Celebrate the Season (Early)
2024-11-14 | 06:58:32
New Mortgage Rules Starting November 21, 2024
2024-11-14
Your First Gift of the Season:
On November 21, the Office of the Superintendent of Financial Institutions (OSFI) will formally announce it’s removal of the requirement for lenders to apply the Minimum Qualifying Rate (MQR) to straight switches of uninsured mortgages. This change will make it easier for borrowers to switch lenders at renewal time without having to prove they can afford their mortgage at a higher rate.
Your Second Gift of the Season:
Starting December 15, the Federal Government is raising the mortgage insurance cap from $1 million to $1.5 million. Senior Economist Robert Kavcic of BMO says this will open the single-family home market to more buyers, while extending amortizations from 25 to 30 years could also increase purchasing power by around 10%, similar to a 0.90% mortgage rate cut.
Your Third Gift of the Season:
Falling fixed mortgage rates are further fuelling the market, and Kavcic suggests these factors together may encourage households to take on more debt and longer-term mortgages.
Your Fourth Gift of the Season:
These mortgage rule changes are expected to “incrementally bolster demand” in the housing market and BMO Senior Economist Robert Kavcic goes on to say that if the economy stays stable, these changes—along with the Bank of Canada’s easing—could set the stage for a stronger housing market next year.
Do you have questions about these new rules and requirements? Put a mortgage pro in your corner, contact me today.
Wishing you and your family a merry St. Nicholas Day, Immaculate Conception Day, Bodhi Day, Feast Day of our Lady Guadalupe, Hanukkah, Yule, Christmas, Kwanzaa, and Zarathosht! Read all about them: https://time.com/6242283/december-global-holidays-christmas-hanukkah-yule/
Baby News
#10 Has Arrived! We are thrilled to announce our daughter Madeleine has safely delivered a second baby girl, Beatrice Ruby (9lbs 9 oz). Mom, Dad (Nate), Beatrice and big sister Lena are all doing well!
