All About Real Estate, Finance & Mortgages

14:42:51 EDT Apr 26, 2006 MALCOLM MORRISON TORONTO (CP) - Base and precious metals stock helped lift the Toronto stock market slightly higher Wednesday afternoon as investors took in another slew of positive earnings reports. The Canadian dollar was up 0.29 of a cent at a 14 1/2-year high of 88.65 cents US, a day after the Bank of Canada raised interest rates and said another hike is likely. 'There is certainly not a lot of inducement to buy (stocks) right now,' said Julie Brough, assistant vice-president at Morgan, Meighen and Associates. 'It does look a little bit tired and the valuations, in my mind, are not anything to get excited about.' U.S. indexes were higher on some better-than-expected corporate earnings reports, a broker upgrade for General Motors Corp. (NYSE:GM) and positive economic data. Toronto's S&P/TSX composite index was 21.67 points higher at 12,351.46, held back by declines in tech stocks and energy stocks as oil continued to move away from l...

Fiona Anderson, Vancouver Sun Published: Wednesday, April 26, 2006 Homeowners with variable mortgages will see their interest rates increase in response to a boost in the Bank of Canada's trendsetting overnight rate on Tuesday. BMO Bank of Montreal and Scotiabank both announced rate increases of 0.25 percentage points, raising their three-year open rate to 5.75 per cent after the Bank of Canada said it was increasing its overnight rate by 25 basis points. All major banks also increased their prime lending rates to 5.75 per cent. But fixed mortgage rates have remained unchanged, at least for now. Rob Hafer, regional sales manager for Invis on Vancouver Island, said variable rates are attached to prime rates, so anyone with a variable mortgage will see rates rise. But even though fixed rate mortgages depend on a number of factors other than the prime rate, those rates have also been going up recently. 'So the costs of borrowing for all consumers is going up unless you are already...

16:41:56 EDT Apr 25, 2006 TARA PERKINS TORONTO (CP) - Tuesday's rise in variable mortgage rates will have some homeowners looking to lock in their rates, but experts say not to be hasty. It could be just a blip. The cost of a variable mortgage has risen for the sixth time since the summer, after the Bank of Canada announced Tuesday it is hiking its benchmark interest rates by a quarter-point. About 22 per cent of Canadian mortgages are now variable, moving in step with the bank's prime lending rate, says CIBC World Markets (TSX:CM) senior economist Benjamin Tal. Andrew Moor, CEO of mortgage brokerage firm Invis, says more customers have been opting for fixed-rate mortgages over the last few months as interest rates have risen. But, he adds, the carrying costs on a variable mortgage are still less than those on a fixed-rate mortgage. After Tuesday's rate hikes, a competitive variable mortgage rate will be about 4.85 per cent, up from 3.45 per cent at the beginning of Septemb...

Updated Tue. Apr. 25 2006 11:29 PM ET CTV.ca News Staff The Bank of Canada boosted its trend-setting overnight rate by a quarter of a percentage point to four per cent on Tuesday. The latest hike will impact the prime interest rate charged by commercial banks, affecting variable mortgage rates, as well as the cost of car loans and lines of credit. This marks the sixth consecutive rate increase by the Bank of Canada since last summer -- when it was 2.5 per cent -- and some are wondering how many more rate hikes could be on the way. In its statement today, central bankers said 'some modest further increase in the policy interest rate may be required to keep aggregate supply and demand in balance and inflation on target over the medium term.' The Bank of Canada said the global economy is strong. 'At the same time, global competition and the past appreciation of the Canadian dollar continue to pose challenges for a number of sectors of the economy.' Meanwhile, the core infl...

By The Canadian Press VANCOUVER � Runaway housing prices and a highly competitive mortgage industry are contributing to a growing problem with mortgage fraud across the country, experts say. But it�s a complex issue and one lenders don�t really want to talk about. 'Mortgage fraud is a problem, and I don�t think anybody can deny it,' said Ken Fraser, executive director of investigations for B.C.�s Financial Institutions Commission, which investigates fraud complaints involving mortgage brokers and real-estate agents. 'A lot of figures have been bandied back and forth over the years about the degree of it, but I don�t think anybody has a figure on it. It is definitely escalating.' Mortgage fraud is any act that convinces a lender to grant a mortgage that would have been rejected if the truth were known. For instance, providing a letter of employment listing an inflated salary, or a note from a relative confirming a gift toward the down payment on a purchase when the money...

April 20 (Bloomberg) -- GE Money, General Electric Co.'s consumer-finance arm, is expanding in Canada in a bid to capture 10 percent of the country's C$10 billion ($8.8 billion) market for high-risk mortgages, said Stephen Motta, chief executive of the Canadian unit. The finance company plans to sell mortgages through independent brokers across Canada by year-end, and is trying to hit its market share target in three years, he said. GE Money started selling mortgages in Ontario last year, and has since become licensed in Alberta and British Columbia. ``We're on a pretty significant growth trajectory, but growing from zero,'' Motta, 43, said in a telephone interview. ``It is a longer-term vision we have for the Canadian market, rather than bursting on the scene, making some noise, and not being here three years from now.'' GE Money, a unit of the world's No. 2 company by market value, is competing with firms such as Toronto-based Xceed Mortgage Corp. Xcee...

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House bought from her after signature forgedA serious problem in GTA, says title insurance officialApr. 13, 2006. 11:10 AMHAROLD LEVYSTAFF REPORTEREarlier this year, Susan Lawrence discovered that the 100-year-old Victorian home she had been living in for 30 years had been stolen by identity thieves.The North York widow had been blissfully unaware the thieves had used her forged signature to purchase the house from her and discharge a mortgage she had put on the property.They had then put a new mortgage on the property for almost $300,000, pocketed the money, defaulted on the mortgage, faded out of sight, and left her facing eviction.Lawrence soon learned she had become a victim of mortgage fraud — one of the growing number of people in the Greater Toronto Area who are being victimized by real estate savvy swindlers."I just could not believe it, and anybody I talked to couldn't believe it either," Lawrence said in an interview. "They all asked, `How could anybody sel...

Apr. 12, 2006. 06:45 AM ELLEN ROSEMAN What do tax tips and spring flowers have in common? They pop up in April. I've gone through my garden of money-saving tax advice and picked some of the prettiest blooms for your inspection" Don't pay interest on top of interest. If you owe money, the government will charge daily compound interest on your debt. This means you pay interest not only on the original amount you owe, but also on the interest that starts adding up. "If you can't pay the amount that's due, talk to your financial institution about a loan or a line of credit that charges a lesser interest rate than the Canada Revenue Agency," says lawyer Stanley Kershman, author of Put Your Debt on a Diet (Wiley). Ottawa can also charge you a late-filing penalty — and interest on the penalty. So, you should file your return on time to avoid penalties, even if you can't pay the amount due. Work out your tax factor. This is important to know when you're m...

"Want to buy a house in Vancouver? Hope you have lots of cash. The average price of a house in Lotus Land hit $490,004 in February. Think about it for a second. That's nearly half a million dollars--and 26.5% higher than a year ago. Put another way, it now takes a household income of $142,000 a year to comfortably purchase a place to live. Wasn't the real estate market supposed to slow down this year? Apparently not. And it's not just Vancouver that's experiencing double-digit price increases so far this year. Canadian Real Estate Association (CREA) figures show the average home price from February 2005 to February 2006 rose 26% in Calgary and 15.5% in Edmonton, both economic boomtowns of late. But even relatively moribund Toronto saw an increase of nearly 6%, for an average price of almost $354,000. That's a lot of money to put on the line if you're thinking of investing in the real estate market--let alone looking for a place to live. No wonder people are...

Created from a senior’s perspective, a CHIP Reverse Mortgage is a unique home equity borrowing opportunity for homeowners in Canada who are age 62 and older. Senior homeowners can access up to $500,000 tax-free with no payments required on the loan until the home is sold or owners move out. The amount available to the homeowners is based on the appraised value of the home, the age and gender of the homeowners, marital status, property type, and location. CHIP Reverse Mortgages are available in most areas across Canada, on most types of homes. Leaseholds, co-ops, manufactured homes and large rural acreages are not eligible. The proceeds from the reverse mortgage are received as a cash lump sum. Homeowners are initially approved for a maximum sum, but may choose to receive a lesser amount initially and then request subsequent advances on the remaining available proceeds. As part of a well-balanced financial plan, a CHIP Reverse Mortgage can add new flexibility to a senior’s finances and ...

If you have been turned down for a loan or for a mortgage loan based on your Credit Report, don't continue to apply elsewhere. You need to know the reasons why and unfortunatley most of the time lenders will not advise you of any errors on your report or how to fix it. Each time you apply for credit, it lowers your beacon score. (Credit Score). Your Beacon Score is a significant factor in calculating your ability to repay, rates and terms for your loan. With a low Beacon Score you should expect to pay higher interest and the lenders may look at is as though you are too much of a risk and will not be able to repay your loan. The best way to save time is to find out what is stopping you from getting approved and if there are some problems, how to fix them. You can get your credit report from one of the following two credit bureaus in Canada Equifax or Tranunion You can pay for a copy of your credit report and see it immediately at the Equifax web site or you can fill out an appli...

TORONTO, April 5 /CNW/ - Ten per cent more resale home transactions took place during the month of March than during the same month a year ago, Toronto Real Estate Board President John Meehan announced today. The March total of 8,707 sales was the second-highest ever, bringing the total for the first quarter of 2006 to 19,831 sales, a record first quarter result. "There is a lot to be positive about in this market," Mr. Meehan said. "The year has started very strongly and it shows no signs of slowing as the peak spring market approaches." According to Jason Mercer, Senior Market Analyst for the Canada Mortgage and Housing Corporation, strong economic fundamentals are helping to maintain consumer confidence. "Consumers remain upbeat about home ownership," he said. "Tight labour market conditions with low unemployment and rising real wages, along with very low borrowing costs have kept potential buyers confident in their ability to purchase and pay for ...

Please fill out our form and we will send you your choice of FREE mortgage reports and information: 7 Things You Must Know Before Applying for a Mortgage! Understanding Your Credit Report Repair & Build Your Credit Fast! Commercial & Income Properties Information 10 Questions You Must Ask When Applying for a Mortgage! How To Get The Best Price for your Home! Credit Card Secrets, that the credit card company doesn't want you to know! Divorce and Your Home How To Afford a Mortgage How To Escape the Debt Rat Race! Bi-Weekly Payments: Yes or No 10 Biggest Home Buying Blunders! CMHC - Home Buying - Step By Step

Most Canadians believe their mortgage rates are manageable, despite recent hikes, according to a recent report released by the Canadian Institute for Mortgage Brokers and Lenders. The information, gathered by Canadian public opinion firm Pollara in a phone survey in February, indicates 42 per cent of Canadian residential mortgage holders polled have not seen their overall standard of living significantly affected by recent mortgage rate increases. 'As the spring home buying season begins, interest rates remain at a historic low and mortgage holders continue to be satisfied with their rates,' said Ron Swift, president of the mortgage brokers institute. 'Our latest survey reveals that Canadians find their current mortgage rates manageable, despite increases over the past eight months. In addition, although mortgage holders anticipate further rises, the study suggests that a majority will be able to tolerate an increase of up to 1 per cent. That's great news for the market...

Equity is the difference between your home's value and the balance on your mortgage loan. If your home is worth $100,000 and you owe $75,000 on the mortgage, then you have $25,000 of equity in your home. Borrowing against this equity is currently a very popular method of getting a big chunk of credit, primarily because of low interest rates. Add to that the fact that the interest on most home equity loans is tax deductible and they become an appealing option if you need to make a major purchase. Home equity loans are typically used for consolidating consumer debt or covering a large expense such as a big wedding, college tuition, or home renovations. However, because your home is collateral for the loan, you should be very careful about using home equity loans. The problem is that if you default on the loan, the bank will foreclose on your home. Types of Home Equity Loans There are two types of home equity loans. A traditional home equity loan is also called a second mortgage and i...

"QUESTION: My husband and I are retired with a total annual income of $40,000. We owe $145,000 on our home, which is worth $475,000. We don't have any extra to play with. We would like to know whether you would advise us to consider a reverse mortgage. ANSWER: A reverse mortgage could pay off your existing mortgage and eliminate the monthly mortgage payments you are currently paying. This could free up some income for you to play with each month. Here's essentially how it would work. A reverse mortgage would pay off your existing mortgage balance of $145,000. Then, rather than having to make monthly interest and principal payments, the interest charged on the loan would simply add to the balance of the loan. Let's assume your home will appreciate by 4 percent in the coming years, and the reverse mortgage interest rate averages 6 percent. Ten years from now, your home is worth $703,000 and the balance on the reverse mortgage is $260,000. In 20 years, your home is worth ...

Canadians spent a higher portion of their income on housing in the fourth quarter, as high home prices and utility costs pushed affordability to its worst level in a decade, said a report by the Royal Bank of Canada. That deterioration is coming at the end of ten years of generally 'excellent' affordability conditions, the report by the bank's economics department noted. And, while affordability will likely continue to slide in the first half of this year, rising incomes and steady interest rates and house prices should stop the declines in 2007, economists said. RBC Financial Group's (TSX: RY) latest housing affordability index, measures the proportion of pre-tax household income needed to service the costs of owning a home. Such surveys are a popular promotional tool for Canada's banks and mutual fund companies. Many use public opinion polls to gauge demand for financial products and services, promote specific brand names and learn more about the public's fina...

Canadian Institute of Mortgage Brokers and Lenders releases report on mortgage choices and perceptions in a changing market TORONTO, March 28 /CNW/ - A majority of Canadians believe their current mortgage interest rates are manageable, despite recent hikes, according to a report released today by the Canadian Institute for Mortgage Brokers and Lenders (CIMBL). The information, gathered by Pollara in a phone survey in February and analyzed in conjunction with Canadian housing analyst and CIMBL economist Will Dunning, indicates that 42 per cent of Canadian residential mortgage holders polled have not seen their overall standard of living significantly affected by the recent mortgage rate increases. 'As the spring home buying season begins, interest rates remain at a historic low and mortgage holders continue to be satisfied with their rates,' said Ron Swift, President of the Canadian Institute for Mortgage Brokers and Lenders. 'Our latest survey reveals that Canadians find th...