Mortgage Tightening, Loophole, and Housing Crash?

The headings below say it all. But fret not …

No housing woes in Canada, mortgage lobby says, but many beg to differ

Image Source

The Globe and Mail – ‎Jun 29, 2016‎
A report yesterday from Mortgage Professionals Canada (MPC), an 11,000-member group, follows Finance Minister Bill Morneau’s promise for a “deep dive” into the housing market and his establishment of a study group made up of his government, the …

Mortgage Professionals Canada says there’s no evidence of housing bubble

There is no housing bubble, and any misguided attempts to fix one will cause bigger problems in the long run. That’s one of the main takeaways of a new report fromMortgage Professionals Canada, an industry group that represents 11,000 mortgage brokers …

Canada Mortgage Rule Tightening Would Be Tragic, Says Mortgage Industry

Huffington Post Canada – ‎Jun 29, 2016‎

Even George R.R. Martin couldn’t dream up the calamity that would befall us if Canada tightened mortgage rules. That about sums up the sentiment espoused by Will Dunning, chief economist of Mortgage Professionals Canada on Tuesday. In a stunning …

Lack of evidence hindering mortgage policy decisions 

Housing crash in Canada could cost mortgage lenders almost $12 billion, Moody’s warns

Financial Post – ‎Jun 20, 2016‎
There are “systemic vulnerabilities” in the Canadian mortgage market that would be exposed if the country were hit by a U.S.

Canadian banks could survive a 25% house price decline, Moody’s says

The vast majority of mortgages in Canada are insured by the government-backstoppedCanada Mortgage and Housing Corporation, which means the banks are insured if any loans they make with CMHC-insurance go sour.

This mortgage loophole puts us at risk

MoneySense – ‎Jun 27, 2016‎
If the Canadian housing market were to crash it would be catastrophic. At least, that’s the synopsis of the latest Moody’s Investors Service report.
Canada’s big banks could withstand a severe housing crash: Moody’s 
Canada Banks, Mortgage Insurers Can Weather Shock: Moody’s 

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