New CMHC Rules

June 21, 2012

Finance Minister Jim Flaherty outlined new rules effecting CMHC

 The changes will become effective July 9, 2012.  (real deals must be approved by this date)

Discussion:  The reduction in amortization combined with the lowered GDS ratio could affect a number of people’s ability to qualify.  It will also decrease their desire to buy.  Historically, the TDS of TNM clients is around 32%.  However, 5% of clients do have 40+ GDS.

We do very few refinances at 85% and thus this will have virtually no effect on us.  I imagine this is true for the entire indusrty.

The maximum purchase of $1 million could be the largest hindrance to the market.  Due to the reduced ability of clients to get financing on these more pricey homes we will likely see a drop in those home values.  Furthermore, lenders will be very hesitant to go to 80% for fear of the loss of liquidity in the higher end market.  I would imagine that lenders will place a self-imposed 75% LTV cap on the larger mortgage sizes.

Regards,

24th annual PROFIT 200 ranking of Canada’s Fastest-Growing Companies by PROFIT Magazine

June 04, 2012

True North Mortgage is proud to announce we were ranked 23rd for the 24th annual PROFIT 200 ranking of Canada’s Fastest-Growing Companies by PROFIT Magazine.”  It is a great honour and we congratulate all the other companies on the list.  www.profit200.ca

Ranking Canada’s Fastest-Growing Companies by five-year revenue growth, the PROFIT 200 profiles the country’s most successful growth companies. Published in the Summer issue of PROFIT and online at PROFITguide.com, the PROFIT 200 is Canada’s largest annual celebration of entrepreneurial achievement.

 “The PROFIT 200 companies are an inspiration to Canadian entrepreneurs and would-be entrepre-neurs,” says Ian Portsmouth, Editor-in-Chief of PROFIT Magazine. “PROFIT is proud to celebrate the success of these businesspeople, who, despite a challenging economy, have achieved outstanding success in a wide variety of fields.”

About True North Mortgage: Opening its first retail store in 2006, True North Mortgage, now has 7 locations across Canada.  True North Mortgage was on the Profit 50 list for new start-up companies in 2010 and 2011.

About PROFIT Magazine: PROFIT: Your Guide to Business Success is Canada’s preeminent publication dedicated to the management issues and opportunities facing small and mid-sized businesses. For 30 years, Canadian entrepreneurs and senior managers across a vast array of economic sectors have remained loyal to PROFIT because it’s a timely and reliable source of actionable information that helps them achieve business success and get the recognition they deserve for generating positive economic and social change. Visit PROFIT online at PROFITguide.com.