Interesting rule changes coming forth in early July effecting mortgages.
- amortization period reduced from 30 years to now a maximum of 25 years
- refinance of existing residences cannot exceed 80% of the value from 85%
- TDSR (calculation in affordability) cannot exceed 39% from 40%
- home purchases over $1mm cannot be subject to CMHC insurance any longer
These rule changes come into play on July 9th so if you have clients who may be affected by these upcoming changes it best you get them in to see me right away so we can lock them into our system prior to the 9th.
Posted by Doren Quinton on June 21, 2012