12/10/2024:

ABW Tuesday Mortgage Memo: Your Weekly Market Highlights


Hi Team,

Welcome to this week’s ABW Tuesday Mortgage Memo, where we highlight the most important updates and insights to help you stay informed and excel in your business. Below are the key takeaways from the past week that you’ll find beneficial:


Highlights for Mortgage Brokers

  • Rate Cut Expectations: Markets are predicting an 89% chance of a 50-bps rate cut by the Bank of Canada on December 11. Variable rate margins are narrowing as short-term rates drop, making variable-rate products more competitive.
  • Bond Market Movements: Five-year bond yields rose slightly last week after a significant 50-bps drop since November 21. Fixed mortgage rates remain competitive, with lenders like BMO cutting their 5-year fixed rate by 15 bps to 4.72%.
  • OSFI Stress Test Clarifications: Recent stress test exemptions allow uninsured mortgage switches without testing between federally regulated lenders. However, limitations like the exclusion of mid-term transfers and readvanceable products persist.
  • Market Trends in 2025: Housing price forecasts from RE/MAX predict a 5% increase in 2025, with Edmonton and Simcoe County expected to see up to 10% growth. Encourage clients to act now before prices climb further.
  • Dominion Lending Stock Activity: DLCG's recent shareholder-approved restructuring simplifies ownership, enhances stability, and strengthens our foundation for growth and innovation across the network.


Stay Ahead

Leverage these insights to guide your client conversations, stay competitive, and seize opportunities in the market.

  • Let’s make this week productive and impactful!


The Mortgage Broker Podcast Highlights

  • Episode 23: "Business Planning for 2025: A Roadmap for Mortgage Brokers"
    Delves into effective strategies for annual business planning, offering methods, key components, templates, and insights into upcoming annual meetings.
  • Full Episode Here
  • Episode 22: "BEHIND THE BROKER with guest Alex D’Angelo"
    Features Alex D'Angelo, a top broker who transitioned from banking to brokering. Alex shares his journey, time management techniques, and keys to success.
  • Full Episode Here


Stay Fully Informed

For those who want the full story behind these highlights:

  • Mortgage Logic News: Gain detailed insights into market trends and lender updates. ABW brokers can access an exclusive discount for subscribing via the Agent Intranet under Agent Tech Tools.


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We look forward to helping you stay ahead of the market as we enter 2025.


Best Regards,


Dean Lawton - A Better Way Mortgage Group