The Latest In Mortgage News: Recent Hikes Are “Painful” For Variable-Rate Mortgage Borrowers, Says BoC

The Bank of Canada’s Senior Deputy Governor, Carolyn Rogers, said the country’s financial system will be able to weather a “period of stress” as recent hikes are “painful” for those with a variable-rate mortgage. The highest inflation in decades has made it necessary for central banks around the world to react quickly by tightening monetary policy. Rogers stated that borrowers with a floating-rate mortgage currently feel the brunt of the interest rate hikes. In other news, Home Capital Group is to be acquired by Smith Financial Corporation, co-founded by billionaire Stephen Smith. Ontario has also raised its foreign buyer tax from 20% to 25%, making it the jurisdiction with the highest such tax in Canada. Meanwhile, the Canada Mortgage and Housing Corporation has confirmed it will not change its name.