Toronto Housing Sales Collaspe 70% in August 2012

Toronto Condo and New Home Sales Down 70%


Well the reports are in and the Toronto Condo and New Home Market collapsed by 70%  as reported by industry trade group BILD.  So now we can expect the talk of a Toronto housing bubble to become even more pronounced. There were 1,242 new homes sold in the Greater Toronto Area in August of 2012, down 70 per cent from 3,496 sales in August of the previous year,

The impact of the federal government's new mortgage lending regulations has likely had a major impact on the ability of people to borrow money for new homes and condos. The changes to the maximum amortization period for a government-insured mortgage fell from 30 years to 25, and the maximum amount that can be borrowed against one’s home was reduced to 80 per cent of equity, from 85 per cent.

Reports are located here

BILD Report

Installation Guide for Luan Wood

Using Luan Plywood as Flooring

Using Ceramic or Carpet Over Luan Wood

Removing Luan Plywood - Instructions

Using Luan Subfloor For Laminate

Using Staples to Install Luan Subfloor

How to Install Luan Wood on Curved Surfaces

How to Finish Luan

Getting a Mortgage and Mortgage Insurance through National Bank Insurance for financing a loan to purchase at FIVE Condos is actually a relatively easy process, and new rules from the federal government has required that company include new regulations, which have made the home loan and mortgage process a bit more difficult. Those changes at National Bank Insurance include shortening the amortization period for which the loan can be held by the consumer, and the degree to which the property is financed by the mortgage. They have also increased deposit requirements to lift the loan insurance amount. Mortgage insurance from National Bank Insurance is actually one of the major financing costs on home loans.

Investment Trusts have no taken to looking to purchase rental properties and acquiring mortgages through financing auctions by the banks looking to shore up their balances sheets in light of stricter government regulation. These regulations have actually made holding residential mortgages by the large financial institutions harder to hold. Currently investors are looking to increase their position in rental properties in Toronto, at the same time the federal government in co-operation with the financial institutions are making getting and qualifying for loans and mortgages more difficult