Archie Ali
  Re/Max Realty Specialists Inc., Brokerage
Independently Owned and Operated
   
 
archieali@rogers.com
416-816-4346
 
 
 
 
 
 
FIRST TIME BUYERS
 
New Mortgage Rules

FEDERAL GOVERNMENT CHANGES MORTGAGE RULES

The federal government has announced changes to the rules for government-backed insured mortgages (less than 20 percent down payment) as follows:

  • All borrowers will be required to meet the standards for a five-year fixed rate mortgage even if they choose a mortgage with a lower interest rate and shorter terms.
  • Reduced maximum amount that can be withdrawn in refinancing a government-backed insured mortgage to 90 per cent from 95 per cent of the value of the home.
  • Require a minimum down payment of 20 per cent for government-backed mortgage insurance on non-owner occupied properties purchased for speculation. Borrowers purchasing owner-occupied residential properties will still be able to access government-backed mortgage insurance with a 5 per cent down payment.

    Additional detail is available
    here.

 

 
 


  © ARSHAD ARCHIE ALI of Re/Max Realty Specialists Inc., Brokerage
Independently Owned and Operated
 
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