For the 5th time in five years, Federal Finance minister Jim Flaherty announced additional rules for Mortgage Lenders, designed to calm what he sees as a "hot" housing market. This round, the government is, in effect, implementing a cap on the amount of loan guarantees that CMHC provides to Lenders.
Market effects? Short term, there will likely be upward pressure on interest rates by 20 to 60 basis points, despite the Bank Of Canada's signal of interest rate stability.
The market is still running strong.