Have you heard about the new mortgage rules coming into effect on January 1st? They come in to effect January 1, but most banks will have a cutoff around December 21st to allow time for processing over the holidays.
The Office of the Superintendent of Financial Institutions [OSFI] is expanding guidelines currently geared towards first-time buyers and those with a down payment of 20% or less. The revised new rules will apply to all mortgages, regardless of down-payment or terms, and regardless of whether it’s a new mortgage or a renewal.
The changes are to help ensure that mortgages remain affordable, even if interest rates rise. If you have pre-approval from your bank and have not yet purchased, or if you are considering buying a home in the New Year, you are likely affected.
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Steve Bucciol and Antony Malfara
Broker / Sales Representative
Call: (416) 494-7653