The purchase of a home is one of the biggest decisions and significant financial investments a consumer makes. It is extremely important that you do your research and educate yourself on key mortgage terms in order to make an informed decision about what mortgage product is best for you.
That is why I have compiled the 3D Digital Online Mortgage Book for Toronto home buyers. This book is a complete mortgage workshop that you can read from the comfort of your own home. No need to register, no need to go out and nobody looking over your shoulder. You can start immediately. You will soon find the book a valuable source of useful information.

Summer market begins with a bang

In June, the Toronto Area resale housing market was nearly 20 per cent more active than a year ago, Toronto Real Estate Board President Donald Bentley announced today. The 10,451 sales recorded in the month were also just shy of the 11,146 sales that made May TREB's most active single month ever.

"This market is very healthy and shows no signs of letting up," Mr. Bentley said. "The strong spring we've seen is carrying through to the summer months, and that has helped to push this year's total activity past 2006 by nearly 11 per cent." See details

REALTORS® launch WWW.NOHOMEBUYINGTAX.COM so public can calculate Toronto home buying tax

Toronto’s REALTORS® have launched a web site (www.nohomebuyingtax.com) to help the public calculate what the proposed Toronto land transfer tax will cost them and to easily allow the public to let Mayor Miller and City councillors know what they think.

“As REALTORS®, it’s our job to give information to the public. As soon as we tell them about the City’s proposal to charge a second and transfer tax they ask us what it will cost them and what they can do to stop this bad idea. Our new web site shows them the exact cost of the tax and allows them to easily email the Mayor and City Councillors,” said Donald Bentley, President of the Toronto Real Estate Board (TREB).

Angus Reid Poll: Housing prices inflated and staying that way, say Canadians

Two-in-three (66%) think houses in their neighbourhood are overpriced, and half (50%) expect an increase in housing prices over the next six months

The vast majority of Canadians rank home ownership as a top priority, but are pessimistic about their chances of buying a house in the current market, a new Angus Reid Strategies poll has found.

In the online survey of a representative national sample, nearly four-in-five Canadians (77%) say that owning their own home is one of their primary goals in life. But two-in-three (66%) say that homes in their neighbourhood are overpriced, and half (50%) believe that housing prices in their neighbourhood are only going to get more expensive in the next six months.

For Canadians who own their own homes, nearly all (95%) feel lucky that they bought their homes when they did, and 71 per cent believe their homes are worth the price they originally paid for them. But 74 per cent of homeowners say they would not have the money to put a 20% down payment on their own homes as presently valued.

Strong Canadian Mortgage Market Depends Less on Sub Prime Products than U.S.

Canada’s mortgage market is a picture of health, in contrast to concerns in the United States generated by the weakening sub prime mortgage market, the Canadian Association of Accredited Mortgage Professionals (CAAMP), said today in a statement. Canada is helped by the fact that:
- The sub prime market makes up 5 per cent or less of all outstanding mortgages in Canada; in the US the total sub prime mortgage market is closer to 20 per cent
- The overall arrears rate on mortgages in Canada remains at or near record lows of less than 0.5 per cent
- The mortgage market has not been using Option ARMs (Adjustable Rate Mortgages) for sub prime borrowers popular in the US; lenders qualify mortgages with consideration for payment variation which has not been the practice in the US
- Canadian underwriting practices are more prudent as we have not been focused on a market share war for the sub prime business
- Canada has not seen as rapid home price appreciation nor speculative investing when compared to the US
- Canada is experiencing strong employment with relatively low interest rates along with high consumer confidence

While new mortgage lenders and products have been introduced in Canada over the last few years, to provide borrowers more options in a rising cost environment, the Canadian mortgage market is different from that of the US. The vast majority of mortgages are amortized over 25 years or less with nearly two thirds of mortgages set at fixed rates with the five year period being the most common.

“The Canadian mortgage market also differs from the US in other ways - we have not seen the aggressive lending practices common south of the border” stated Canadian Association of Accredited Mortgage Professionals (CAAMP), Chairman Paul Grewal, AMP. Added Jim Murphy, CAAMP’s President & CEO, “It is important to note the continued strength and stability of the mortgage and housing markets in Canada.”

Source: Canadian Association of Accredited Mortgage Professionals

Also see: http://www.squidoo.com/torontomortgages/

Early Moving Costs Catch Some Canadians By Surprise

Toronto, ON – While kicking back and relaxing may be the typical idea that Canadians have of summer recreation, for many, however, summer’s leading experience will entail making the move to a new home. A new Ipsos Reid poll conducted on behalf of First Canadian Title assesses Canadians' level of knowledge when it comes to moving homes, the level of stress associated with this activity, and the degree to which Canadians are prepared for some of the intricacies of such a complicated event.

Canadians Surprised By Early Costs…
While the survey found that, by and large, Canadians claim to be quite prepared for the costs and expenditures during their first year in their new homes, one quarter (26%) of Canadians were either ‘completely’ (3%) or ‘somewhat unprepared’ (23%) for the costs and expenditures that one must endure during the first year in a new home. On the other hand, three quarters (74%) of Canadians felt that they were ‘completely’ (18%) or ‘somewhat prepared’ (56%) for these costs.

Unprepared For Closing Costs…
Even higher percentages (43%) of Canadians were ‘very’ (19%) or ‘somewhat unprepared’ (24%) for up-front closing costs before making the offer on their first home.

Canadians Coping With Stresses Of Moving…
Canadian homeowners were also asked about the level of stress they experienced around moving day. The findings revealed that two in ten (22%) described the experience of moving as ‘very’ (4%) or ‘quite stressful’ (18%). Of those who described their move as very stressful, two thirds (66%) stated that they were either ‘very’ (20%) or ‘somewhat unprepared’ (46%) for the costs and expenses that come with the first year in their new homes, or rated themselves as very or somewhat unknowledgeable of up-front closing costs before they made an offer on their first home.

Bank of Canada raises overnight rate target by 1/4 percentage point to 4 1/2 per cent

OTTAWA – The Bank of Canada today announced that it is raising its target for the overnight rate by one-quarter of one percentage point to 4 1/2 per cent. The operating band for the overnight rate is correspondingly increased, and the Bank Rate is now 4 3/4 per cent.
Economic growth and inflation in Canada in the first half of this year have been stronger than expected in the April Monetary Policy Report (MPR). Final domestic demand has remained the key driver of economic growth in Canada, bolstered by firm commodity prices. The Bank judges that the economy is now operating further above its production potential than was projected at the time of the April MPR. Both total CPI and core inflation have been higher than projected in April and are above the 2 per cent inflation target. Longer-term interest rates have increased and the Canadian dollar has appreciated sharply, moving well above the trading range assumed in the last MPR.
The Canadian economy is now projected to grow by 2.5 per cent in 2007, somewhat stronger than was expected in April, and to grow somewhat more slowly in 2008 and 2009 than previously projected. In this new projection, higher interest rates across the yield curve and a higher assumed range for the Canadian dollar of 93 to 95.5 cents U.S. act to moderate growth in 2008 and 2009 to an average of about 2 1/2 per cent. This brings aggregate demand and supply in Canada back into balance in 2009.
Inflation is projected to be slightly higher and more persistent than in the April MPR. However, as excess demand diminishes, total CPI and core inflation should decline to 2 per cent by early 2009.
There are both upside and downside risks to the Bank's inflation projection. The main upside risk is that household demand in Canada could be stronger than expected. The main downside risks are related to the higher Canadian dollar and the ongoing adjustment in the U.S. housing sector. In the context of the Bank's new projection, these risks appear to be roughly balanced.
In line with this outlook, the Bank is raising the target for the overnight rate to 4 1/2 per cent. Some modest further increase in the overnight rate may be required to bring inflation back to the target over the medium term.
An analysis of the Bank's outlook for growth and inflation, including economic and financial developments and risks to the projection, will be set out in the Monetary Policy Report Update, to be published on 12 July 2007.Information note: The Bank of Canada's next scheduled date for announcing the overnight rate target is 5 September 2007.