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Canada’s government apparently wants more real estate investors

Canada’s Department of Finance has unveiled a change to mortgage insurance rules, set to take effect on January 15, 2025. This new policy encourages homeowners to add secondary suites to their properties, potentially transforming the Canadian real estate market.

The initiative allows homeowners to access insured mortgage refinancing for the purpose of constructing additional units on their properties. Under the new rules, eligible homeowners can refinance up to 90% of their property’s value, including the added value of secondary suites, with a maximum amortization period of 30 years. The program caps the “as improved” property value at $2 million and limits the number of dwelling units to four, including the existing unit.

You can read more on the matter here.

What’s going on?

• Federal Government Unveils Controversial Secondary Suite Financing Program (theDeepDive)

• More than 1 million people warned to get out before Hurricane Milton hits Florida (CBC)

• U.S. crude oil drifts lower, trades below $74 per barrel after sell-off (CNBC)

• Northvolt Subsidiary Files for Bankruptcy Amid Expansion Halt (theDeepDive)

• Germany expects economy to shrink after cutting 2024 forecast (FT)

• Rio Tinto to Acquire Arcadium Lithium for $6.7 Billion (WSJ)

• Mali Seeks $512 Million In Taxes And Dividends From Barrick Gold (theDeepDive)

• Russia promoting BRICS expansion as dozens of countries apply to join in counterweight to West (Globe)

• Chinese Stocks Tumble Most Since 2020 on Stimulus Skepticism (Bloomberg)

• Norway Bucks Cashless Trend With New Payment Legislation (theDeepDive)

• Google threatened with being broken up by US (BBC)

• Waterloo’s international graduates outearn Canadian-born students, paving the way for immigration policies, experts say (Globe)

• US Invests $2.8 Billion in Nuclear Power Resurgence (theDeepDive)

What’s the latest?

• 7-Eleven: Alimentation Couche-Tard, the parent company of Circle K, has made a revised bid to acquire Seven & i Holdings Co. Ltd., the Japanese owner of 7-Eleven. The new non-binding offer, reportedly valuing Seven & i at about US$47 billion, is roughly 22% higher than an earlier bid of $38.6 billion, which Seven & i rejected in August.

• Google Breakup: The U.S. Justice Department is considering significant actions against Google, including a potential breakup, following accusations of monopolistic practices. In a recent court filing, the agency suggested remedies such as forcing Google to divest parts of its business, including its Chrome, Play, and Android units, to prevent these products from unfairly favoring Google search.

• Crypto vs SEC: Crypto.com has filed a lawsuit against the U.S. Securities and Exchange Commission after receiving a Wells Notice, indicating the SEC's intent to sue the digital asset exchange for operating as an unregistered broker-dealer and securities clearing agency. The lawsuit argues that the SEC has overstepped its jurisdiction by treating nearly all crypto transactions as securities-related, and accuses the regulator of unauthorized overreach.

• Lithium: Rio Tinto Group has agreed to acquire Arcadium Lithium Plc in an all-cash deal valued at $6.7 billion, marking its largest acquisition in 17 years. Rio will pay $5.85 per Arcadium share, representing a 90% premium over the stock's price before Rio confirmed its approach. The acquisition expands Rio's exposure to lithium, a key battery metal for electric vehicles, at a time when lithium prices have dropped significantly.

• Boeing Strike: The ongoing strike at Boeing has escalated after negotiations with the International Association of Machinists collapsed, with both sides blaming each other for the impasse. Boeing accused the union of making "non-negotiable demands," while the IAM stated that Boeing refused to offer more pay or restore pensions. The strike, which has shut down Boeing’s production for almost a month, is contributing to a significant financial strain, with estimated daily losses of $100 million.

Magna Mining PEA transaction

The stock market and stuff

• Lundin Sells 125,887 Gold Ounces In Q3 At Average Price Of $2,615 (theDeepDive)

• Treasury market volatility surges as investors rethink interest rate bets (FT)

• Bayer shares down 7% after U.S. court says it will review Monsanto case (CNBC)

• G42 Investment Scrutiny Halts Cerebras’ IPO Plans —Report (theDeepDive)

• Head of battery maker Northvolt’s main plant stepping down (Globe)

In the juniors

• Fission Uranium Receives Court Approval For Takeover By Paladin, But Is Still Hamstrung By Feds (theDeepDive)

• Aris Mining Reports Q3 Production Of 53,608 Ounces (theDeepDive)

• Global Atomic Increases Financing To $35 Million Due To Demand (theDeepDive)

FULL DISCLOSURE: Temas Resources is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover Temas Resources on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.