The Redwood/Raven Reporter
I hope this message finds you well, and 2017 has you off to a good start.
Redwood has been in the business for 28 fun years. This year will be a year of exciting change. The Leafs in the playoffs, the boat in the water, a new corporatedirection, summer weather, the knowledge that my transmission is good for another 200,000K KMs (as the last one exploded in rush hour traffic on the 401), and my daughter getting married.
I would like to announce that Redwood Mortgage will become a licensee of Verico, Canadas largest mortgage network. The lending landscape is changing rapidly, and now is the time to align ourselves with Canadas largest network of mortgage professionals. The Your brand, Your way network system will allow Redwood Mortgage to have access to innovative tools, support devices, industry leading technology and lender accessibility. Some of the large advantages are electronic document storage and an increase in the number of lenders, which leads to moreproducts for you.
Raven Financial Services (Redwoods sister company), will remain totally independent, as previously mentioned Raven specializes in the management of private mortgage portfolios. Raven has doubled in size in the first quarter of 2017. Fly Raven fly!
I would also like to take the opportunity to announce our Marketing Manager and Executive Assistant Natalia Chavez as part of our team. Natalia will be responsible for managing and executing all Marketing projects for Redwood Mortgage and Raven Financial Services. She will also be announcing new exciting news and updates on both Redwood Mortgage Corporation and Raven Financial Services. Natalia will bring a very new approach to our brand with her outstanding skills and extensive knowledge on Digital Marketing.
Lastly, if you want to talk about a mortgage, or refer a friend/family member, or talk about anything really please do not hesitate to call, and I mean this sincerely. Pick up the phone, drop in or send me and e-mail. It is perfectly okay. You know I am a person who loves to get letters in the mail, meet people and talk on the phone.
Robert A. (Bob) Gascon
Redwood Mortgage Corporation FSCO #10288
Toronto index stopped trending down in January
In January the TeranetNational Bank National Composite House Price IndexTM rose 0.3% from the previous month, a tic higher than the historical average for January and a second consecutive monthly increase. However, only four of the 11 metropolitan markets surveyed showed gains the first time since January 2016 that a rise in the Composite Index has had so little breadth. It was due mainly to a second straight monthly jump of the index for the important Vancouver market (1.2% in January on the heels of 1.3% in December). The Toronto index rose 0.2%, the Victoria index 1.0% and the Montreal index edged up 0.1%. All the other component indexes were down on the month: Hamilton (0.2%), Ottawa-Gatineau ( 0.2%), Edmonton (0.3%), Calgary (0.3%), Halifax (-1.0%), Winnipeg (1.1%) and Quebec City (2.0%). For Montreal, it was a 13th monthly increase, and for Hamilton it was a fifth decrease in a row. The rise of the Toronto index was the first in six months. The raw (unsmoothed) Toronto index  on which it is based was up for a third consecutive month. The firming of the smoothed index is due entirely to condo dwellings. The smoothed index for non-condo units fell in January for a sixth straight month, bringing its cumulative decline to 9.6%.
Click here for full release. https://housepriceindex.ca/2018/02/toronto-index-stopped-trending-down-in-january/
2018 CMHC Prospective Home Buyers Survey
In October 2017, CMHC surveyed 2,507 prospective home buyers on-line. Respondents were all prime household decision-makers who intend to purchase a new home within the next two years, including approximately 1,500 First-Time Buyers, 500 current owners, and 500 previous owners.
The survey results highlight that:
First-Time Buyers and Previous Owners share the same top motivator to purchase a home: they want to stop renting. Improved accessibility (physical obstacles and barriers) and investment opportunity were also noted as top motivators across all groups. Changes to mortgage regulations and concerns about possible future interest rate increases were not among the top motivators.
Over four-in-ten First-Time Buyers and Previous Owners say they would delay their home purchase if they were not able to find their ideal home, with a fairly similar proportion saying they would be willing to compromise on the size of the home and location.
The majority of future home buyers intend to obtain a mortgage to finance their home purchase, with First-Time Buyers showing higher incidence compared to Previous Owners and Current Owners.
Across all future home buyers groups, more than six-in-ten say they are likely to have a financial buffer in case their expenses change in the future. Furthermore, the majority of future home buyers, especially Current Owners, agree that they feel confident they have the necessary tools and information to manage their mortgage and debt load.
Among all groups, the two most common actions completed one to two years prior to the purchase of a home were saving for a down payment and determining what type of home to buy. On the other hand, in the last three months before purchasing, about two-in ten of prospective buyers pre-qualify for a mortgage.
About one-in-four prospective home buyers stated that they would be very likely to consider delaying their purchase in the event of an increase in interest rates.