Adjustment to the stress test

Squamish Mortgage Rates

The Department of Finance is revamping how insured mortgages are stress tested “This adjustment to the stress test will allow it to be more representative of the mortgage rates offered by lenders and more responsive to market conditions,” the DoF said in its announcement. A Squamish mortgage broker can help you get the best mortgage! More information https://www.canadianmortgagetrends.com/2020/02/department-of-finance-announces-new-qualifying-rate-for-insured-stress-test/

Bank of Canada holds interest rate

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The benchmark rate will remain unchanged at 1.75 per cent. Stephen Poloz, the bank’s governor  says the jobless rate is about as low as it’s ever been, wages are rising and the housing market in most places is strong. No one is talking about a recession, but consumer confidence and spending indicators “have been unexpectedly soft,” […]

The key interest rate on hold

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The Bank of Canada kept its key interest rate on hold where it has been for more than a year as it said Wednesday that ongoing trade conflicts and related uncertainty continue to weigh on the global economy. The central bank’s overnight rate target has been set at 1.75 per cent since October of last […]

Morneau to Review Mortgage Stress Test

Morneau

There are two key aspects of the stress test that are ripe for tweaking, according to industry observers. One would be a change in how the minimum qualifying rate is calculated. “The biggest problem with the stress test is that it relies on a number that can be manipulated, the benchmark 5-year posted rate,” wrote […]