Is the Canadian government involved in the mortgage market?



Is the Canadian government involved in the mortgage market?

It’s easy to see that the U.S. government is not as involved in their mortgage market as the Canadian government is involved in theirs. While they do back traditional loans through Freddie Mac as well as Fannie Mae, Canada’s government owns the mortgage insurance corporation that covers around 70% of all mortgage insurance.

What percentage of Canadian mortgages are securitized?

In fact, securitization in Canada never exceeded 3% during the housing market crisis in 2007, whereas it went to 40% in the United States at the same time. So now that you know a little bit more about Canadian mortgages, you might be wondering about United States mortgages!

How does the US mortgage market compare to other countries?

The mortgage offerings in the U.S. are much different from other countries — even our neighbor to the north. As housing reform continues to be part of the Obama administration’s agenda, differences between the mortgage market in the United States and that of other countries have come to light.

Are US and Canadian mortgages the same?

While there are some similarities, getting a mortgage 8 in the U.S. is a different process compared with the Canadian system. Here are six ways U.S. and Canadian mortgages are different.