What’s New Around The Blogosphere: January 21st, 2011

With Canadian household debt at a record high the Canadian Government took some steps this week to try and curb the excessive borrowing by introducing new mortgage regulations.  While many people would have liked to see an increase to the minimum down payment requirement or a further reduction in the maximum amortization to 25 years, I feel the steps they took were appropriate given the circumstances.  Now we will see if there is a mini-boom in the housing market again before these changes take effect.

Here are a few of my favorite articles from around the web this week:

  1. Sweating the Big Stuff says not to Waste Your Money on an Emergency Fund
  2. Financial Uproar is tired of his old car, He Wants a New One
  3. Canadian Couch Potato tries to Debunk Dividend Myths
  4. Balance Junkie asks Why Commodity Prices are Rising?
  5. Michael James discusses Personal Financial Fears
  6. Million Dollar Journey compares Dollar Cost Averaging vs. Dollar Value Averaging
  7. Wealth Web Gurus writes about The New Debate Between RRSP’s vs. TFSA’s
  8. Financial Highway has 5 Tips to Build a Strong Financial Foundation
  9. Big Cajun Man wants to know The Value of a Day Off
  10. Money Smarts Blog does a detailed review of Mint.Com Canada

Have a great weekend everyone!

5 Responses to What’s New Around The Blogosphere: January 21st, 2011

  1. I hadn’t thought about the rush to complete mortgages before the new rules kick in. It’s like having someone call the clock on you in poker. I wonder how many people will “go all in” because they think it’s their last chance.

  2. I am confused about one of your statements! You stated that the maximum amortization is 25 years, however the regulations you quote say it was reduced from 35 to 30 years. Which is correct? My comment regarding the changes are now it is similar to the US rules, except most banks want a 20% down payment. The banks are tightening credit as a reaction to the real estate bubble bust.

    • Hi krantcents, thanks for your comment. Just to clarify, I said that some people would have liked to have seen the maximum amortization get reduced to 25 years, but the gov’t only reduced it to 30 years.

      It is still prudent to make a 20% down payment here to avoid CMHC mortgage insurance fees, but you can still buy a house with a minimum of 5% down here in Canada.

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