Quote:

---

Here is a little bit of information that appeared in my search today on CMHC. It is interesting to note the amount CMHC will need to protect its position.

http://business.financialpost.com/personal-finance/mortgages-real-estate/ottawa-needs-9-billion-fund-to-shield-it-from-full-blown-housing-crash-c-d-howe-warns

But the question is WHY? Why now? Are they expecting to see a down turn in the housing markets and many defaulters and foreclosures?. If so be guided accordingly.

A few of you can plan your purchases to suit your needs, when all of this occurs.

FH.

---

Hello Mr Pramod,

Just want to get an idea on how the int rate is different when you buy principal property or rental property.

To keep it simple lets suppose

1. Verifiable income. - [Good Income]
2. Credit. - [Excellent]
3. Down payment. Whether putting less than 20% or more. [Doesn't matter - Which one gives best rate?]
4. Type of property you want to buy. Principal home, rental property or a cottage. Similarly, the rates could be different for purchase, refinance or switch. [Rental Property]
5. Time to closing. Whether closing in 30-45 days, 90 days, 120 days or more. [Doesn't matter - Which one gives best rate?]
6. Mortgage product and term. Whether looking for variable or fixed rate.?3 year variable would be different than 5 year variable. Similarly there could be 1,2,3,4 or 5 year fixed (or 7 or 10 year term). Rates for NO FRILLS mortgage could be a little better but the restrictions on pre payment or penalties could be more than normal product.[5 year variable / 5 year fixed]

Would you be able to ans based on above assumption.

Thanks!