Welcome to Mortgage Rundown, a quick take on Canada’s home financing landscape from mortgage strategist Robert McLister.
We’re witnessing a historic correction to home prices, Royal Bank of Canada warned last week.
Not exactly what you want to hear if you just bought a home with the minimum 5-per-cent down payment.
So far, the median priced condo in the Greater Toronto Area, for example, is already down almost 11 per cent since March, according to real estate fintech HouseSigma. It estimates the GTA’s median detached home has plunged almost 25 per cent – in less than five months.
If you bought a $500,000 home with 5-per-cent down, you were 98.8 per cent financed on day one. That’s because, after the $25,000 down payment,…