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21912 ISAAC Crescent, Maple Ridge, British Columbia

Linda M Linfoot — Tue, 30 Jul 2024 08:43:46 -0700

I just sold this House at 21912 ISAAC Crescent, Maple Ridge, British Columbia West Central.

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3303 898 CARNARVON Street, New Westminster, British Columbia

Linda M Linfoot — Tue, 30 Jul 2024 08:33:58 -0700

I just sold this Condo at 3303 898 CARNARVON Street, New Westminster, British Columbia Downtown NW.

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2420 Glenwood Ave, Port Coquitlam, BC

Linda M Linfoot — Tue, 30 Jul 2024 08:30:07 -0700

I just sold this Detached House at 2420 Glenwood Ave, Port Coquitlam, BC .

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11616 Laity Street, Maple Ridge, BC

Linda M Linfoot — Tue, 30 Jul 2024 08:29:57 -0700

I just sold this Detached House at 11616 Laity Street, Maple Ridge, BC .

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215 6888 SOUTHPOINT Drive, Burnaby South, British Columbia

Linda M Linfoot — Tue, 30 Jul 2024 08:28:33 -0700

I just sold this Condo at 215 6888 SOUTHPOINT Drive, Burnaby South, British Columbia South Slope.

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21912 ISAAC Crescent, Maple Ridge, British Columbia

Linda M Linfoot — Tue, 30 Jul 2024 08:28:14 -0700

I just sold this House at 21912 ISAAC Crescent, Maple Ridge, British Columbia West Central.

View this recently sold House or see all my home sales

10 22280 124th Ave, Maple Ridge, BC

Linda M Linfoot — Tue, 30 Jul 2024 08:27:43 -0700

I just sold this Townhouse at 10 22280 124th Ave, Maple Ridge, BC .

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12483 219TH Street, Maple Ridge, British Columbia

Linda M Linfoot — Tue, 30 Jul 2024 08:27:37 -0700

I just sold this House at 12483 219TH Street, Maple Ridge, British Columbia West Central.

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#50 11355 236th Street, Maple Ridge, BC

Linda M Linfoot — Tue, 30 Jul 2024 08:20:06 -0700

I just sold this Townhouse at #50 11355 236th Street, Maple Ridge, BC .

View this recently sold Townhouse or see all my home sales

# 12 11355 236th Street, Maple Ridge, Maple Ridge, BC

Linda M Linfoot — Tue, 30 Jul 2024 08:15:42 -0700

I just sold this Townhouse at # 12 11355 236th Street, Maple Ridge, Maple Ridge, BC .

View this recently sold Townhouse or see all my home sales

Why Rates are Rising

Linda M Linfoot — Mon, 16 Mar 2020 06:31:28 -0700

Why Rates are Raising

https://www.canadianmortgagetrends.com/2020/03/mortgage-rates-rising/

Advice for Mortgage Shoppers -

For those in the market for a new mortgage, and who are leaning towards a variable rate, experts recommend obtaining a rate hold as soon as possible.

“I would say act sooner rather than later. Basically, this is not a time to think,” said Stillman. “Lock it in now and if something changes your mind, you can change your mind. But there’s a good chance it’s not going to be available (in a matter of days).”

McLister advises the same, whether you’re shopping for a fixed rate or a variable. “Fixed rates aren’t rising like variable rates, not yet,” he noted. “But there’s a risk they could. Get a rate guarantee soon if you need a fixed mortgage in the next four months.”

Stress Test Changes Being Suspended

Linda M Linfoot — Sat, 14 Mar 2020 11:08:55 -0700

Stress Test Changes Being Suspended

Last month’s announced change to Canada’s insured mortgage stress test—which was to take effect April 6—has now been put on hold.

The federal government had planned to change the formula for the benchmark qualifying rate, which would have reduced the stress test from today’s rate of 5.19% to 4.89%.

A similar change for the uninsured mortgage stress test being considered by the Office of the Superintendent of Financial Institutions (OSFI) pending industry consultations has also been put on hold.

“In view of the current developments, OSFI is suspending all of its consultations and policy development on new or revised guidance until conditions stabilize. This includes the new proposed B-20 benchmark rate for uninsured mortgages,” OSFI announced. “As a result, the benchmark rate as currently published by the Bank of Canada will remain in force until further notice.”

Stress Test Rate Drops

Linda M Linfoot — Fri, 19 Jul 2019 07:27:00 -0700

Stress Test Rate Drops from 5.34% to 5.19% - this will affect mortgage qualifying. Call me to discuss!

https://www.canadianmortgagetrends.com/2019/07/latest-in-mortgage-news-stress-test-rate-drops-after-a-year-of-no-change/

Bank of Canada Announcement July

Linda M Linfoot — Wed, 10 Jul 2019 09:01:39 -0700

Bank of Canada keeps interest rates where they are

With global trade tensions clouding its crystal ball, the Bank of Canada decided to stand pat in its recent interest rate announcement--maintaining its target for the overnight rate at 1 3/4 percent.

While the Bank already anticipated that trade tensions would have a negative impact on the global economy, it’s been forced to further adjust its forecast in light of weaker sentiment and activity in major economies. Global manufacturing activity, business investment and commodity prices, in particular, are all being negatively impacted by the trade conflict between the United States and China. That said, central banks in the US and Europe have indicated that they're ready to adjust their monetary policies and stimulus strategies appropriately, which has helped ease global financial conditions. For this reason, the Bank now expects global GDP to grow by 3 percent in 2019 and to strengthen to around 3 1/4 percent in 2020 and 2021.

From a Canadian economic perspective, things seem to be turning the corner. After a weak late 2018 and early 2019, growth is now stronger than predicted and consumption is being supported by a healthy labour market. At the same time, housing is stabilizing and exports are rebounding. That said, trade conflicts and competitiveness challenges indicate trade and investment won't be riding high for long. The Bank projects real GDP growth to average 1.3 percent in 2019 and about 2 percent in 2020 and 2021.

With both core and CPI inflation sitting around the 2 percent target, and trade tensions making it difficult to predict the future, the Bank has decided to stay the course when it comes to monetary policy. It will continue to monitor incoming data--and pay particular attention to developments in the energy sector and global trade conflicts--before making further decisions.

If you're a variable rate mortgage holder, this is good news--as it means your payment will stay where it is for now. If you're thinking about renewing or obtaining a new mortgage, and are unsure whether a variable or fixed makes the most sense right now, feel free to give me a call. I'd be happy to discuss your personal situation and find the mortgage product that's best for you.

Bank of Canada Annoucement May 2019

Linda M Linfoot — Thu, 30 May 2019 06:26:11 -0700

The Bank of Canada will be maintaining its target for the overnight rate at 1 3/4 percent as it waits to see how the slowdown of late 2018/early 2019 plays out. So far, it seems it was a temporary blip.

Recent Canadian economic data are in line with the projections in the Bank's April Monetary Policy Report (MPR)--and it looks like economic activity is picking up in the second quarter. The oil sector is beginning to recover as production increases and prices remain above recent lows. Meanwhile, housing market indicators point to a more stable national market, although the Bank notes some regions remain weak in this regard.

Job growth, consumer spending and exports all improved in the second quarter, and it appears that overall growth in business investment has firmed. That said, inventories rose sharply in the first quarter, which may dampen production growth in coming months.

From a global perspective, things are also looking up--although the recent escalation of trade conflicts is causing some global economic uncertainty. In addition, trade restrictions introduced by China are having direct effects on Canadian exports. In contrast, the removal of steel and aluminum tariffs and increasing prospects for the ratification of CUSMA will have positive implications for Canadian exports and investment.

With CPI inflation and Core inflation both expected to sit around the 2 percent target in the coming months, the Bank has decided that the current policy interest rate remains appropriate, for now. It will, however, be keeping an eye on developments in household spending, oil markets and the global trade environment going forward.

Residential Market Update May 2019

Linda M Linfoot — Fri, 24 May 2019 06:53:40 -0700

The Bank of Canada is maintaining its optimistic outlook for the country’s economy – but…

The central bank’s latest Financial System Review says two persistent problems remain and two others are on the rise. High household debt and imbalances in the housing market continue to represent the greatest threats to the financial system, while the increasing chance of a recession and riskier corporate borrowing are adding to concerns.

The household debt-to-income level in Canada closed-out 2018 at nearly 180%. That is $1.80 owing for every dollar of disposable income. Canada’s corporate debt-to-income level now stands at 315%. A growing amount of that borrowing is being done through the U.S. bond market and being paid in U.S. dollars. Smaller firms and those with lower credit ratings are turning to the syndicated loan market, which could subject them to the changing whims of investors.

Bank of Canada governor Stephen Poloz is more confident about what is happening in housing.

"New measures have curbed borrowing, reduced speculative behaviour in housing markets and made the financial system more resilient," he said in the report.

"While the fundamentals in the housing sector remain solid overall, and the sector should return to growth later this year, we continue to monitor these vulnerabilities closely."

Residential Market Update

Linda M Linfoot — Thu, 18 Apr 2019 06:32:44 -0700

Anyone who has been watching knows that bond yields are falling and taking fixed rate mortgages with them. The recent economic slowdown in both Canada and the U.S. has pushed down yields on five year government bonds on both sides of the border. Those yields are used as the basis for setting interest rates on fixed mortgages.
An economic indicator known as the yield curve is has been getting a lot of attention lately. The curve tracks the difference in the yields of short-term and long-term bonds. Short-term can be as little as three months while long-term is 10 years or more.
Market watchers use the yield curve as a way to judge investor optimism about the future. Long-term bonds traditionally offer better yields than short-term bonds. The greater the difference between the short-end and the long-end of the curve, the greater the optimism about the future.
Occasionally though things get turned around and the yield curve “inverts”, with short-term bonds offering better yields than long-term. Much is being made of this right now because it has happened, in both Canada and the United States, and it is widely viewed as bad news.
In the U.S., bond yield inversions have routinely been followed by a recession, in about a year. But, like so much of what has happened over the past decade, this time is different. Economists are nearly unanimous in downplaying the risk. They point out that the inversion was not big enough and did not last long enough to trigger any alarms. They also remind us that any possible recession will not happen overnight and is still a year away – plenty of time for action or a correction.

Bank of Canada Rate Announcement Oct 24

Linda M Linfoot — Wed, 24 Oct 2018 14:56:26 -0700

Bank of Canada raises rates – Prime Rate is now 3.95%

As expected, the Bank of Canada raised its target for the overnight rate to 1.75% today--which inevitably means variable mortgage rates, once again, are on their way up.

Citing a solid global economic outlook, reduced trade policy uncertainty (thanks to the new USMCA deal), as well as a Canadian economy operating close to potential, the Bank hinted this won’t be the last rate hike in the imminent future.

If the Bank’s forecasts are accurate, it’s probably right. It expects Real GDP growth to end up being about 2.1% this year and next, before slowing to 1.9% in 2020. At the same time, while inflation is on its way down--it dropped to 2.2% in September--the Bank believes rate hikes will be required to keep it around the ideal 2% target.

If there’s one silver lining, it’s that the Bank promises to keep an eye on how the economy is adjusting to higher rates--particularly in relation to household debt levels--before making any decisions to increase them again. In the meantime, if your mortgage is up for renewal and you’re wondering whether fixed or variable is your best bet--or if you’re in the market for a new mortgage and would like help understanding the mortgage climate right now--please don’t hesitate to drop me a line. I would love to help.

To read the Bank’s press release in its entirety, you can find it here: https://www.bankofcanada.ca/2018/10/fad-press-release-2018-10-24/

Bank of Canada Announcement Sept 2018

Linda M Linfoot — Thu, 06 Sep 2018 07:14:43 -0700

The Bank of Canada is keeping interest rates the same—for now.

While CPI inflation is on the high side (sitting at 3%, a point above the Bank’s target of 2%), the Bank of Canada decided to maintain the target for its overnight rate at 1.5% in its September announcement. The reason? It believes the high CPI rate is temporary—brought on by a jump in the airfare component of the consumer price index—and should be back down to around 2% by early 2019. In addition, the Bank’s core measures of inflation are still sitting around 2%.

That being said, there are signs inflation could increase in the not-too-distant future—forcing the Bank to raise rates to keep them in check. The Canadian economy is humming along—in line with the Bank’s forecast—and the US economy is particularly robust, thanks to strong consumer spending and business investment. On the flip side, the Bank says global trade tensions are a significant risk to the global outlook.
While the Bank is paying close attention to NAFTA and other trade negotiations, and their potential impact on inflation, it admits gradual interest rate hikes will likely be warranted in the near future. If you’re concerned about how higher interest rates might affect your household, feel free to reach out.

I’m always available to chat—and offer my professional advice.

The Housing Market Shift

Linda M Linfoot — Mon, 27 Aug 2018 14:22:44 -0700

The housing market shift that is supposed to be led by empty-nest Baby Boomers has been slow to arrive. But a new survey from realtor, Royal Lepage, suggests it is coming. Although it might not be as dramatic as forecast.
The Boomer Trends Survey suggests as many as 1.4 million Boomers (those born between 1946 and 1964) will be in the market, buying and selling, over the next five years. That is about 17% of this major demographic. That is significant but it is muted by the finding that nearly 60% intend to stay put and renovate their current home, rather than sell and buy another home.
The long expected shift to downsizing appears to have been stalled by the Great Recession that started in 2008, which led to the rapid escalation of home prices. The survey indicates that 56% of Boomers consider their local housing market to be unaffordable. That jumps to 63% in Ontario and a whopping 78% in British Columbia. Affordability concerns coupled with the fact that the children of Boomers tend to be staying in the family home longer, appear to be holding Boomers in place.
Boomers, though, do appear to be keen to have their children benefit from home ownership. Nearly half of the older generation indicated they would help fund a child’s home purchase, with just over 40% saying they would contribute up to 25% of the purchase price.