The annual 619-page study released to parliament today reviews the UKโs commitment to a 68% cut in greenhouse gas emissions by 2030 and 78% by 2035, compared to 1990 levels, before hitting net zero by 2050.
But chair of the committee Lord Deben writes in the report: โIn targets, the UK is indeed a world leader. However, this progress report reveals that, despite important achievements in renewable energy and electric vehicles, the government is failing in ...
The annual 619-page study released to parliament today reviews the UKโs commitment to a 68% cut in greenhouse gas emissions by 2030 and 78% by 2035, compared to 1990 levels, before hitting net zero by 2050.
But chair of the committee Lord Deben writes in the report: โIn targets, the UK is indeed a world leader. However, this progress report reveals that, despite important achievements in renewable energy and electric vehicles, the government is failing in ...
As of June 2022, we are currently seeing unnatural discrepancies in the size of mortgage loans borrowers will qualify for, and itโs all because of a rift in the space-time stress test continuum. You see, most 5-year fixed mortgage rates are already over 5%, making their stress test a full 2% higher at 7% or more. Concurrently, the mortgage stress test rate for variable mortgages is still a comparatively low 5.25% or so. In order to maximize the amount homebuyers can qualify for, many borrowers...
As of June 2022, we are currently seeing unnatural discrepancies in the size of mortgage loans borrowers will qualify for, and itโs all because of a rift in the space-time stress test continuum. You see, most 5-year fixed mortgage rates are already over 5%, making their stress test a full 2% higher at 7% or more. Concurrently, the mortgage stress test rate for variable mortgages is still a comparatively low 5.25% or so. In order to maximize the amount homebuyers can qualify for, many borrowers...
Earlier this month, the Bank of England scrapped its mortgage affordability stress test. With mortgage rates now north of 4% and 5%, and presumably approaching their peak for this rate-hike cycle, some are wondering if changes to Canadaโs stress test are overdue. The stress testโs history The mortgage stress test requires both insured and uninsured mortgage borrowers to prove they can meet monthly mortgage payments based on a rate of 5.25% or two percentage points higher than their contract...
Earlier this month, the Bank of England scrapped its mortgage affordability stress test. With mortgage rates now north of 4% and 5%, and presumably approaching their peak for this rate-hike cycle, some are wondering if changes to Canadaโs stress test are overdue. The stress testโs history The mortgage stress test requires both insured and uninsured mortgage borrowers to prove they can meet monthly mortgage payments based on a rate of 5.25% or two percentage points higher than their contract...
Despite todayโs mortgage borrowers having to qualify at rates in excess of 6% and 7%, Canadaโs banking regulator said no changes to the stress test are imminent. In a speech last week, the head of the Office of the Superintendent of Financial Institutions (OSFI), Peter Routledge, threw cold water on the prospect of the regulator making any tweaks to its stress test for uninsured mortgages, or those with down payments of 20% or more. โThe uncertainty and anxiety caused by a rising interes...
Despite todayโs mortgage borrowers having to qualify at rates in excess of 6% and 7%, Canadaโs banking regulator said no changes to the stress test are imminent. In a speech last week, the head of the Office of the Superintendent of Financial Institutions (OSFI), Peter Routledge, threw cold water on the prospect of the regulator making any tweaks to its stress test for uninsured mortgages, or those with down payments of 20% or more. โThe uncertainty and anxiety caused by a rising interes...
On Wednesday, Canadaโs federal banking regulator unveiled revisions to its Mortgage Insurer Capital Adequacy Test (MICAT) for insured variable-rate mortgages (VRMs). The premise of the change from OSFI means the calculation used by Canadaโs mortgage default insurers to determine their capital reserve requirements for residential VRM loans must be based on an amortization of no more than 40 years. The change is in response to rapidly rising mortgage rates, which have resulted in temporarily...
On Wednesday, Canadaโs federal banking regulator unveiled revisions to its Mortgage Insurer Capital Adequacy Test (MICAT) for insured variable-rate mortgages (VRMs). The premise of the change from OSFI means the calculation used by Canadaโs mortgage default insurers to determine their capital reserve requirements for residential VRM loans must be based on an amortization of no more than 40 years. The change is in response to rapidly rising mortgage rates, which have resulted in temporarily...
Thereโs been a great deal of discussion recently over the mortgage stress tests and whether it makes sense to maintain the current policy parameters in this period of elevated interest rates. In this two-part series, Iโll explore the premise of the mortgage stress tests and their current relevance in the context of todayโs sharply higher interest rates and worsening economic conditions. A recap: What is the mortgage stress test? Most new residential mortgages in Canada are subject to โst...
Thereโs been a great deal of discussion recently over the mortgage stress tests and whether it makes sense to maintain the current policy parameters in this period of elevated interest rates. In this two-part series, Iโll explore the premise of the mortgage stress tests and their current relevance in the context of todayโs sharply higher interest rates and worsening economic conditions. A recap: What is the mortgage stress test? Most new residential mortgages in Canada are subject to โst...
โIt will not come as news to you that the economic outlook for the UK is uncertain,โ the trade body told its members in an advisory note. โThe global economy is challenging and the pressures on UK businesses and citizens are well known.โ ย
The association says that the 2007-08 global financial crisis saw a more than 40% drop in conveyancing transactions from one year to the next. However, it points out that the turnover of its regulated firms fell by ...
โIt will not come as news to you that the economic outlook for the UK is uncertain,โ the trade body told its members in an advisory note. โThe global economy is challenging and the pressures on UK businesses and citizens are well known.โ ย
The association says that the 2007-08 global financial crisis saw a more than 40% drop in conveyancing transactions from one year to the next. However, it points out that the turnover of its regulated firms fell by ...
This is the second in a two-part series exploring the impact the mortgage stress tests had on borrowers, as well as their relevance today. You can read part 1 here: A deep-dive into the mortgage stress tests: Did they serve their purpose? In this part, I will review past recommendations I have made concerning the stress tests, along with some additional and unintended risks the stress tests have brought about. Deciding on the qualifying interest rate In the past, I argued that the qualifying rat...
This is the second in a two-part series exploring the impact the mortgage stress tests had on borrowers, as well as their relevance today. You can read part 1 here: A deep-dive into the mortgage stress tests: Did they serve their purpose? In this part, I will review past recommendations I have made concerning the stress tests, along with some additional and unintended risks the stress tests have brought about. Deciding on the qualifying interest rate In the past, I argued that the qualifying rat...
With rumors of a new market meltdown coming, do you know how to thrive no matter what? ย If you want to weather any storm, you must know how to read the conditions. ย The first secret to that? ย The 7 P's: ย Proper Previous Planning Prevents Pitituflly Poor Performances. ย Whether you're in a buyers, sellers or balanced market, learn the basic rules for identifying your rmaket and how to do more than just survive!ย
Requestย Info About Our Coaching ProgramsVisit Tim & Julie Harris OnlineListen o...
With rumors of a new market meltdown coming, do you know how to thrive no matter what? ย If you want to weather any storm, you must know how to read the conditions. ย The first secret to that? ย The 7 P's: ย Proper Previous Planning Prevents Pitituflly Poor Performances. ย Whether you're in a buyers, sellers or balanced market, learn the basic rules for identifying your rmaket and how to do more than just survive!ย
Requestย Info About Our Coaching ProgramsVisit Tim & Julie Harris OnlineListen o...
