August 2013
Welcome to the August issue of Mihir's Market Matters Report. I hope everyone is enjoying Summer time as we move to the last half of sunny times.
Earlier in the week CMHC has put a cap on mortgage-backed securities to hike home costs and cool the market. Last month we saw changes in the bond market which has led to higher fixed interest rates. However, there are still many lenders who are offering quite competitive interest rates at the current time.
Are you affected by new CMHC Guidelines? Is it time to go Variable then Fixed? Is your renewal coming up towards end of 2013 and should you lock in the rates now? For these and any of your Mortgage Questions please feel free to call or email me. In regards to the Mortgage Rates, I am able to offer the best rates in the Industry backed with exceptional customer service. See below for the Best Mortgage Rates which no other Brokerage can give you.
BEST RATES AS OF 8th AUGUST 2013
QUICK CLOSE SPECIAL - 2.99% FIXED FOR 5 YEARS
Regular Rate: 3.09% FIXED FOR 5 YEARS
Variable Rate: 5 years @ Prime - 0.40 or 2.60%
Pre-Approvals: 3.39% FIXED FOR 5 YEARS
Thanks
Mihir Oza
647-710-7374
Mortgage Agent (License # M11000672)
The Mortgage Practice
My Motto: Right Advice. First Time, Every Time.
Bank of Canada Interest Rate
| May 29, 2013 | 1.00 % |
| July 17, 2013 | 1.00 % |
| September 4, 2013 | Next meeting date |
Source: Bank of Canada
| September 5, 2013 | Next meeting date |
Conventional Mortgage - 5 Year Rate*
| May 22, 2013 | 5.14 % |
| June 26, 2013 | 5.14 % |
| July 31, 2013 | 5.14 % |
Source: Bank of Canada
*Determinant for high ratio mortgage variable qualifying rate
*Determinant for high ratio mortgage variable qualifying rate
US Federal Reserve Board Discount Rate*
| June 19, 2013 | 0.00 % - 0.25 % |
| July 31, 2013 | 0.00 % - 0.25 % |
| September 18, 2013 | Next meeting date |
Source: US Federal Reserve
*US Federal Reserve has indicated it will now keep this rate until unemployment reaches 6.5%
*US Federal Reserve has indicated it will now keep this rate until unemployment reaches 6.5%
Exchange Rate $CDN($US)
| June 28, 2013 | 0.9525 |
| July 17, 2013 | 0.9602 |
| July 31, 2013 | 0.9735 |
Source: Bank of Canada
Government of Canada Bonds
| Bond Type | July 3, 2013 | July 17, 2013 | July 31, 2013 |
| 1 year Treasury Bill | 1.12% | 1.09% | 1.13% |
| 3 year Benchmark Bond Yield | 1.32% | 1.18% | 1.27% |
| 5 year Benchmark Bond Yield | 1.77% | 1.66% | 1.74% |
| 10 year Benchmark Bond Yield | 2.42% | 2.37% | 2.45% |
Source: Bank of Canada
Average MLS® Resale Price for Local Markets
| City | June 2012 | June 2013 |
| Halifax | $ 272,495 | $ 272,477 |
| Saint John, NB | $ 163,468 | $ 189,614 |
| Quebec | $ 263,965 | $ 272,008 |
| Montreal | $ 330,412 | $ 329,512 |
| Ottawa | $ 354,690 | $ 359,512 |
| Toronto | $ 508,622 | $ 531,374 |
| Hamilton/Burlington | $ 363,162 | $ 390,572 |
| Winnipeg | $ 257,095 | $ 274,121 |
| Saskatoon | $ 287,355 | $ 335,046 |
| Regina | $ 312,241 | $ 311,471 |
| Calgary | $ 422,139 | $ 442,529 |
| Edmonton | $ 340,391 | $ 353,360 |
| Vancouver | $ 701,141 | $ 762,861 |
| Victoria | $ 486,611 | $ 507,900 |
Source: Canadian Real Estate Association
Canadian Housing Price Survey
Detached Bugalows
Source: Royal LePage , July 2013
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