-Prior to Oct 15/2008, in Canada, you were able to get a residential mortgage with an amortization period of 40yrs with a $0 down payment. This program lasted less than 1 yr
- In Oct 15/08 the amortization period was reduced to 35yrs and the minimum down payment increased to 5%
- In Jan/11 the amortization period was reduced to 30yrs
- In June/12 the amortization period was reduced to 25yrs.
- In Oct/16 the first stress test was introduced. Clients had to qualify at Benchmark rate instead of mortgage rate.
While there have been several additional changes, I wanted to highlight these changes, why you may ask?
I believe,if we haven't already, we should be starting a conversation on the future when it comes to mortgages either for your direct interests or for interests of your peers, family members or friends who may be thinking of entering into the mortgage market or have a mortgage now. We can start by also mentioning that mortgage arrears in Canada are very low and have been for many many years. With that in mind, why is our Government making it more difficult to purchase homes? Why is our Government wanting people to rent instead of buy? What is our Government's real concern about home ownership? Will amendments continue making it harder and harder to own a home. Are we trending like other Countries where it will be almost impossible to own a home? Or do you feel these changes are adding to the strength of Canada? These are just a few items we can discuss, I'm sure you will have more thoughts and questions.
Please feel free to contact me when you have time and also use the method of your choice, a good old fashion phone call, a text, an email, a facebook message!
I look forward to hearing from you. Please feel free to share with your circle of influence! #Athabasca #Boyle #LaclaBiche
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