Are you a first-time homebuyer concerned about rising inflation? It's understandable to have some reservations, but rest assured that there are still plenty of reasons why buying your first home is a great idea, even during inflationary times.

Firstly, Canada's housing market has historically been stable and resilient, even during economic downturns. This means that homeownership remains a reliable investment in the long run, and you can feel confident in your decision to buy a home.

Secondly, the Canadian government offers programs and incentives to help first-time homebuyers get into the market, such as the First-Time Home Buyer Incentive and the Home Buyers' Plan. These programs can help you get a foot in the door and make homeownership more accessible and affordable.

Additionally, as inflation drives up the cost of living, owning a home can provide a sense of stability and predictability in your monthly expenses. Unlike renting, where landlords may increase your rent at any time, owning your home means that your monthly mortgage payment will remain the same for the duration of your mortgage term.

Finally, by owning a home, you can build equity and wealth over time, which can help you achieve your long-term financial goals.

As a mortgage broker, I can help you navigate the Canadian housing market and find the best possible mortgage deal for your unique financial situation., now could be the perfect time to take the leap into homeownership.

So if you're a first-time homebuyer, don't let rising inflation discourage you from achieving your dream of homeownership. Contact me today to schedule a consultation and start your journey towards owning your first home.

Positive News on Mortgage Rates and How We Can Help

July 18, 2024 @ 11:20 AM by:

Posted in Mortgages | Leave a Comment | Back to Main Blog Page

I wanted to share some encouraging news regarding mortgage interest rates and how it might benefit you.

As Canada's annual inflation rate fell to 2.7% in June from 2.9% in May, there are positive signs that mortgage interest rates are set to come down. The Bank of Canada is expected to lower the benchmark interest rate by 0.25% (as per 90% of economists), at their upcoming meeting on July 24, 2024. This follows a recent rate cut earlier this month, bringing the benchmark interest rate to 4.75%.

With inflation showing signs of easing, we anticipate some relief for those managing debt payments. According to a recent Equifax report, while Canada's mortgage debt still represents a significant 74.4% of total consumer debt, the growth rate has slowed to 3.1% year-over-year. Additionally, new mortgage originations have hit an all-time low in Q1 2024, as many have paused major purchasing and financing decisions amid these rate cut speculations.

Despite a seasonal reduction, the average loan value for new mortgages remains higher than last year, indicating a positive trend. As the rates head lower, this should bring some much-needed relief to many of you.

If you are currently struggling with your mortgage payments, I recommend first discussing potential relief options with your bank. If that doesn't provide the solution you need, please don't hesitate to reach out to your mortgage broker. It’s a discussion worth having.

Remember, I am here to help. If you have any questions or need personalized assistance, feel free to call me, Together, we can find the best solutions for your mortgage needs.

Warm regards,

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