Blog | Crawford • Ashwood Financial

The First Home Savings Account (FHSA) allows Canadians to save for their first house. The FHSA combines the features of a RRSP and TFSA. Like an RRSP, contributions would be tax-deductible and qualifying withdrawals to purchase a first home would be non-taxable, like a TFSA. You can use it in combination with Home Buyers’ Plan (HBP) – a withdrawal up to $35,000 from your RRSP. The difference, however, is that with the FHSA the funds do not need to be paid back, unlike the HBP/RRSP, which need to be paid back over 15 years after using the RRSP funds to…

After the market volatility of most of 2022, the 2023 year kicked off with some positive swings in markets. Many funds are nicely positive year-to-date. However, ongoing news of inflation and rate hikes are still making investors nervous, causing continued ups and downs. Cap that off with the recent US regional banks upset, and memories of 2008 are stirring up more emotions. The good news is that none of the strategists or portfolio managers who I have heard speak recently feel these events indicate a re-do of 2008. The issue with a couple of these small regional banks is not…

The month of October saw a very strong upswing on the major market indexes. This does not change the fact that 2022 has been an emotional time for investors. It’s always uncomfortable to live through these kinds of extended market downturns. During these periods of discomfort, it can be helpful to reflect on the past as means to help frame the eventual path forward. Keeping focused on your long-term goals is important during these uncertain times. During these kinds of markets, I remind my clients that these are not uncharted waters. Over the past 60+ years, equity markets have seen…

Most people know that you can use up to $35,000 of your RRSP for a down-payment on your first home. Under this First-Time Home Buyers Plan (HBP), you essentially borrow up to that amount from yourself out of the RRSP and must re-pay the amount back into your RRSP starting the second year after you withdraw it. The re-payment is 1/15 of the total amount withdrawn, each year for 15 years. For example, if you take out the full $35,000 under the HBP in 2022, you will begin paying it back to the RRSP in 2024 in the amount of…

For years I have been having the conversation with clients around how interest rates won’t stay low forever, and how to be prepared for the eventual rise of mortgage rates. In the last few years, the housing market has been on fire, and houses have been selling way above their actual realistic value. Buyers have been enjoying super low interest rates, but did they think about what happens in 4-5 years time when their term mortgage renewal is several percentage points higher than when they bought (or refinanced) their house? More specifically, did they have someone advising them on some…

2022 has been the year of market volatility and understandably an uncomfortable time for investors. The “statement shock” can be worrying for many people when they see their investments worth less than they were three or six months ago. Most of my clients are experienced when it comes to the ups and downs, but nevertheless, it is a time of many questions about what you should do when markets are down. Every time it happens it feels like it’s different this time. The reasons may be different, but the response should be the same. First, I want to summarize the…

A few things have contributed to the rocky start to the year in equity markets, after a generally steady climb back from the March 2020 “crash”. Chief Investment Strategist from Dynamic Funds Myles Zyblock shares a quick and easy to understand update on the volatility we’ve seen over the first few weeks of 2022, and what we can keep in mind moving forward in equity markets. Click here to read the short article (1-2 minute read). As we often say, market volatility provides great opportunity for our portfolio managers to take advantage of these dips to reposition their portfolios and…

While many people are making their New Years Resolutions about health and wellness, consider committing to your financial wellbeing too! Here are a few things to think about when writing down your 2022 goals. Top up your TFSAs or consider making a regular contribution The new maximum limit for 2022 is $6,000, however if you have not maximized your contributions in previous years then you will have more than the annual limit to contribute. If you don’t have the cash available for a larger deposit, you could consider making regular bi-weekly or monthly contributions throughout the calendar year to maximize…

Leaving a job can be an emotional and often stressful time. During your transition from one job to another, or into semi- or full-time retirement, there are many financial decisions to be made. Many of these decisions can have expensive tax consequences, so being prepared with the right advice on how to proceed is priceless. Over the last 19 months since the pandemic began, many Canadians have found themselves out of work, back at work, and then out of work again. Some of these have been temporary layoffs, and others more permanent. Many people have taken this uncertain time to…

Well, we’ve climbed steadily back up, so where does the market goes from here? This is a question I have been getting a lot recently. We witnessed a huge decline in the stock market last March, and a record-breaking recovery back from that downturn. World markets are again at all-time highs, which understandably will raise questions about how it can possibly continue. When is the next crash? I have been listening to top portfolio managers, economists, and market strategists speak about the past year, and the outlook moving forward. The outlook is still very bullish on stocks. There has been…

The New FHSA

Market Update

Market Update

New Tax-Free ‘First Home Savings Account’

Rising Mortgage Interest Rates

Market Update

Market Commentary

Happy New Year

Leaving a Job

Market Update