||Increase in CMHC insurance premiums
CMHC is increasing its homeowner mortgage loan insurance premiums as a result of our regular review of insurance products and to reflect the new OSFI Capital Requirements for Federally Regulated Mortgage Insurers that came into effect on January 1, 2017.
The new premiums are effective March 17, 2017 and will result in an increase of approximately $5 to the monthly mortgage payment of the average CMHC-insured homebuyer.
At LTV (loan-to-value) of 95% or lower, the premium will increase from 3.6% to 4%.
The LTV of 90% or less, the premium will go from 2.4% to 3.1%.
For a full list of changes, please visit www.cmhc.ca
||Which renovations go right to your bottom line?
Updated kitchen - The kitchen is almost always the heart of the home, so it`s no surprise that kitchen renovations consistently provide the best return on your renovation investment.
A sparkly bathroom - Bathroom renovations are also very reliable when it comes to boosting the overall value of your home.
Fresh painting - Whether it`s inside or outside, a fresh coat of paint can work wonders on the overall impression of your home.
Focus on decor - Updating lighting and plumbing fixtures, counter tops, and replacing worn flooring or refinishing hardwood floors are also definite ROI winners.
||Bank of Canada holds the key interest rate steady
As widely predicted, the Bank of Canada announced May 24th that it is holding the key rate steady.
While noting that "economic growth has been faster than expected", the bank said it`s too early to determine if the economy is on a "sustainable growth path", citing weakness in export growth, business investment and employment.
The Bank`s three measures of core inflation, taken together, continue to point to material excess capacity in the economy. While there have been recent gains in employment, little growth in wages and hours worked continue to reflect economic slack in Canada, in contrast to the United States.