The new Canadian Mortgage Charter explained
The new Canadian Mortgage Charter explained
All one really needs to know is that there's nothing legislated here, these are merely "guidelines" for the banking industry, i.e. essentially nothing.
Just like
this meeting could have been an email
well,
this policy point could have been a search result.
In all seriousness, all levels of government are moving too slowly on housing affordability. They should be trying to reduce prices to prepandemic levels, or, even better 2010 levels.
I think there might be a balance here that's hard to strike, every one who's in a house is going to hate loosing that value, and any politician who lowers the current value of property will have to deal with upsetting that category of voters. It seems like building more affordable houses would be better, it'll have a similar effect, but probably not as drastic.
If they put effort into making them environmentally friendly and employeed/educated people to do that we could make our country a nicer place to live. Just have to breakup the grocery conglomerates and things would be looking up
every one who's in a house is going to hate loosing that value
False. I'm in a house. I want to live in a different house. I can't afford a different house. Make houses cheaper.
That said there is some financial fuckery that can happen with house prices reducing. Particularly if you end up needing major repairs (though that's just the nature of owning...)
Housing price stagnation seems an acceptable medium.
upsetting that category of voters
I postulate the criticalist category is the >70 crowd, for the following reasons:
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They vote.
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They don't work much, so existing assets and pensions are the main finances in their life. Owned housing is probably the biggest part of that portfolio; with little chance of opening up new revenue streams. This makes them the most vulnerable to (real or precived) decreases in housing stock value.
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They may be, or are planning to become, reverse mortgaged.
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They vote.
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any politician who lowers the current value of property will have to deal with upsetting that category of voters
We should hold politicians to a higher standard.
Bad policies have encouraged Canadians to tie their savings to unproductive investments like real estate. Coincidentally, we have declining productivity. If our quality of life was improving, I wouldn't care, but that's declining too.
Politicians should do what's good for the country, in the long term. If they have to make unpopular decisions, they need to dress them up appropriately.
And if we are excusing our politicians for being self serving assholes, then they should consider that there's a large contingent of people upset that they can't afford to buy a house, either to get onto the real estate treadmill, or to move when their circumstances change.
I've been in my house for 2 years. Based on housesigma.com my valuation is already up $150k. I could care less if it tanks. Something is severely fucky when they have no idea if/what work I've done and my valuation is up that much after 2 years.
This is the best summary I could come up with:
In the Fall Economic Statement (FES), the Liberal government unveiled an initiative it calls the Canadian Mortgage Charter.
The Finance official told CBC News that most of the measures existed already, but may have been unclear or difficult for consumers to find.
The other new addition is the requirement to give insured borrowers a pass on the stress test when changing lenders at the time of their mortgage renewal.
The Canadian Bankers Association (CBA) uses data from the major banks to determine the number of mortgages that are in arrears each month going back to January 1995.
The Finance official told CBC News that borrowers who are not offered the affordability measures outlined in the mortgage charter can file a complaint on the FCAC website.
The FCAC website says it investigates complaints involving federally regulated financial institutions, including banks, federal credit unions, authorized foreign banks, insurance companies and trust and loan companies.
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