Here are The Globe and Mail’s top housing and real estate stories this week, with the lowest mortgage rates available in Canada today, commentary from our mortgage expert and one home worth a look.
For many seniors, it’s easier to live in big, empty homes than to downsize
More Canadians are living in larger homes with empty bedrooms than before, a Globe analysis of census data shows. The phenomenon suggests more people are staying in place as they age, rather than downsizing, reports Rachelle Younglai. The lack of housing alternatives for seniors and the high costs of housing are driving the trend, experts say.
Government intervention keeps mortgage defaults at bay, at a cost
According to the Canadian Banker’s Association (CBA), just 15 out of 10,000 mortgaged households are 90-plus days behind on their payments, near the lowest level in decades. Together, high household debt, rapidly increasing interest rates, and the cost of living have created severe financial stress, yet, mortgage gains are near record lows. In his weekly column, Robert McLister looks at why the math doesn’t add up.
This week’s lowest available mortgage rates
Fixed rates edged up again this week as Canada’s bond market followed US yields higher. Canadian yields have had incredible upward momentum, thanks mainly to the North American economy’s refusal to break, reports McLister.
Mortgage borrowers are leaning too heavily on extending amortization periods, the regulator says
Lenders and borrowers are too reliable on lengthening mortgage amortizations to cope with higher interest rates, reports Stefanie Marotta. Borrowers with mortgages in which payments are not high enough to cover the interest portion of the loan could experience a “shock” in significantly higher payments in the years ahead, the head of the Office of the Superintendent of Financial Institutions told The Globe and Mail.
Home of the week: History lives in Niagara-area Regency-style home
376 Nelles Rd. North, Grimsby, Ont.
An old house that remained nearly unchanged as it was handed down through the generations of one family, this home is a local landmark.
Many of the home’s unique elements remain, including the names of the children etched into the window panes. The original hardware – with keys weighing as much as a pound – remains on many of the doors.
Today the house has approximately 3,500 square feet of living space with four bedrooms and one-and-a-half bathrooms. On the main floor, a large living room has a decorative fireplace, wide plank floors and tall windows with views of the manicured grounds.
What do you think is the asking price for this house?
a. The asking price is $1,846,000.