New Rules For Borrowers
Just wanted to let you know that new rules for mortgages are coming into effect April 19 2010.
Finance Minister Jim Flaherty announced restrictions Tuesday for any borrower who wants a mortgage backed by the Canada Mortgage and Housing Corp. Though the changes officially go into effect April 19, experts say lenders will likely put them into place immediately:
1) The maximum amount consumers can borrow to refinance their mortgages is being lowered to 90 per cent of the value of the home, down from 95 per cent.
2) All borrows will have to be able to demonstrate that they could make the payments on a five-year, fixed-rate mortgage, even if they end up choosing a mortgage, such as a variable-rate mortgage, that would result in smaller monthly payments.
3) Anyone who wants a government-insured mortgage to buy a home that they will not live in will have to come up with a minimum down payment of 20 per cent, up from 5 percent.
Source: Financial Post
Cheers,
Colin
Colin Kennedy,
, 
MaxWell Canyon Creek
3205 - 380 Canyon Meadows Dr. S.E.
Calgary, Alberta Canada T2J 7C3
Cell: (403) 803-1388
Bus: (403) 278-8899 | Fax: (403) 592-6666
Calgary Homes and Properties For Sale
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