Mortgage rule changes coming March 18th 2011.

  • Max amortization on government insurance (CMHC) backed mortgages (CMHC deals) = 30 yrs
  • Max Loan To Value on refinance = 85%
  • No government insurance backing (CMHC insurance) on secured credit lines
  • 5% down remains the minimum downpayment (unchanged - this was rumoured to be going up to 6-7%)

How does this affect your Buyers? Example below: 

Buyer earning $72,000 can qualify for a mortgage of approx $508,000 under the current rules and interest rates...under the NEW rules with a maximum 30 year amortization, that same person now qualifies for $470,000 which is a reduction of $38,000 or roughly 7.5% of mortgage purchasing power.

Will new mortgage rules trigger winter buying?

http://www.theglobeandmail.com/report-on-business/economy/housing/will-new-mortgage-rules-trigger-winter-buying/article1872727/

For more information, please call Ralna Burridge at 604-790-7253

 
Posted by Ralna Burridge on 01/17/2011 02:05 PM   Comments (1)   Mortgage Rules in the ActiveRain Channel   mortgage, rule, changes, 2011, vancouver, canada  
Generate short URL

When Does a Mortgage Refinance Make Sense for Canadians?
11/18/2010
share
The ideal candidate for a mortgage conversion would be someone who intends to continue occupying the property for at least the next 3 years (mortgages can be ported but it's tricky to get it right… and the interest per day charged can outweigh the… more
R2, R3… Keep that Credit Rating Clean!
04/21/2010
share
Turned down or not approved for the amount you need? While most people know that they have a "credit rating, " not all know their scores or how these scores are calculated. If your mortgage application is refused or approved for less than… more
AN OUNCE OF PREVENTION… YUCK… BED BUGS ARE REAL!!
04/12/2010
share
Firstly, let me make my disclaimer… the reason I want to write about them is because after reading through some condo notes, I am now a Bedbug expert and if you think it won't happen to you… YOU MUST READ ON! IT CAN HAPPEN ANYWHERE… Bedbugs… more
Realtors, Help 51% of this Beautiful Province Before Tax Time!
03/25/2010
share
One of the biggest problems I encounter far too often is with our high number of self-employed borrowers (BC has the highest number of self-employed people! ). Help your self-employed borrowers ensure they know about these eligible deductions that… more
No downpayment? No problem!
02/17/2010
share
I don't mean to sound like an infomercial.. but with the upcoming mortgage rule changes on April 19th.. I feel this is important to get the word out before this program possibly gets pulled too. If you have clients without the typical 5%… more
Mortgage Rules are getting tighter for Canadians yet again…
02/16/2010
share
Hello Vancouver, as of April 19th 2010 we are getting tougher rules imposed yet again in a bid to prevent the US style housing melt down that besieged the US for the past few years. I guess it's good but we are already very conservative in Canada… more
Undecided betweeen fixed or variable? Vancouver try a "wise mortgage"
02/05/2010
share
Get the best of both worlds! While not as low as 3. 69% if a Buyer were to lock in for a full 5 years, it's the way I chose to go with my own personal mortgage. The 50/50 Wise Mortgage is here and here's what it is: 3. 89% for the 5 Year Fixed… more
Low rates are here again Vancouver… but for how long? 3. 64%…
02/05/2010
share
3. 64% fixed for 5 years, I must say I didn't think we would see rates this low again since hitting new histori lows in the fall market. Rates had crept back up, bond markets we're inching up and were seemingly levelling off. The question I get most… more
It's RRSP time again… and this question comes up frequently at this…
02/02/2010
share
Hello Vancouver, it's RRSP time in Vancouver and this question has comes up for me today… and then I conveniently got a good reminder summary today from First National bank so I thought I should pass it along for the Canadian First Time Home Buyers… more
 
Ralna Burridge (The Mortgage Centre)

Ralna Burridge

Vancouver, BC

More about me…

The Mortgage Centre

Address: 103 - 1245 W. Broadway Ave, Vancouver, BC, V6H1G7

Office Phone: (604) 257-2607

Cell Phone: (604) 790-7253

Email Me

We offer mortgages with Canada's top lenders, banks and credit unions.


Links

Archives

RSS 2.0 Feed for this blog