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Minister of Finance Jim Flaherty

This morning, Federal Finance Minister Jim Flaherty announced prudent changes to mortgage insurance rules intended to come into force on April 19, 2010.  CAAMP (Canadian Association of Accredited Mortgage Professionals) was actively engaged in the discussions around these changes which are as follows:

All borrowers must meet the standards for a five-year fixed rate mortgage even if they choose a mortgage with a lower interest rate and shorter term;

The maximum amount one can withdraw in refinancing their mortgage will be reduced to 90% from the current 95% of the value of one’s home;

Non-owner occupied properties will require a minimum down payment of 20%. There were no changes to down payment requirements or length of amortizations for owner-occupied residences.

Averbach Mortgages will keep you informed on what this will mean to you.  We are here to answer your questions … so please feel free to give us a call. You can reach Justin Blacklock or Mike Averbach at 604-736-1855.

This entry was posted on Tuesday, February 16th, 2010 at 10:30 am and is filed under Mortgage News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.