Christine Buemann Mortgage Broker

Canadians keep taking on more debt even as they get poorer, a new Statistics Canada report shows Average household debt in Canada hit a new record high of almost 153 per cent to disposable income in the third quarter, a sizable jump from 150.7 per cent the previous quarter, the agency reported Tuesday. As well, household net worth declined by 2.1 per cent to $180,100 from $184,700, the sharpest drop in almost three years as the value of pensions and stock investments declined. The report came a day after Bank of Canada governor Mark Carney again warned about the dangers of household debt poses to the economy going forward. Canadians are more indebted now than the Americans and British, Carney noted, saying that they need to move to bring debt accumulation in line with income growth, which is modest. Debt rose at about twice the pace of income during the quarter. For the rest of the story… Industry News - Canadian households still taking on more debt: StatsCan - Article ...

John Greenwood Dec 8, 2011 – 12:01 PM ET The Bank of Canada is warning that conditions in the global financial system have “deteriorated significantly” since the summer because of the worsening European debt crisis and weaker world-wide economic outlook. Despite the relative health of the domestic banking system, the rise in negative pressures worldwide will likely have a “considerable impact” in this country, the central bank said in the latest edition of its biannual Financial System Review. In its starkest warning since the beginning of the turmoil, it said stability of the Canadian banking system faces a “very high risk” from the turmoil in Europe, which it deems by far the most serious threat. The comments come the same day as leaders of European countries are set to gather to hammer out a deal on revisions to the eurozone treaty aimed at avoiding a potential collapse of the currency region. According to the Bank of Canada, the risks have “increased markedly” since June....

The Bank of Canada met yesterday and decided to maintain its target for the overnight rate at 1% as anticipated. In turn, prime rate will remain at 3.00% http://www.bankofcanada.ca/monetary-policy-introduction/key-interest-rate/ www.christinebuemann.com

OTTAWA — Canadians are taking on less mortgage debt, slowing a trend that had top government officials worried about the state of consumers' household finances. The Canadian Mortgage and Housing Corp. said Tuesday in its third-quarter report that the growth of mortgage loans has slowed down to an average of just under $160,000. That reflects tougher lending rules imposed by Ottawa and a slowing economy, which has put downward pressure on house prices. The agency also noted that mortgage insurance bought by homeowners facing high-ratio debts fell by about 10 per cent, "The level of household debt remains a concern but there are encouraging signals," CMHC said. A weaker economy has made consumers more cautious and less likely to take on higher personal loans, lines of credit, car loans and credit card debt. A slowdown in mortgage debt also suggests Canadians are putting more money down on a house and avoiding high-risk mortgages. CMHC noted that there was a drastic s...

ANNOUNCING - STILL AVAILABLE… A NEW LIMITED TIME RESIDENTIAL 5 YEAR FIXED RATE MORTGAGE SPECIAL!! *2.99% for PURCHASES & REFINANCES In order to qualify the deal must be: · CMHC insured and fully qualifying (full documents) · Owner Occupied · The deal must close by December 12, 2011 If you can get 2.99% on your $200,000 mortgage* instead of the average of 3.69%, you would be saving approximately $75 a month ! If you or anyone you know have a deal that would fit this criteria and would like to take advantage of this ultra low rate – contact me today! Addition Information: This mortgage rate is with a very reputable lender. The pre-payment priviledges are 20%/20% and it is assumable and portable (upon qualification). *5 year term over 30 year amortization *OAC

This technique is simple. If you are young, with good credit, making a good income but haven’t had enough time to save up your down payment, and you still want your mortgage right away; this is for you. Under the Home Buyer’s Plan (HBP), the Canadian government allows first time home buyers to withdraw funds from their RRSP up to 25K per person in order to purchase their first property. You have 15 years (plus 2 years of grace period without payments) to put your RRSP money back. If you want to take advantage of this program, but you do not have enough in your RRSPs, I have a solution for you. Most financial institutions are offering RRSP loans, some even with deferred payments. Because of the tax benefits of your new RRSP contribution, you should be receiving a higher tax return. In order for this technique to work to your full advantage, it is strongly suggested that you use the additional funds from your tax return to pay down your new loan. Here is a great tool that will show...

One of the best risk-adjusted investments you can make requires no commissions, no buying and selling and no management fees. According to a new study from the Certified General Accountants Association of Canada (CGAAC), the boring old mortgage prepayment performs better than most common retirement savings vehicles, including RRSPs. “…Single individuals and couples with no dependents may be better off accelerating their mortgage payments than contributing to a retirement account,” finds the study. “This is the case for all income levels and savings rates, but particularly for lower-income individuals.” “Those earning $30,000 annually and saving 2% of their earnings will get a nearly twice higher return by accelerating their mortgage payments compared with saving through a RRSP.” Once the mortgage is paid off, it’s assumed that one then takes the money formerly allocated to mortgage payments and starts investing it. There is an exception to the above findings, however, and it appli...