Michael Richmond, Lead Mortgage Planner at Mortgageline
500, 609 14th st nw T2N 2A1 Calgary, AB, Canada

For the records, and those keeping score? I did call this: Insured stress test is going to be the same as uninsured mortgages! With today’s official confirmation from OSFI of the new minimum qualifying rate for uninsured mortgages, the federal government will align with OSFI by establishing a new minimum qualifying rate for insured mortgages, subject to review and periodic adjustment, which will be the greater of the borrower’s mortgage contract rate plus 2 per cent, or 5.25 per cent. This will apply to insured mortgages approved on June 1, 2021, or later." (THIS SAYS APPROVED!!!---NOT SUBMITTED) Interesting stuff!

If you don't follow the Bank of Canada, they did not change the overnight rate this morning and rather maintained the rate of .25% This should have no impact on prime for your variable rate mortgage. #primestaysthesame

Take a look at this property in Canmore. The views get me every time! If the wife would let me, this would be all mine! https://www.realtor.ca/real/22239578/302-riva-place-canmore

The goals of Calgarians have homeownership high on the list of priorities. It's been a crazy couple of weeks where the complaint I hear most is there are not enough homes on the market. Feels like people that have been forced to stay at home want a little better home since they are spending so much more time there than before. https://calgaryherald.com//home-ownership-ranks-high-in-ca

Did you know that the population growth of Alberta has been the highest of all the provinces, and above the national average? Also from the CREB forecast, today here are some snips! A highlight is that sales are expected to grow by 5% and values are expected to increase by 1% If you want the full report email/call/text me and I will send it over! 403-807-8779 #alberta #calgaryliving

Prime will remain unchanged. That is not the most important part of today's announcement though. The Bank of Canada is still putting 4 billion a week into its easing program. (QE) They did comment on inflation which is something I think we should all keep an eye on right now. "CPI inflation has risen to the low end of the Bank’s 1-3 percent target range in recent months, while measures of core inflation are still below 2 percent. CPI inflation is forecast to rise temporarily to around 2 percent in the first half of the year, as the base-year effects of price declines at the pandemic’s outset mostly gasoline dissipate. Excess supply is expected to weigh on inflation throughout the projection period. As it is absorbed, inflation is expected to return sustainably to the 2 percent target in 2023." #inflation

I am looking forward to the CREB forecast on January 26th, in the interim on their website you can find charts that illustrate that the December sales of 1,199 were the highest since 2007. Looking at the graphs attached from the monthly stats package, detached homes have had the largest increase of 2.8% meanwhile the apartment prices have dropped 2.1% Housing demand over the second half of 2020 was far stronger than anticipated and nearly offset the initial impact cause...d by the shutdowns in spring. Even with the further restrictions imposed in December, it did not have the same negative impact on housing activity like we saw in the earlier part of the year, said CREB chief economist Ann-Marie Lurie. One of my realtors I have chats with commented recently he has many clients looking, but just not enough inventory to show them. which also echoes in the inventory drop stat of 20.4%. See more

You know if we were allowed parties, and I had a party I would invite you! Best wishes!

An interesting report came out today by MPC and written by Will Dunning. Let me know if you would like a copy. The key takeaways?

I will be driving around Canyon Meadows ever so Slowly! Let me know where I should pop in! I do have the Mini for 24 hours, so let us know how far I have to drive to make sure kids. We have drop-offs at https://www.facebook.com/ZLonTilt/ AND Okotoks Boston Pizza if you dont want to see me dressed up!

The Bank of Canada maintains its pledge that they will want to keep rates low at least until 2023, with that in mind they did not change prime. Here is the schedule for 2021.

If you have time this afternoon, and want some cookies!!!

Pretend this is one family, all wearing masks! :)

You know if we were allowed parties, and I had a party I would invite you! Best wishes!

An interesting report came out today by MPC and written by Will Dunning. Let me know if you would like a copy. The key takeaways?

I will be driving around Canyon Meadows ever so Slowly! Let me know where I should pop in! I do have the Mini for 24 hours, so let us know how far I have to drive to make sure kids. We have drop-offs at https://www.facebook.com/ZLonTilt/ AND Okotoks Boston Pizza if you dont want to see me dressed up!

The Bank of Canada maintains its pledge that they will want to keep rates low at least until 2023, with that in mind they did not change prime. Here is the schedule for 2021.

Sometimes if you don't blow your own horn...there is no music! This might be worthy of the whole orchestra! Have a good weekend. Ohh, and when the bond rates are a little less volatile I will let you know how low the mortgage rates are going. 2.39% and dropping for the 5 year fixed with 5% down payment.

Pretend this is one family, all wearing masks! :)

If you have time this afternoon, and want some cookies!!!

Sometimes if you don't blow your own horn...there is no music! This might be worthy of the whole orchestra! Have a good weekend. Ohh, and when the bond rates are a little less volatile I will let you know how low the mortgage rates are going. 2.39% and dropping for the 5 year fixed with 5% down payment.

Pretend this is one family, all wearing masks! :)

The good news in my world today? My website finally has a little lock icon from SSL domain security!!!

Low rates for a long time? My crystal ball is in the shop. I did not see them moving it today though at least. AKA Prime stays put. https://twitter.com/BNNBloomberg/status/1283427565793927168

Best wishes, and stay safe for the long weekend!

The good news in my world today? My website finally has a little lock icon from SSL domain security!!!

Low rates for a long time? My crystal ball is in the shop. I did not see them moving it today though at least. AKA Prime stays put. https://twitter.com/BNNBloomberg/status/1283427565793927168

"John Pasalis, president of Realosophy, joins BNN Bloomberg to discuss why Canada's housing sector remains competitive and strong despite the economic hardships brought on by the pandemic." https://www.bnnbloomberg.ca//canada-s-housing-market-not-a

Genworth & Canada Guaranty have both let us know that they will not be changing the policies to match CMHC's upcoming changes. #mortgageoptions

BIG NEWS. The good news is that Genworth has commented they are not changing just yet. So that is good to hear. The not so good news? CMHC has stated they will start limiting the ratios to 35/42 for all applications submitted on July 1st, 2020. This will decrease your purchasing power. Want to know by how much check out my calculator or call me! The interesting part is how this will affect the conventional market as many lenders back end insure them anyways with a slightly increased rate premium to the client.

I usually give to the soccer teams that come to the door, but in today's times, this is a triple win!

I hope you are all well. I was thinking back to many client meetings that I preached on my little soapbox about not being too house poor, balancing today and tomorrow you, while ensuring suitability and flexibility. In retrospect, this advice will not change that much. With the one adjustment of perhaps that the travel budget should be reviewed. As for an update from me? I have been doing some client meetings via zoom and everyone seems to love it when I share my s...creen so they can see the numbers. Only once have I forgotten to lock the door to have the youngest run in wanting some attention and climb on the best jungle gym available since the playground closures. If you have questions or need anything do let me know and we can schedule a zoom call, or I will leave mine open a couple days every week and anybody can drop in to vent, say hi, or complain about the weather! See more

Happy Easter! Miss you all!!!

Lenders have slowed on the rate increases and some have even adjusted them downwards. I have heard some big players in my industry throw words around like liquidity, unscheduled, stimulate the economy, federal government securities, and margins. I have heard many of my clients venting saying that the banks should be dropping mortgage rates to match in lockstep as that is what they have always done and they are not happy. If you visit the message boards or read the comment...s on some of the articles out there some troll will always say its time for a revolution. If I had to oversimplify and summarize my perspective on why the rates have not fallen as much as we would expect, and in some cases even been increased? It boils down to one of those two things that have always motivated people. In this case, the driving factor is fear. The lenders are building in that fear of higher risk to their pricing so that this premium will cover the costs of doing business when fewer mortgages will be in the zone of normality. #calgarymortgage See more

WOW!~ The Bank of Canada cut its benchmark interest rate by 50 basis points to 0.25 percent in an unscheduled decision this morning.