Minister Morneau announces new benchmark rate for qualifying insured mortgages

For many Canadians, their home is the most important investment they will make in their lifetime. That is why the Government of Canada has introduced measures to help more Canadians achieve their housing needs while also taking measured actions to contain risks in the housing market. A stable and healthy housing market is part of a strong economy, which is vital to building and supporting a strong middle class.

Minister of Finance, Bill Morneau, announced changes to the benchmark rate used to determine the minimum qualifying rate for insured mortgages, also known as the “stress test.” These changes will come into effect on April 6, 2020. The new benchmark rate will be the weekly median 5-year fixed insured mortgage rate from mortgage insurance applications, plus 2%.

This follows a recent review by federal financial agencies which concluded that the minimum qualifying rate should be more dynamic to better reflect the evolution of market conditions. Overall, the review concluded that mortgage standards are working to ensure that home buyers are able to afford their homes even if interest rates rise, incomes change, or families are faced with unforeseen expenses. This adjustment to the stress test will allow it to be more representative of the mortgage rates offered by lenders and more responsive to market conditions.

The Office of the Superintendent of Financial Institutions (OSFI) also announced today that it is considering the same new benchmark rate to determine the minimum qualifying rate for uninsured mortgages. OSFI is seeking input from interested stakeholders on this proposal before March 17, 2020.

Free ways to improve your writing skills

(NC) Many of us could stand to polish our writing. Whether it’s to craft more professional emails at work, help your kids with their English homework, or finally start that blog or novel, here are some free and easy ways to upgrade your writing skills.

Read, read, read. The most enjoyable way to become a better writer is to read more. You don’t even have to limit yourself to Pulitzer Prize winners for reading to be rewarding: fiction, non-fiction and even mystery and romance — you can learn something from almost any genre. Join a book club to get started, or swap books with co-workers to get out of your comfort zone and try something new.

Try online resources. The internet can be a great educational tool if you know where to look. One standout spot is the Language Portal of Canada, a free website from Public Services and Procurement Canada that has tips, quizzes and guides to help you with clear communication, syntax and more. You can learn when to use a comma, whether to write out a number or not, and even how to incorporate more inclusive language in your writing.

Practise your editing. Sometimes it can be hard to be objective and see the mistakes in your own writing. One way to get past this is by editing work written by someone else – it could be your co-worker, friend or relative. This can help you spot common mistakes and find ways to structure sentences better or say things more clearly – lessons you can then apply to your own writing.

Access plenty of tools and resources to boost your writing at canada.ca/our-languages.

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