With a new CHMC (Canada House and Mortgage Corporation) mortgage-insurance product, more Canadians could buy rental properites with no downpayment.
For a premium based on the loan amount, CHMC now insures mortgages so investors can buy up to four units of rental housing with little money down.
The Crown corporation allows now for 100-per-cent financing on one to two units and 90-per-cent financing on the third and fourth ones.
Until last month, CMHC required a down payment of 15 per cent on investment properties.
The new product, introduced last month, also changes the way financial institutions calculate the ratios used to qualify borrowers for mortgages, which makes it easier to buy rental properties.
The insurance premium is 7.25 per cent of the mortgage amount for 100 per cent financing.
This product will look appealing to people who are self-employed or don’t have a pension plan.
The rent will pay down the mortgage and when ready to retire, it would generate a revenue.
I could foam at my mouth talking about The Secret by Rhonda Byrne.
And it’s not because I am green with envy for Rhonda Byrne’s genius , it’s because I still believe that the whole ‘Secret’ enterprise it’s nothing but a shameless pyramid scheme. Wonderfully staged by the publishers and endorsed by personalities like Oprah.
I lost my sympathy for Oprah long time ago. Since she became an ego maniacal. Why the heck does she have to be on the cover of every issue of her ‘O’ magazine? Is the magazine about her? I got the explanation that it’s her magazine and she can do what she wants. Really? Whatever! It’s not my rambling about Oprah, it’s about ‘The Secret’ endorsed by her.
That Rhonda Byrne has guts, I must admit it.
‘The Secret’ is like a modern version of the snake oil.
What bothered me a lot is the stupidity, blame-the-victim approach and the bullshit of her preaching.
Random abstracts from the book:
“The energy you put into the world — both good and bad — is exactly what comes back to you. This means you create the circumstances of your life with the choices you make every day.”
And another one:
“The only reason any person does not have enough money is because they are blocking money from coming to them with their thoughts.”
Let’s disclose the famous ‘secret’: It is actually the ‘Law of Attractions’ Do good and good will come; think positive and positive will come.
But unlucky you if you are born in Darfur and are not able to think positive.
Maybe Rhonda and her con-partners could help stop the genocide; maybe they are intelligent enough to channel positive thoughts and get rid somehow of the warlords.The cherry on top of the cake: an article in The Vancouver Sun, featuring a 19 year old new mom, who just heard about the book from her parents (again, did not read it!), went to the store, bought the first lottery ticket of her adult life and won $2.5 million.
How would Rhonda explain that? As in: what about my positive thoughts and visualization of 2.5 million sitting comfortably in my bank account?
Hey, I sent gazillion of positive thinking about the money I need to be mortgage free and to be able to go with my family to a well deserved vacation!
The biggest ‘secret’ is how did Rhonda manage to secure the best selling position with Amazon for over 30-something weeks?