. However, the increased rhetoric could have a bigger impact on the equity and currency markets.
What Is The Federal Estate Tax Marital DeductionMark Eghrari
When you are planning your estate, you should be aware of of the existence of the federal estate tax which can significantly erode assets that you are passing on to your loved ones. Learn more about federal estate tax in this presentation.
Last week, the federal government breached the current debt ceiling, $14.284 trillion. The Treasury had begun taking evasive action the week before, but warned that it couldn’t do so beyond early August – and Congress would have to raise the debt ceiling before then. Will the government default? The strong betting is that it won’t. The bond market doesn’t seem to be worried. However, the increased rhetoric could have a bigger impact on the equity and currency markets.
This presentation gives a summary of the National Mortgage Settlement Act, including key provisions of the Act and how it has benefited affected borrowers.
Each month, This Month in Real Estate provides expert opinion and analysis on real estate trends across the nation. The aim of the consumer-oriented segments is to help agents combat the "doom and gloom" messages of the national print and television media with real information on real estate.
Does less regulation equal more loan defaultsusmajormovers
The recent U.S. House vote to roll back mortgage lending limits of the 2010 Dodd-Frank Bill was termed the “crown jewel” of Republican reform, but it is by no means a shoe-in in the Senate. However, if efforts are successful at raising the Debt-to-Income (DTI) ratio from its present 43% limit, what effect will the change have on future loan default rates? No one seems to have a functioning crystal ball, but there are few historical statistics to rely upon for hints.
Take a look at our Winter 2017 Commercial Client Newsletter. We hope you find these articles interesting. Please don’t hesitate to contact us if you would like more information about the issues they raise, or any other legal matter affecting you or your business
2016 Ontario Fall Economic Statement UpdateEdelman
Edelman Canada shares a perspective on the 2016 Ontario Fall Economic Statement Update.
To learn more about Edelman Canada, please visit www.edelman.ca.
STATEN DIE ECONOMIE ZOUDEN LATEN VALLEN, ASSOCIEERT MICRON GEOPENBAARDEwelford uniacke
Credit card debt is the third largest source of indebtedness in the US: Credit card debt management is the solution
According to the reports of the financial analysts, credit card debt is reportedly been the third largest source of household indebtedness only after the $14 trillion in the mortgage debt market and $1 trillion in the student loan debt market. Studies reveal that the average household owes a huge amount on credit cards but the average debt is gradually falling in the first quarter of 2012. Since the same time in 2010, the amount is down nearly by $2000. Does this show that the Americans are repaying their credit card debts? Or are they just walking away from their debt? Though there are so many professional debt relief options that you can take resort to when you fall in debt, most of them are choosing the debt management plan as it tends to help a person pay back debt and also boost his credit score at the same time.
STATEN DIE ECONOMIE ZOUDEN LATEN VALLEN, ASSOCIEERT MICRON GEOPENBAARDEkevinmounts
Credit card debt is the third largest source of indebtedness in the US: Credit card debt management is the solution
According to the reports of the financial analysts, credit card debt is reportedly been the third largest source of household indebtedness only after the $14 trillion in the mortgage debt market and $1 trillion in the student loan debt market. Studies reveal that the average household owes a huge amount on credit cards but the average debt is gradually falling in the first quarter of 2012. Since the same time in 2010, the amount is down nearly by $2000. Does this show that the Americans are repaying their credit card debts? Or are they just walking away from their debt? Though there are so many professional debt relief options that you can take resort to when you fall in debt, most of them are choosing the debt management plan as it tends to help a person pay back debt and also boost his credit score at the same time.
What is debt management and how is this helping the economy?
With the rising debt burden in the US, an increasingly large number of people are trying to put an end to their debt worries by getting help from the professional options. If you too are waiting to be one among them, you may get help of the debt management firms. Here are the benefits that you may reap when you take help of the debt management firms.
The credit counselor assesses your finances: The credit counselor will initially assess your personal finances so that you don’t have to oscillate between getting professional help and helping yourself. He will look into your present financial state; calculate the total amount of debt that you owe and the total income that you earn in a month. He will check in order to know whether or not you can repay your debts on your own.
The counselor will help you with a budget: He will craft a frugal budget for you so that you can follow it throughout the month. Maintain a balance between your income and expenses so that your income is always more than your expenses. He will also teach you personal finance management techniques through which you can rein in your finances.
The counselor will enroll you in a DMP: When the counselor sees that you can’t repay your debts on your own, he will enroll you in a DMP through which you can repay your debts in easy and affordable monthly payments. The counselor will negotiate with your creditors in order to alter the repayment plan too.
The interest rates will be reduced: The interest rates on the credit cards are the biggest reason for the large number of defaults. When the credit counselor negotiates with your creditors, you can reap the benefits of lower interest rates and extended repayment term. You just have to make a single monthly payment to the credit counseling agency and this way you can repay your credit card debt.
Shawn Kormondy of Reis Group is a top producing real estate agent at a prestigious Beverly Hills real estate firm, Keller Williams Realty. He specializes in Hollywood Hills, West Hollywood, and Miracle Mile real estate. Shawn can be contacted by visiting one of his web sites, www.reisgroup.org or www.developweho.com
1. ORIANA FINANCIAL
“GREAT MORTGAGES MADE SIMPLE”
Flaherty Unveils New Mortgage Rules to Curb Debt
(a message from the President of IMBA – January 17, 2011)
This morning, Finance Minister Jim Flaherty has announced new mortgage regulations aimed at
reducing Canadians' soaring household debt.
Flaherty has unveiled three new rules:
1. Mortgage amortization periods will be reduced to 30 years from 35 years.
2. The maximum amount Canadians can borrow to refinance their mortgages will be lowered
to 85 per cent from 90 per cent.
3. The government will withdraw its insurance backing on lines of credit secured on homes,
such as home equity lines of credit.
The new rules come on the heels of a Bank of Canada announcement that Canadians' domestic
debt burdens have hit record levels.
The change in amortization and refinance borrowing limits will go into effect on March 18, 2011
and the change in insurance on home equity lines of credit will go into effect on April 18, 2011.
The first change is likely to have the largest impact. Buyers who purchase a home with less than
20 per cent of the value of the home are required to purchase government-backed mortgage
insurance through Canada Mortgage and Housing Corporation.
Under the new rules, mortgages amortized over longer than 30 years will no longer qualify for
that insurance, making it effectively impossible to get a highly leveraged mortgage of more than
30 years in Canada.
While Flaherty called the changes "moderate," they did not include an increase to the five per cent
minimum down payment Ottawa requires for a home purchase. They also stopped short of a
proposal that surfaced last week which would have required 100 per cent of condo fees to be
included in the list of expenses that are measured against income when financial firms consider a
mortgage candidate. Currently, only 50 per cent must be included.
The ratio of household debt to disposable income has reached 147 per cent and household debt
has reached $1.4 trillion.
The International Monetary Fund has called household debt the No. 1 risk to the Canadian
economy.
Darlene Hanley, Mortgage Agent M08003191
Oriana Financial Group of Canada Ltd. Broker Lic. #10214
44 Charles St. W #2304, Toronto, ON M4Y 1R7
Phone: (416) 466-0664, Fax: (416) 323-0744, Email: darlene@darlenehanley.com