Daily Market Update

Another shake up in mortgage rates, with a new low in 5 year fixed deals…. Stats Canada reveal 2011 Census data…. And why Toronto developers have rushed to secure building permits….

Scotiabank Shake Up 5 Year Deals
While Hockey fans may have Scotiabank on their minds as new major sponsors of the NHL, for those concerned with mortgages the bank are making headlines for another reason. Scotiabank have announced a lower rate for their 5 year fixed deals. At 2.97% it shaves a little off the previous low of 2.99% offered by the Bank of Montreal in March. A couple of years ago there was concern from the government about sub 3% rates for 5 year fixed deals but the current finance minister isn’t getting involved. Those wanting to get this Scotiabank rate will have to be quick as it’s only offered until 7th June but it’s likely to be just the latest battle in the war to get business. Read the full story.
Easiest Time to Pay your Mortgage Since the 90s
Credit rating agency DBRS says that it’s easier to pay the interest on your mortgage now than it has been for almost a quarter of a century. They’ve been tracking our ability to pay loan interest since the 90s when interest rates were in double figures and their analysis shows the average mortgage would require payments of just under 4% of household disposable income. However this news is tempered with caution about the inevitable rise in interest rates and particularly how external affects on our economy would impact the average household. Read the full story.
Canada’s Housing Value $3.838 Billion in 2011 Figures
Newly released census figures from Statistics Canada show that in 2011, the value of Canada’s housing stock rose 6.5% on the previous year to $3.838.2 billion with Ontario, BC and Quebec the main drivers. The figures show the recovery in the market following the disaster of 2008/2009. Newfoundland and Labrador were the star performers in the stats, with almost 10% added to values, while Prince Edward Island was at the other end of the scale with a decline of 1%. Read the full story.
Toronto Developers Rush to Beat hikes
Figures from the City of Toronto show that condo developers rushed to arrange building permits in January to beat rate rises. The incremental increases which began in February and will go up again in August mean that a permit for a two bed condo would rise 70% since last September, a hike that few developers would want to pass onto buyers. Although there will have been some extra costs involved in starting projects earlier than planned, these are likely to be lower than the permit rate rises. Read the full story.
Martensville – One To Watch?
The one time commuter town for Saskatoon is now western Canada’s fastest growing city driven by housing and underpinned by increased commercial activity. With a population of 9,000, double what is was less than a decade ago, Martensville is now attracting far more in terms of business and leisure facilities. With some of the lowest taxes in the region and its strong links with other cities, Martensville is now far more than a bedroom community to Saskatoon and increasing numbers want to dump the commute and work in their ever expanding home city. Read the full story.