As most of you probably came across this morning in the globe and mail or some other new source, there will be a few changes to Canadian mortgage rules. I find people generally tend to react negatively to change in these types of systems, however I personally feel this could be a positive change.
First off, in case werent aware of the changes that will commence in 60 days from now, here they are:
-The minimum amortization periods will now be 30 years as opposed to 35 years
-The maximum amount you can borrow in refinancing your home will be 85% from 90%
-Ottawa will withdraw government insurance backing on line of credits secured by homes
How do you think buyers will react to these changes? Will we have a sudden rush of buyers in the next 60 days? Will homeowners take advantage of the extra 5% they are able to refinance in the next little while.
What do you think?