CMHC to Increase Mortgage Insurance Premiums on March 17
CMHC (Canada Mortgage and Housing Corporation) will increase its homeowner mortgage loan insurance premiums effective March 17, 2017.Premiums are calculated based on the loan-to-value ratio of the mortgage being insured. Lenders typically require mortgage loan insurance when a homebuyer makes a down payment of less than 20%.

The premium can be paid in a single lump sum but more frequently is added to the mortgage principal and repaid over the life of the mortgage as part of regular mortgage payments.

For the average CMHC-insured homebuyer, the higher premium will result in an increase of approximately $5 to their monthly mortgage payment.

For example, if your property was $266,500.00 and you have a down payment of 5% or $13,325.00, you would have a mortgage of approximately $253,175.00 and need mortgage insurance.

Prior to the increase, your cost for Mortgage Insurance from CMHC would be: 3.60% of $253,175.00 or $9114.30.

After March 17, your cost for Mortgage Insurance from CMHC would be: 4.00% of $253,175.00 or $10,127.00.

However – this $1013.00 increase is spread out over the life of your mortgage, typically for 25 years.  Your increase on a monthly basis will be about $5.10.

If you have questions on how this increase will affect your mortgage, please contact me and I’d be happy to consult with you.

One weekend spring cleaning tips
(NC) Get a head start on decluttering, organizing and simplifying your life with these tasks you can complete in just a couple of days.The one year rule. Pick an area in your home — your closet, cupboards or bookcase — and apply the one year rule. If you haven’t worn it or used it in any way over the last twelve months, donate or toss it. You can make an exception for souvenirs or sentimental items.

Organize your entertainment. Sort your books, magazines, DVDs, records, and games in a way that makes sense for everyday use. Put those for the kids on lower shelves for easy access, and sell or donate any they (or you) have outgrown.

Monitor expiry dates. Check your medicine cabinet, beauty products and kitchen for expired items.

Clean as a team. Involve the family to quickly deep clean a room or two, going into all the nooks and crannies that everyday cleaning misses. Get all the doorknobs, handles and light switches, and move furniture and items in back corners to clean accumulated dust.

Go paperless. Have you ever gone through paperwork and found a cheque you forgot to cash? Avoid having to tidy up your home office next year by making the move to paperless — in banking, shopping and government payments.

Receive your federal payments — including your pension benefits, the Canada Child Benefit and other tax-related payments such as the GST/HST credit — straight into your bank account by signing up for direct deposit. It’s the fastest, safest and greenest way to get your payments. Visit your financial institution or go to for more information.