New 30-Year Amortizations for Insured Mortgages

Effective August 1, 2024, the government will allow 30-year mortgage amortizations for first-time homeowners who purchase newly built homes.  For existing mortgage holders who meet specific criteria, “permanent amortization relief” will be available to extend repayment periods for as long as they need to get to the number they can afford to pay monthly. It’s an extension from the 25-year mortgage amortizations previously allowed. However, this isn’t for everyone… there is a significant risk to lifetime wealth creation and must be managed with an eye to interest rates and payment terms to reduce the non-deductible interest costs.  

More than one million small businesses in Canada contribute somewhere between 25% and 41% to Canada’s GDP. These small enterprises also account for almost 78% of all private jobs created in Canada and about 70% of the total labor force1.  This market is a sweet spot for advisors in the tax and financial services industry who are ready to provide education on recent tax changes and new planning opportunities.

Sometimes executors fail to execute the duties of their positions with sufficient attention or integrity. In Estate of Forbes McTavish Campbell, the BC Supreme Court removed one of three executors in a rare exercise of that power. The executor was also required to pay special costs of the proceeding- a higher amount of costs reserved for parties who act especially reprehensively. 

For the seventh quarter in a row, the prescribed interest rates remain unchanged. 

The 2015 Distinguished Advisor Conference agenda is coming together nicely. Come think strategically with hundreds of top advisors from across Canada who strive to embrace the challenge of building on client relationships from afar.

Seniors will see an increase in their monthly OAS cheques in July, but they’ll have to resort to the 99-cent menu to buy anything with the extra pension.

Royal Assent was given on June 24, 2015, for the measures announced in the April 21 federal budget, thereby officially legislating the Economic Action Plan 2015 Act, No.1.