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Mortgage Broker News | 16 Jul 2013, 12:00 AM Agree 0
Mortgage brokers may have been ready to burn Jim Flaherty in effigy last year when he tightened the mortgage rules, but yesterday’s announcement by the Prime Minister that Flaherty would remain as finance minister drew a grudging sigh of relief across the channel.
  • Kent Farnsworth, Meridian Simply Mortgages | 16 Jul 2013, 08:59 AM Agree 0
    All these changes made over the past 5 years have made it incredibly difficult mostly for new home buyers, self employed and people needing to use some equity in their homes. All these changes were made in the guise of a fictitious housing bubble, and of course "Household debt".
    I find it incredible that for 5 straight years, us people in the mortgage industry have had to deal with the stress of the conservative governments misunderstanding of the real culprits. Yes there were some changes that needed to be made to the rules but there should also have been some serious changes to the auto finance industry and unsecured revolving credit rules.
    How is it possible that a person can buy a car, trade it in 2 years early and then finance 120% of the new vehicle??? To get approved for this type of loan, a simple paystub most times will suffice. No call to employers to verify income or anything. And credit cards.. That is even more ridiculous. A person can go online, state that they make 150k per year and if they have great credit, they'll get a limit justifying that sort of income, even though they may only make 25k per year! The federal government obviously feel that this sort of lending is ok as they have done NOTHING to change it. But they certainly have beat the hell out of me for the past 5 years. I don't think it's good at all that this half wit is still the finance minister. I just hope that in the next election they're finally gone, and the liberals will ease up on some things in our business and reflect upon the predatory lending practices in the auto and credit card business.
  • John | 16 Jul 2013, 01:29 PM Agree 0
    What slowed the real estate market was the media talking about all the changes, not the changes themselves. The changes did nothing and now that the media is on to other topics the real estate market is booming. My two cents.
  • Kenzie MacDermid | 18 Jul 2013, 08:34 AM Agree 0
    100% correct Kent! The conservative government is all about screwing the self employed, first time buyers, and those looking to use their OWN equity in their house to consolidate debt. The default rate with CMHC is low. The Bank of Canada is mandated to control growth and inflation, so let them do this through interest rate modification. All Flaherty is doing is making sure people pay more in interest and thus making his friends at the Green bank, etc more money. This is all total b.s. in my opinion. Let free markets control them selves.
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