As you may have already heard, the government announced today that mortgage rules will be changing. New rules will be taking into effect July 09, 2012. I have attached a link from today’s announcement and have summarized the three major changes. Here are the changes:
- Maximum amortization is now 25 years (from 30 years)
- Mortgage refinances are now limited to 80% of the value of the property (from 85%)
- Property Values over $1,000,000 do not qualify for mortgage insurance. You must have 20% down
http://www.vancouversun.com/business/Flaherty+announce+tighter+mortgage+rules/6817957/story.html#ixzz1yRSHp08Q