In February 2020 the Federal government announced a change with new mortgage rules for high ratio borrowers. High ratio borrowers are those with less than 20% down payment. This change will increase buying power. The new rules take effect April 6,2020.
I won’t get into too much detail on the new qualifying equation.
Feel free to contact me and I can run some numbers for you.
New Mortgage Rules for High Ratio Borrowers
Bottom line, if you were applying for a mortgage today with $87K in income and could qualify for a $477K mortgage with a $20,000 down payment under the new rules you would now qualify for a $500K mortgage. That could make the difference in the winning bid on your new home or allow you to buy on a different street.
With the new mortgage rules for high ratio borrowers and insured rates dropping this week that makes it even better for first time home buyers.
If you need a referral to any great realtors I am happy to make the introduction. If you are working with a realtor and want to review your options please introduce me to your realtor and we can help get you into a new home.
To learn more and review your own qualification – reach out and contact me by phone at 604-813-8402 or email at pauline@mybcmortgage.ca