Thursday, April 25, 2013

Why is the Bank of Canada so fixated on a 1% rate?

The Bank of Canada has held the benchmark interest rate at 1% for nearly three years running and despite record household debt, a crumbling eurozone and slowing growth in China, there’s still no sign that’s going to change any time soon.

It’s not the lowest rate on record — for a stretch in 2009 and 2010 it went down to just 25 basis points — but it’s certainly one of the longest periods in history of the central bank that the overnight rate has been kept close to rock bottom for so long.

Interestingly, the Governor of the Bank of Canada has been hinting for more than a year that the next rate move will be up even as the outlook for economic growth has grown increasingly gloomy — leading some observers to predict that in fact a downward shift is more likely.

Click here to read further. . . 

Tuesday, April 23, 2013

Curb household debt to slow rate hike sasy Carney

Curb Household Debt .... Says Carney
Bank of Canada Governor Mark Carney warned on Thursday that interest rates could rise sooner if the growth in household debt, which is related to the housing market, was not tempered.

"A concern of the Bank of Canada...has been the pace of growth of household debt, which has been related to dynamics in the housing market. And so a number of measures have been taken to slow that pace," he told a Reuters-sponsored event, noting that the growth rate has fallen "quite nicely" to 3 percent from 13 percent.

"We have conducted monetary policy in, we think, a pretty transparent way that has highlighted the risks to this, and the potential consequences for the path of interest rates. In other words, they could be higher sooner if this isn't addressed or this isn't adjusted in a more timely way."

Asked if there was a Canadian housing bubble, and whether this could burst, he said: "We see valuations in the housing market as being quite firm and very firm in some markets. We are seeing an adjustment in those prices and we are now seeing household debt levels stabilize, albeit at high levels. But things are moving in the right direction, including on the new build side, on the housing starts side."

The governor said it was best if the adjustment took place over a couple of years, and added that business investment and exports would now need to pick up to fill in the gap from housing if overall economic growth were to move higher. (source: BNN)

Thursday, April 18, 2013

Home Buying Mistakes Newcomers Make

Avoiding common home buying mistakes can make your transition to Canada that much easier

by Jennifer Goldberg
When Charles Waterman was finally able to purchase his first home in Canada, he was thrilled. “It was a feeling of accomplishment and satisfaction,” says the native Barbadian. “It gave me a sense of pride to live among other homeowners in Toronto.”

Now a real estate agent with Royal LePage, Waterman helps other new Canadians become homeowners. In his line of work, he’s seen immigrants make the same errors as they search for their first property. Here’s his advice on how to avoid common mistakes new Canadians make when entering the real estate market.

Click here to read on how to avoid real estate mistakes when new to Canada.

Tuesday, April 16, 2013

An investment of a lifetime

(NC)—Owning your own home is an exciting proposition and an achievable goal for most Canadians. The number one reason many become homeowners is pride of homeownership and the stability and security that comes with it.

Buying a home can also be a solid investment and provide tax benefits. In Canada, you are not taxed on any investment gains made on the sale of your primary residence. So, for example, if you buy your home for $200,000 and sell it 5 years later for $250,000, you do not have to pay income tax on the $50,000 you earned from the sale. 

Another advantage is each time you make a mortgage payment, you are putting a portion towards the principal balance of your mortgage, which builds equity in your home. This is a better use of your money than giving rent to a landlord and is a good long-term investment. 

Owning a home also means that you can make your own decisions on decorating, home improvements, location, etc. In a recent survey conducted by Genworth Canada, 91 per cent of first-time homebuyers said that homeownership may mean more work but the effort is well worth it.

When it makes financial sense, buying a home is often a wise, secure and emotionally satisfying move to make.

For more information on buying a home visit

Thursday, April 11, 2013

“Success is not unintentional”
Life is all about choices!

The relationships we have, the way that we conduct ourselves, the way we look, the way we act……these are all choices that we make.

Yes, there are always influences that may affect our choices but ultimately you and you alone are responsible for your choices.

We all need to own and accept responsibility, recognition and praise for the many choices that we make each and every day.

The one choice that is not always clear to many people is the choice of success.

Success is not an option you can pick off the shelf. It is an intentional decision and one that needs daily commitment.

We all know the stories of the overnight success that got there by working diligently and effectively for the last 25 years.

If you
are looking for overnight success you need to buy a lottery ticket…..and really hope you win but unfortunately the odds are dismal.

You need to be purposeful and intentional that you are successful and you will stay successful…..all your life!

You have a winning lottery ticket and that is you…..all you need to do is commit to your success and fill your day with activities that will make you successful.

Yes, it is that easy……commit to your success…..NOW!

Abundance, joy, happiness and success is waiting for you…..don’t disappoint yourself.

Have a terrific month…..all the very best,

Colin Dryer

Tuesday, April 9, 2013

Why Ottawa is pushing for answers over RBC move to outsource jobs

The federal government is investigating Royal Bank of Canada’s move to outsource technology jobs and reviewing paperwork submitted by its contractor to bring in temporary foreign workers. The probe centres on what the government sees as “apparent discrepancies” regarding RBC’s explanation of the events.

Click here to read more about RBC's move to outsource jobs. . .

Thursday, April 4, 2013

Do you know your credit score?

When people are asked if they’ve checked their credit report or credit score (yes, there’s a difference), most say they haven’t – although they agree it’s a good idea.

A credit report will list your history of payments, what types of credit you have, and how much of it you are using. A credit score gives you a number which essentially sums up all that information and tells lenders how much of a default risk you are, or, how profitable you can be for them.

Click here to read more about Credit Reports and Credit Scores.