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Mortgage Broker News | 03 May 2013, 12:00 AM Agree 0
The popularity and success of Location Efficient Mortgages in the United States could be applied to major urban centres like Toronto, says one broker, and lenders north of the border could easily include it as one of their mortgage products
  • Paolo Di Petta | | 03 May 2013, 09:48 AM Agree 0
    How does this offer any value? If anything, this only penalizes people who live in more rural areas even more.

    From the article: "Traditionally, mortgage-risk is assessed on income and major debts (like car loans or leases), but other factors like the costs associated with operating a vehicle, like fuel, maintenance and insurance, are not factored in."

    So it wouldn't actually make urban mortgages more affordable, instead it would introduce more criteria to make other mortgages less affordable.

    Where's the benefit?
  • Lance | 06 May 2013, 07:44 AM Agree 0
    So basically you would either have to ad say $500 a month (6k) to one's personal income if they're going to live DT, or conversely, you have to re-jig the entire qualifying process to include these extraneous items, which I think as Paolo suggests, in our politically (in)correct society will morph into penalizing those that drive. Sounds like a Lefty end-run to Agenda 21 if I ever heard one!!! (Agenda 21 is everyone piled into towers and get rid of all other housing & ppty rights in order to "save the planet". Google it
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