Blog Article

New Mortgage Rules For Government Insured Mortgages

Effective March 18, 2011, it will be tougher to get a mortgage for products requiring government insurance. Here are the new rules:

1. The maximum amortization period will be 30 years (it currently is 35 years).
2. The maximum LTV on a refinance will be 85% (it currently is 90%).
3. Elimination of government insurance on secured lines of credit (HELOCs)

Here is the official press release http://www.fin.gc.ca/n11/11-003-eng.asp.

Posted By Kevin Somnauth, CFA
http://sudburymortgagebrokers.com

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