Brokers support CMHC foreclosure policy

Brokers support CMHC foreclosure policy

_{By Donald Horne | 27/02/2013 8:00:00 AM |} 

 

 _{http://www.mortgagebrokernews.ca/forum/brokers-support-cmhc-foreclosure-policy/171459/}

 

CMHC’s request Realtors refrain from labelling properties as "in foreclosure" on MLS was, in fact, designed to protect the market from the kind of collapse the U.S. is still recovering from, suggest brokers supportive of the policy.

“If the CMHC disclosed all of their foreclosures to a client, they would get low-balled on all the offers,” says Bruce Flanagan, with Verico Premiere Mortgage Centre. “Why should they (the investors) take a loss on the property – and by extension, the taxpayers as well?”

CMHC, as the leading provider of mortgage loan insurance and mortgage-backed securities, effectively controls 75 per cent of the default insurance business. This year, its nationwide policy, or request, was challenged by some Quebec Realtors who feared they would be guilty of an ethical breach in keeping consumers in the dark as to whether properties were under power of sale.

Those concerns were brought to the Quebec Federation of Real Estate Boards, which in turn challenged the CMHC.

Ultimately, CMHC and the Quebec Federation resolved the conflict by no longer making the foreclosure disclosure mandatory, based on the seller’s instructions.

Still, many industry players, including brokers, argued the original CMHC policy provided the housing market more protection, especially if the economy hits a rough patch and defaults rise. Any appreciable rise in "foreclosure" listings on MLS might further cool sales and challenge buyer confidence, say proponents of the policy.

Centum Agents Everywhere!

 Centum Agents, have you registered for the Centum Awards & Recognition Kick Off 2013 taking place at the Toronto Congress Centre, 650 Dixon Road, Toronto on Tuesday March 5th?

Today's your last day to register.

Go to your OnlineOffice at http://onlineoffice.centum.ca/, click on Calendar of Events and follow each step.

Hope to see you all there! 

 

Credit Card Tips 2

Consider whether you need a specialized credit card

In addition to standard, gold and platinum cards, there are some specialized credit cards that cater to special needs. 

Some of these specialized cards include:
 
Secured credit cards

A secured credit card is a card that requires you to pay the issuer a security deposit before you can use it. Your credit limit is normally set as a percentage of your deposit (usually 100 percent or more). 

For example, if you pay a security deposit of $500, you would normally get a credit limit of $500 or more.

You might consider applying for a secured credit card if:

     • you have no credit history in Canada,
     • you’ve had credit problems in the past and want to rebuild your credit score; or
     • you've filed for bankruptcy in the past

This excerpt was taken from the publication called "Choosing the Right Credit Card For You" by the Financial Consumer Agency of Canada.

You can find more information at the Financial Consumer Agency of Canada site at http://www.fcac-acfc.gc.ca/eng/index-eng.asp.

Credit Card Tips 1

Inactive credit card account fees:



If there has not been any activity on your credit card for a period of time – usually at least a year – some credit card issuers will charge you a fee for maintaining an inactive account, or may even close your account. If you no longer need your credit card, make sure you contact your card issuer to cancel it and keep a record of the cancellation.
 
Simply cutting up your card does not automatically cancel it, even if your credit card has expired.
 
You may still have to pay an inactivity fee, since you did not cancel the card.

This excerpt was taken from the publication called "Understanding Credit Card Fees" by the Financial Consumer Agency of Canada.

You can find more information at the Financial Consumer Agency of Canada site at http://www.fcac-acfc.gc.ca/eng/index-eng.asp.