Nov 28, 2017

Mortgage Qualifying Rules Tightening January 1, 2018

Mortgage Qualifying Rules Tightening January 1, 2018

Thinking about moving? The mortgage qualification rules will be changing as of January 1, 2018.

The current rules allow buyers to quality for their mortgage at a discounted rate when providing a deposit of 20% or greater. In the new year, regardless of the amount of deposit, buyers will have to qualify at the posted rate +2% or the Bank of Canada Benchmark Rate (whichever is greater).  This change may significantly reduce your purchasing power when applying for a mortgage. For more details click here to view a memo from the Royal Bank of Canada regarding these changes.