Open House- The Real Estate & Mortgage Show: July 28, 2018

With the hot weather and summer vacation schedules, the number of sales has dropped slightly over the last few weeks. There are 6,723 homes currently on the market. Condos represent 1,263 which is low for this type of property. The condo market break down includes 882 apartments, 209 row units, 146 stacked, 13 detached and 12 semis. On the residential side, of the 5,460 on market, 4,805 are detached, 375 are town, 271 semis and 9 stacked. The low inventory of town homes says that this is the fastest moving segments. Builder trends are gearing towards smaller models. Millennials are leaning towards close proximity to urban centres and amenities.

There has been an increase of Toronto residents moving to the Ottawa area given its affordability. When it comes to delinquency ratings, Saskatchewan is leading the provinces with 0.79% of mortgages that are 90 days behind in payments. In Ontario, with 0.10% delinquency is in last place and out of the over 2 million mortgages registered, only 1,963 are in 90 days in arrears.

With the stress test restrictions now in place, purchasing power has definitely been lowered for individuals. The documentation to fulfill the mortgage has also increased as lenders get more stringent on requirements. Down payment documentation is extremely rigid and lenders will request any and all follow-up documentation for large deposits or any inconsistencies. Coming soon, they are working on a system to allow lenders access to bank accounts to verify down payment purposes. There are systems now that provide information on any properties that are currently owned or owned in the past.

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For more information, contact your Mortgage Broker.