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chemgear · 01-23-2011, 01:56 AM

http://www.financialpost.com/news/Ho...950/story.html

Reaction to the new policies has been generally positive. Industry representatives interviewed for this story said the moves take the country back further toward a more measured approach to home ownership and debt. The 2007-2008 experiments with 40-year payback terms and no money down seemed fine at the time. But it’s clear today they went too far.

One industry veteran paints a bleaker picture from the trench.

“We’re no different from Americans, that’s for sure,” says John Cocomile, a broker with GreedyMortgage.com in Toronto. He says of 100 first-time homebuyers he arranged mortgages for in the past three years, 95 of them took the longest amortizations possible.

“Generally homeowners are not conservative. They want the most they can get.”

I haven't been paying attention to real estate longer than a decade or so but I assume it's been 25 years for most of this time? I guess even cut down to 30 years, we're still propped up a little bit versus the long term historical.

01-23-2011, 01:56 AM	#1672
chemgear Franchise Player Join Date: Feb 2010 Exp:	http://www.financialpost.com/news/Ho...950/story.html Reaction to the new policies has been generally positive. Industry representatives interviewed for this story said the moves take the country back further toward a more measured approach to home ownership and debt. The 2007-2008 experiments with 40-year payback terms and no money down seemed fine at the time. But it’s clear today they went too far. One industry veteran paints a bleaker picture from the trench. “We’re no different from Americans, that’s for sure,” says John Cocomile, a broker with GreedyMortgage.com in Toronto. He says of 100 first-time homebuyers he arranged mortgages for in the past three years, 95 of them took the longest amortizations possible. “Generally homeowners are not conservative. They want the most they can get.” I haven't been paying attention to real estate longer than a decade or so but I assume it's been 25 years for most of this time? I guess even cut down to 30 years, we're still propped up a little bit versus the long term historical. Last edited by chemgear; 01-23-2011 at 02:04 AM.