CMHC senior economist for the GTA talked about hot areas for first time buyers in the GTA at yesterdays conference for the Canadian Association of Accredited Mortgage Professionals
Well, the Conservative Government is now worried that Canadians are piling on too much debt while interest rates are low and will ultimately get into trouble when interest rates increase. Is their fear valid?
Investing in multi-unit apartment buildings may not be for everyone, but for those who take the leap it can provide steady and predictable returns.
Diane Francis of the Financial Post wrote a very interesting article on how CMHC and low interest rates are contributing to a housing bubble.
One of the biggest roadblocks for first time homebuyers is saving the downpayment. With the burdens of paying rent, student loans and other expenses it is not realistic to expect you can save 20% of a home’s purchase price for your downpayment. CMHC Mortgage Insurance allows homebuyers with smaller downpayments to purchase their home.
| 6 Months | 4.60% | 3.85% |
| 1 Year | 3.65% | 2.49% |
| 2 Years | 3.95% | 2.95% |
| 3 Years | 5.04% | 3.69% |
| 4 Years | 5.14% | 3.89% |
| 5 Years | 5.39% | 3.69% |
| 7 Years | 6.30% | 4.95% |
| 10 Years | 6.50% | 5.20% |
| Variable | NA | 1.80% |
