Date Posted: February 3, 2020
Steve, Frank and Dora discuss the state of the market, and the large amount of first-time home buyers they have seen recently.
Ottawa remains real estate listing starved with only 2,773 home for sale including all surrounding area. With the aging population in Ottawa the small single homes and townhomes have become more popular and therefore prices have increased, especially over the last 2 years.
The struggle to qualify for a mortgage is still hampering the home ownership dream of some first-time buyer. The qualifying rate remains at 5.14% which can be over 2% of purchasing mortgage rates. This means more and more buyers are using the guarantor programs to help achieve home ownership dreams. A guarantor program allows a parent to guarantee the mortgage without going on title. However, many banks require this setup to be a co-signer scenario where the co-signer is just a responsible for the mortgage as the purchasers.