Marathon's 6-month mortgage gets homebuyers in the game

Canadian housing affordability is just about the worst ever.

That's especially problematic for first-time buyers who:

• can barely scrape together the minimum 5% to 7.5% down payment
• have strong credit and solid employment
• have debt ratios above the 39% #GDS#/ 44% #TDS# insurer limits
• can't pass the stress test because of it
• are forced to rent longer as a result.

For folks in this bucket, there's a good chance they'll retire poorer.

That is, they'll lose the opportunity to accumulate tax-free equity appreciation. With soaring rents near all-time highs, it's hard to make that up with rental savings—particularly if future appreciation rates stay anywhere near the historical 5%+ annualized level.

This first-time buyer plight was the impetus for Marathon Mortgage's latest product, a deep discount 6-month mortgage. It launches on Monday, other than in Quebec and the Territories.