Federal Finance Minister Jim Flaherty announced changes to mortgage insurance rules intended to ensure the stability of Canada's housing market.
These measures include:
• Amortization period capped at 30 years - effective March 18, 2011
• Reduction of government backing for home equity lines of credit - effective April 18, 2011
• Maximum refinancing reduced to 85% from 90% Loan to Value - effective March 18, 2011
There are no changes to down payment requirements – still at 5% down. Flex Down payments are still available using cashbacks or borrowed down payments.
We will continue to update members on any new developments.
Please feel free to call us, should you have any further questions or concerns.
