Markham Boxgrove: Impact of the New Mortgage Rules
Just thought I would provide a few bits of info you may find useful when talking to your clients:
- As of Monday April 19th, the banks will use the 5 year posted rate to qualify clients for a mortgage
- 5% down for a purchase through CMHC is still available (strong credit score needed to qualify)
- Fixed rates have been on the climb, 2-3 increases in the past 2 weeks!
- Prime still holding steady at 2.25% with forecasted 0.25% or 0.50% increases coming in June/July
- Variable mortgages at Prime “minus” still a much better option than 5 year fixed (for interest costs & principal repayment)
- My pre-approvals are good for 90 days & my rates can be held for 120 days
