Yesterday afternoon, The Canadian Mortgage and Housing Corporation, better known as CMHC, announced changes to its mortgage insurance underwriting and acceptance criteria. These changes take effect on July 1, 2020 and will impact those applying for mortgage financing. If you want to buy a home with a down payment of less than 20 per cent, you’ll need mortgage loan insurance so being aware of this now can certainly help you.
It’s impossible to plan on many of the unexpected things that life can throw at us; job loss, illness, divorce, or as we’ve seen recently with a global pandemic like Coronavirus (COVID-19). There are many reasons why you may need to break your mortgage early, and while it’s not something you plan for when you first sign your mortgage term, it is something that’s increasingly becoming more important to consider over the interest rate itself.
While the problems in the credit market were obvious for months, the COVID19 crisis further exposed the significant problems in the system.
With so much in the news recently on mortgage rates, Ron Lefebvre explains the impacts of what the recent rate cut could mean for Edmonton homeowners, along with other helpful insights on this radio broadcast of The Ryan Jespersen Show on 630 | CHED.
“It is becoming clear that the first quarter of 2020 will be weaker than the Bank had expected” stated the Bank of Canada in their March 4, 2020 media press release.