This past week Finance Minister Jim Flarehty introduced new mortgage regulation that will come into effect in March. The three changes are
- The maximium amortization period for high ratio mortgages is reduced from 35 years to 30.
- The most you can borrow on a refinance is 85% a change from 90.
- The Canadian Government will no longer insure lines of credit secured against a property.
These changes will freeze out some buyers who need the 35 year amortization to lower the monthly expense for qualification purposes.
Steven Campbell, Sales Representative
Sutton Group Central Realty Inc., Brokerage*