Three rule changes on mortgages

Recently the Federal Government introduced changes to mortgage regulations. The changes were made to reduce the risk of making it too easy to borrow, which in turn could lead to unacceptable mortgage default levels prevalent through the USA. Under the new rules:

1. A borrower must be able to qualify for a five-year fixed mortgage rate regardless of the mortgage they actually take out.

2. The maximum amount you can withdraw through refinancing your mortgage is now 90% of the total value, rather than 95%.

3. Non-owner occupied properties (i.e. not your principal residence) purchased - for speculation - require 20% down payment of the purchase price.

If youre looking to purchase a property, you can still finance up to 95% of the home value and amortize it up to 35 years. Call us today at 416.366.5534 or 1.877.782.7639 to learn more, or apply online .