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Mortgage Broker News | 11 Nov 2015, 08:15 AM Agree 0
The crown corporation has finally suggested ways in which it could collect more data for this elusive segment
  • Anthony C. | 11 Nov 2015, 12:51 PM Agree 0
    To what end is the CMHC going to use this information...? Will it be for simple data collection or for a real world application which if shared with the proper authorities, could actually effect a much needed tempering down of market values.

    Its been confirmed over and again that the insatiable appetite of deep-pocketed asian buyer's investment into the BC mainland has been the key factor in driving up real estate values in that region...should the information gathered not be shared with the CRA, then in my opinion, it will have been a wasted effort.

    If the public wants to see real estate laws regarding foreign ownership rules enforced, as such similar domestic laws are traditionally applied to homeowners of Canadian citizenship, then by all means, give the CRA bloodhounds a bone to chew on...then we might have a whiff of some enforcement occurring.

    I personally cannot fathom how we are expected to give credibility to a story that a college student on a study Visa, or a wife with no gainful employment can be allowed to be on title to not just one, but several properties valued in the millions, with large mortgages in some cases to boot, and still avoid capital gains or foreign ownership tax holdback rules when the properties are flipped/sold. And I cannot believe the CRA would sit idly by if they had this information at their disposal....am I the only one with this opinion...?

    The unfortunate reality is we are fighting a rigged game...and the devil is in the details. The RBC reduces the mortgage cap on residential mortgages to foreign buyers, and the Feds wont do a thing about it...and why you ask...its because the feds borrow billions of dollars a year from the big banks at almost zero interest...and the banks are then given space to do what is in their best interest.
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