1. The Bank of Canada decided to keep interest rates steady and the prime rate charged by the major banks stays at 6%. The statement seems to indicate that the Bank will maintain the current interest rate in its next meeting.
  2. The federal government has enacted a legislation that drops the minimum down payment required to get a conventional mortgage from 25% of the value of a home to 20%. Earlier, the mortgage loan insurance would have cost 1% for a homebuyer who wants to get a mortgage of more than 75% but less than 80% of the property value.
  3. Ellen Roseman writes in The Toronto Star that mortgage life insurance is usually a bad deal for consumers.
  4. A report in The Globe and Mail says that “high costs, questionable benefits and lax disclosure regulations” of principal protected notes (PPNs) are attracting the attention of regulators and the federal government.
  5. Steady Hand’s Tom Bradley opines that foreigners are overpaying for our public companies and Canadians will have a good opportunity to buy back these assets at lower prices in the future.