So the government is trying to protect us from ourselves again... They tightened the mortgage rules today yet again.
Check out the news if you haven't already: http://news.sympatico.ctv.ca/home/flaherty_reduces_mortgage_terms_from_30_to_25_years/fd229d6f
We live "expensive" lives because we apparently have to. No money for the dentist or saving for your child's education, but we have to buy lots of birthday gifts, Christmas gifts, go on vacations and drive shiny new cars! Most have been borrowing against their homes to maintain this lifestyle, obviously because their incomes can't sufficiently support this kind of good life.
I am not sure however, if this tightening of the rules is going to stop any of it.
People have CREDIT CARDS you know! If you can't take more equity from your home then MasterCard and Visa will be tapped to cover the frills.
To scare us by mentioning the "bubble" in the real estate market is irresponsible. They have been warning us about a correction coming for the past decade. In the meantime real estate prices have gone up 100% or more. Let's face it, if you keep saying there is a bubble and there is a correction coming, well, one day it might just happen and then you can say: I TOLD YOU SO!!!!
People have CREDIT CARDS you know! If you can't take more equity from your home then MasterCard and Visa will be tapped to cover the frills.
To scare us by mentioning the "bubble" in the real estate market is irresponsible. They have been warning us about a correction coming for the past decade. In the meantime real estate prices have gone up 100% or more. Let's face it, if you keep saying there is a bubble and there is a correction coming, well, one day it might just happen and then you can say: I TOLD YOU SO!!!!
For now, nobody is selling their homes for cheaper. Not me and not you. So there is no correction as of yet.
Those who go bankrupt or experience a divorce or death in their families cannot be used as measuring sticks that would apply to the rest of the market. Money controllers of the world, want more interest and the government is helping THEM by this kind of talk.
Little people will never benefit from higher rates or tighter mortgage rules.
Those who go bankrupt or experience a divorce or death in their families cannot be used as measuring sticks that would apply to the rest of the market. Money controllers of the world, want more interest and the government is helping THEM by this kind of talk.
Little people will never benefit from higher rates or tighter mortgage rules.
