The federal government is considering implementing additional mortgage tightening rules that could have a devastating impact on uninsured mortgage applicants.
The proposal would require lower-risk borrowers to be approved at two percent above the rate offered to them by their lender (i.e. if the contract rate offered is 3%, lower-risk borrowers would have to qualify at 5%). This measure would shut many consumers out of the market, drive them into less suitable housing or entice them to visit sub-prime lenders that are not federally regulated.
The Canadian Real Estate Association (CREA) will be launching a call-to-action on the REALTOR® Action Network on Monday, August 28, 2017. We look to you, as leaders of the real estate industry, to help us communicate with members from across the country. We kindly ask that you remind and encourage your REALTORS® to participate in the call-to-action to strengthen our voice on Parliament Hill.
Thank you for your continued support.
For more information on the new proposed mortgage measures, visit OSFI’s website.