Lenders now seeing 60-, 70-, even 90-year mortgages as Canadians struggle with rocket

[ThatGuy950]

https://www.thestar.com/business/202...keting.html?rf

“For most homeowners, the standard time to pay off a mortgage is 25 years.

Now, in the face of crippling interest rates, some existing homeowners are seeing their amortization period go as high as 90-years as their ‘fixed-payment’ variable-rate mortgages adjust automatically to rising interest rates while the monthly payment remains the same.

There are two types of variable rate mortgages, experts say, one is a variable-rate fixed-payment mortgage, the other an adjustable-rate mortgage — a “floating” payment that rises and falls with changes in the prime rate.

Homeowners with a variable-rate fixed-payment are in a riskier position during a high-interest-rate period, experts say, because they are seeing a greater percentage of their monthly payment go toward interest and not principal — and for a longer period of time.”



Inb4 Anachron

[Duckliver]

Boot economics.

First drive people who can’t afford the cost outright out of ownership then start putting the pain on renters

[Leonydus]

30k worth of lumber, drywall and shingles

thatll be 500k.

sign here goyim, if you dont we wil import millions who are willing to do it. welcome to eternal debtor status
or blackrock will buy it and rent it out

[IlChosenOne]

Lol @ cucknadians srs

[MEDITATE]

something very wrong with everything in this world these days.... and i doubt things will stay peacefull and stable on this side of the world for so long..... i predict a sh!tstorm .... and not any sh!tstorm ...... an explosive diarrhea sh!tstorm

[moosik85]

All part of the great reset

[BigDeeps01]

Canadians lol

[BigDeeps01]

30k worth of lumber, drywall and shingles

thatll be 500k.

sign here goyim, if you dont we wil import millions who are willing to do it. welcome to eternal debtor status
or blackrock will buy it and rent it out

You are of course able to build your own house

[NitrogenWidget]

variable rate mortgage?
really?

[BigDeeps01]

variable rate mortgage?
really?

All mortgages in Canada are basically variable they get absolutely played lol

[NitrogenWidget]

All mortgages in Canada are basically variable they get absolutely played lol

holy fuk.
brb 3ish % interest rate on my mortgage.

[r32gojirra]

They’ve basically stopped usury and commenced all-out slavery

This is why I told the wife we need to have at least 1 house for each child we have and gift it to them or at least let them live there rent free

It will be impossible in coming years

[WetCoaster]

The story is incredibly misleading. No one is going to have a 90 year mortgage lol. There are some temporary measures in place for some that will be corrected.

I see many here do not understand variable interest rates. Historically they have been a better bet. Not long ago you could get prime -1.9%.

I knew people paying a rate of .1% on their mortgage.

Everyone must remember the sub prime mortgages handed in the out in the US before Obama became President that devastated the US housing market in 2008.

[MajorTendonitis]

The boomers did this!

[guest89]

I follow a dude on IG who's in the process of building his own home. And he/his wife have full time jobs with that. Obviously you need to have the tools/knowledge and friends willing to help. But its a doable venture assuming you know your ****. I'm not 100% certain but I think he's cash flowing the house so there will be no mortgage and he'll be debt free.


I know a few Asian families that have done this as well IRL.



Houses these days are unnecessarily complex.

[Dave22reborn]

Damn, with prices that high in Canada, it must be an amazing place to live......

[Dave22reborn]

homeownercels are gettging too cocky


time for the goverment to change the property tax rules

Always cracks me up when people like you believe the answer to everything is more government......

[Jasonw1178]

Stop allowing foreigners to buy property. US has this issue too but not on the same scale. More and more I see that Japan has it figured out.

[WoofieNugget]

Stop allowing foreigners to buy property. US has this issue too but not on the same scale. More and more I see that Japan has it figured out.

This is part of the problem, but really foreign ownership isn't as high as people think it is. One problem is multiple property owners. They should be taxed brutally for any additional properties over maybe 1 or 2 extra.

There's so many people going underwater in the next two years if the interest rates stay high - as they should - the people who had FOMO in 2020 and 2021 and overpaid for houses with variable mortgages are screwed. Tons of them already are earning no equity and actually just paying rent to a bank (ie interest) plus even losing equity at the same time.

Average home price in Toronto is I think above 1.5 million now. It's just unsustainable unless you want 6-10 pajeets living in all the houses because they are used to living like sardines.

[buttlove]

90 year mortgage lmfao

[BigGuyTruth]

I make 6 figures and cant even get a home

[Gibb1991]

The story is incredibly misleading. No one is going to have a 90 year mortgage lol. There are some temporary measures in place for some that will be corrected.

I see many here do not understand variable interest rates. Historically they have been a better bet. Not long ago you could get prime -1.9%.

I knew people paying a rate of .1% on their mortgage.

Everyone must remember the sub prime mortgages handed in the out in the US before Obama became President that devastated the US housing market in 2008.

It is misleading. Also all these people can lock in a fixed rate to save the worry.

I got a 5 year fixed at 1.8% and when I posted about this one another forum people flamed me for being a fool not going variable. Seemed foolish to me to risk it at these crazy low rates.

[Akd123]

homeownercels are gettging too cocky


time for the goverment to change the property tax rules

my last propert tax was $350 a year.you mad?

[r32gojirra]

"Making six figures" in monopoly money beaverdollars is not the same as making six figures in real dollars.

Yes but they refer to them as pounds or euros, not dollars

[HMFIC_BROWSIN]

They’ve basically stopped usury and commenced all-out slavery

This is why I told the wife we need to have at least 1 house for each child we have and gift it to them or at least let them live there rent free

It will be impossible in coming years

in b4 property taxes even become unmanageable.