The Canadian mortgage industry moves quickly but taking a moment to look back at what has happened can be truly helpful.
We have collected some of the biggest housing market news from the first quarter of 2019. Read on for the highlights.
Mortgage Professionals Canada Annual Report
Mortgage Professionals Canada released its annual report in January of 2019 sharing Canadian mortgage industry statistics. This included year-over-year comparisons from 2017 to 2018, such as the amount of home equity taken out, but the part that drew the most attention was criticism of the B-20 guidelines — specifically the mortgage stress test.
OSFI Responds to Mortgage Stress Test Criticism
After Mortgage Professionals Canada released its annual report, many others came out and spoke against the new mortgage stress test rules, which had been implemented by the Office of the Superintendent of Financial Institutions (OSFI).
In a speech to the Economic Club of Canada in February 2019, OSFI Assistant Superintendent Carolyn Rogers responded to the criticism.
Read the response: http://www.osfi-bsif.gc.ca/eng/osfi-bsif/med/sp-ds/Pages/cr20190205.aspx
M3 and National Bank Partnership
In January 2019, the National Bank announced a new partnership with the M3 Mortgage Group. With this partnership, M3 brokers could have the option of offering National Bank brand products to their clients in Quebec.
Read about the partnership: https://www.purview.ca/national-bank-of-canada-mortgage-broker-channel/
The RBC March 2019 Housing Trends and Economic Report saw a slight decrease in its aggregate housing affordability measure, reduced by 0.7% to 51.9%. But the three most expensive markets — Toronto, Vancouver, and Victoria – showed little improvement.
Reverse Mortgage Debt
Reverse mortgage debt tripled in the past five years, reported Better Dwelling.
Teranet Market Insights Report
The 2019 Q1 Teranet Market Insights Report came out in March of 2019 with an analysis of the impacts of the mortgage stress test and how it affected mortgage activity and the market share of Ontario’s banks and lenders.
Teranet Market Insights Forum
On March 29, 2019, financial industry leaders attended the first Teranet Market Insights Forum of the year.
Stéfane Marion, Chief Economist and Strategist at the National Bank spoke about what is to come for the Canadian economy in 2019. Roger Vandomme, Chief Data Scientist at SMC, discussed the role AI and Human Decision Making has to play in the real estate market. And Michael Pertsis, Director of Mortgage Business, Global Funding, and Treasury at National Bank, presented about the Teranet-National Bank House Price Index.
Teranet National-Bank House Price Index
The Teranet-National Bank House Price Index, an independent representation of the rate of change of Canadian single-family home prices, is released monthly. In 2019 Q1, the Composite Index continued to decline.
Read the January 2019 report: https://housepriceindex.ca/2019/02/january2019/
Read the February 2019 report: https://housepriceindex.ca/2019/03/february2019/
Read the March 2019 report: https://housepriceindex.ca/2019/04/march2019/
Purview’s tools help Canadian mortgage professionals navigate changing housing market news. Find in-depth, up-to-date property information, including the legal homeowners, equity estimates, automated valuation models, and more.
Get started today. Call 1-855-787-8439 or visit www.purview.ca.
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