Finance Minister Makes 3 major changes effective March 2011

Flaherty unveiled three main changes:

  • The maximum amortization period for a government-insured mortgage was lowered from 35 to 30 years.
  • The upper limit that Canadians can borrow against their home equity was lowered from 90 per cent to 85 per cent.
  • Government insurance backing on home equity lines of credit, or HELOCs, has been removed.
These changes will no doubt have some effect on the market conditions in the Kamloops area.  How much of an effect is yet to be determined but these changes do make it a little harder for boardline qualified buyers to enter the market.  These changes increase the likelihood of high interest rates from mortgage lenders.

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Andrew Thompson

Andrew Thompson

CENTURY 21 Desert Hills Realty (2010) Ltd.
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