Trudeau told a small crowd at a Vancouver community centre that the government wants landlords, banks and credit bureaus to make sure rental history is taken into account on credit scores, giving first-time buyers a better chance at getting a mortgage, with a lower interest rate.
That’s great.
The general concept is good. The current way credit scores is handled by two private companies is really bad so hope they do it differently.
And credit history is only part of what could get you favourable rates or even qualification for a loan. Income, loan ratios, assets and history with the financial institutions all play a role.
Of course, but considering how much money renting a place is, it absolutely make sense to use that as an indicator of someone’s ability to meet their obligations.
Orrr. Or. Orrr. Hear me out. That’s what they’ll eventually sell it as, but what’s actually going to happen is people who don’t have like 10y behind them will pay more because they’ll be deemed “high risk.”
Just like any company/and every bank that uses these systems in the first place.
Too little too late man.
Better late than never
I think the key question is whether this can change public perception in time for the federal election next fall.
The Liberals were slow to address the twin housing and affordability crises, while Poilievre cashed in.
I suspect the person who commented upthread is right: it’s too little for the Liberals, and they delayed addressing the issues for far too long.
Ehh ppl have a short memory. The elections r still more than a year away.
Making complaints and vague promises takeles no time or effort
Coming up with an actual program to address (part of) the problem without causing some unintended side effects is a lot more time consuming.
The Conservative plan (last time I saw it on their website, it may have evolved in the last few weeks) is roughly equivalent to what the Liberals are doing now: a carrot and stick strategy to encourage municipalities to zone more housing. I’ve heard some commentators say it wouldn’t cover quite as many municipalities, and it’s more punitive, but it isn’t that different.
They’re both insufficient to tackle decades of mismanagement.
