Canadian Funding Corp Reviews CMHC Affordable Housing Reports

Canada has of course also been going through a real estate crisis, just as the United States has. However, it’s perhaps worth noting that the Edmonton banks are once again beginning to offer mortgages. Of course, it is only to be expected that they are now a little more cautious than before with regards to the way they view a property as well as the borrower. Nonetheless, this is an ideal time to apply for a mortgage given that the interest rates are incredibly low. Furthermore, it is said that the housing market has by all accounts bottomed out, so if this is the first time you’re contemplating purchasing a property, you’ve come along at just the right time in order to get the lowest possible price, together with the lowest interest rates.

Surprisingly enough, even though the government phased out 100% loans, providing you have a good credit history, you can still obtain 95% financing. What this means is; apart from attorney fees, you will only be required to make a down payment of 5%.

Government guaranteed mortgages are still out there too for Edmonton mortgages. A few of the rules have changed, but they are not deal breakers by any means. For instance, the maximum amortization period has changed slightly moving down from 40 years to 35 years. Government backed mortgages will now require that a 5% down payment needs to be paid now, and there is a minimum credit score requirement now.

These steps have essentially been taken in order to safeguard Canadian citizens from witnessing the same mess as is being seen by U.S. citizens. Unlike the current feeling in the United States, the housing bubble in Canada has not yet burst so to speak, particularly in Edmonton because of conservative mortgage lending in the past.

The Canada Mortgage Housing Corporation (CMHC) mortgages offer many flexible financing tools and options, such as extended amortization periods, and the single advance plan as well as progress advances are available. Also do not ever forget that those mortgages offer portability for your next home should you have to move! Also, remember that you will be given a break for purchasing an energy efficient home in Edmonton.

Other good news circulating in the mortgage market is that as from June, 2009 residential starts actually saw an increase for the second consecutive month, whereas in the United States, residential housing starts are all but non-existent.

The Canada Mortgage Housing Corporation recently reported that the overall vacancy rate regarding senior housing in standard units has remained steady at 5.9% since the beginning of the year. Additionally, the average rent for a standard retirement home unit has remained at approximately $2,334 per month in Alberta.

We do however have one thing in common with our southern neighbors in that we also have access to hard money lenders in Edmonton. In fact, it is common knowledge that these lenders have been freeing up a considerable amount of cash in recent times and as a result, mortgages are now available but they come with a loan to value ratio of approximately 70/30 which of course is quite expensive, both in terms of interest and points. For this reason, unless you have been refused a mortgage by the banks, you would be well advised to avoid such private lenders altogether.

http://firstforextrading.com/mortgages-in-edmonton-3643

brought by Moishe Alexander, CFC canadian funding corp CEO

With an emphasis on helping others, Canadian Funding Corporation (CFC) conducts business and community service wholeheartedly. CFC finds causes that are important to the company, and offers assistance based on understanding. Because of its continued service, Canadian Funding Corp has established itself as a leader for several groups.

Canada Mortgage and Housing Corporation (CMHC) launched its new National Seniors’ Housing Survey today. The survey, conducted in all provinces, collected information on vacancy rates and rents in seniors’ residences with services not offered in traditional rental structures.

“Vacancy rates and rent levels in the seniors’ housing market reflect a different market makeup than the traditional rental market,” said Bob Dugan, Chief Economist for CMHC. “The demand for seniors’ housing is expected to increase as the baby boom generation ages. The anticipation of this eventual increase in demand, has spurred the construction of seniors’ units ahead of actual demand. This, in turn, has led to an average vacancy rate of 9.2 percent in seniors’ residences that tends to be higher than in the traditional rental market.”

The national vacancy rate applies to standard spaces, which are defined as:

* private units such as a bachelor, one-bedroom or two-bedroom apartment occupied by a single individual or a couple; one unit is considered as one standard space;
* semi-private units; one unit is considered as two standard spaces;
* ward units; one unit is considered as three standard spaces or more;

The vacancy rate is calculated for all standard spaces regardless of whether the occupant participates in a meal plan or requires medical services. The vacancy rate covers only spaces that accommodate residents who receive less than 1.5 hours of care per day.

Vacancy rates varied considerably across the country, from a low of 3.4 per cent in Saskatchewan to a high of 18.9 per cent in Newfoundland and Labrador. The vacancy rate in Ontario (13.3 per cent) was above the national figure, while the rates in British Columbia (7.5 per cent) and Quebec (7.9 per cent) were below average.

Average monthly rents in the seniors’ market are higher than traditional market rents, reflecting the additional services and amenities that residents of these structures receive. The average rent for bachelor/private units where meals are included was $1,774 per month. Average rents ranged from a high of $2,519 per month in Ontario to a low of $1,271 in Quebec. Differences in average rents reflect, in part, the varying prevalence of services and amenities in each province.

As Canada’s national housing agency, Canada Mortgage and Housing Corporation (CMHC) draws on more than 60 years of experience to help Canadians access a variety of quality, environmentally sustainable, and affordable homes — homes that will continue to create vibrant and healthy communities and cities across the country.

Information on this release:

Andrea Scott
CMHC
Media Relations
Tel.: 613-748-4075
ascott@cmhc-schl.gc.ca

Backgrounder

* CMHC conducted its first National Seniors’ Housing Survey in February and March 2009. Previously, CMHC had regional seniors’ reports in B.C., Ontario and Quebec, which were published annually.
* The new national survey was conducted in all 10 provinces and in all centres regardless of size, which had a residence meeting the eligibility criteria.
* The survey targeted private and non-profit residences where the majority of residents were 65 years of age or older and had access to additional services not offered in traditional rental structures. To be eligible for the survey, a residence must provide an on-site meal plan or on-site medical services. Virtually all residences surveyed provided an on-site meal plan. Other amenities and services that were popular in some of the residences included on-site medical services (57.8 per cent), transportation services (44.2 per cent) and 24 hour call-bell service (92.0 per cent). Note that the survey excluded nursing homes and long-term care facilities.
* Across Canada, some 43 per cent of standard spaces in the seniors’ housing market rented for less than $1,500 and 22.0 per cent of spaces rented for $2,500 or more per month.
* Some 176,845 seniors lived in the 2,464 residences surveyed, capturing 8.2 per cent of the Canadian population at, or above, the age of 75.

http://www.cmhc.ca/en/corp/nero/nere/2009/2009-06-22-0815.cfm

reviewed by Moishe Alexander, CFC CEO