Real Estate

Real estate: Can I just pay interest on my mortgage?

24/06/2023


Some Canadians have extended the amortization period on their mortgages, and real estate experts say it could bring uncertainty for renewals.


Amortization refers to the time it takes to pay back a mortgage. As elevated interest rates hit the housing market, some people have been have been extending their amortization period out several decades and are only paying interest on their homes.


Daniel Vyner, the principal broker at DV Capital, said in an interview with BNNBloomberg.ca Monday, the trend points to potential default risks and problems for some buyers.


In his view, variable-rate mortgage holders with fixed payments are nearing, or have already hit their trigger rate, which refers to when a homeowner’s mortgage payment is not sufficient to cover the interest accumulated since their last payment. 


“These extended amortizations, this is really just a temporary Band-Aid solution, which in my view is preventing

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Forec

Condo owner must also pay up for tenant's disruptive behaviour, tribunal says

04/03/2023

A recent ruling by an Ontario tribunal should serve as a warning to condo owners who rent out their units that they could be left with a big bill if they don’t take action against problem tenants. 

In a Feb. 10 decision, the Condominium Authority Tribunal (CAT) found both a tenant and condo owner jointly responsible for what the adjudicator called the tenant’s “pattern of annoying and disruptive conduct.”

Tribunal vice-chair Michael Clifton awarded the corporation that manages the condo building near Yonge Street and St. Clair Avenue more than $26,000 in damages, with $8,551.50 to be paid by the condo owner and $18,239.60 to be paid jointly by the condo owner and tenant.

“I find that the respondents … have created or permitted the creation of noise and other nuisances that disturb the comfort and quiet enjoyment of the units or common elements by other owners and residents of

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