New mortgage regulations are on the horizon. Many Canadians will face additional stress test applying for a mortgage from a federally regulated lender after January 1st, 2018.
Lenders will be required to vet all mortgage applicants, even if they can produce a down payment of 20 percent or more, this may present rates that are noticeably higher than their contractual mortgage rate.
Toronto and Vancouver See Home Sale Increase Due to Recent Stress-Test Mortgage Regulations
The real estate market is seeing a dramatic upswing in purchasing enlight of upcoming mortgage regulations. October saw an increase in the number of homes sold in both Vancouver and Toronto. The shift in the Toronto market is tied directly to new mortgage rules taking effect this January.
According to the Toronto Real Estate Board (TREB), real estate purchases increased by a staggering 12 percent in October, marking the most significant spike in sales since the previous peak in March. The October increase was an estimated 27 percent lower than last year at the same time, during this time Toronto experienced record real estate sales.
Working With a Toronto Mortgage Broker Can Help Home Buyers Navigate Through New Mortgage Regulations Getting a mortgage is one of the largest investments a person will make in their lifetime. With such a big investment it’s important to ensure that you are getting the right mortgage for you and your budget. Canada’s mortgage market is full of regulations, including two major changes that came into effect last October. The mortgage qualification rate will now […]
Is it really necessary to get a home inspection? The purchase of a home is one of the biggest investments someone can make during their lifetime. Finding the perfect home can be a challenge, there are many things to consider. A typical Toronto home buyer will weigh many factors such as price, location, space, recreation, property taxes and many other factors. One of the most important steps in the purchase of a house is the […]