Recent Mortgage Rule Changes = Increase Costs For You
You may have thought that the mortgage rule changes from Ottawa only affect first time home buyers which is understandable because the media sucks at providing the public with the real story. Yes, prospective home buyers qualify for 20% less now than they did prior to October but, the majority of the rule changes have indirectly and directly affected mortgage competition. This is all due to increased costs to the mortgage insurers (CMHC) which is handed off to the lenders which (as you might have guessed) is handed down to you, the consumer. Now, you may be thinking 'but Ian, I already have a mortgage and my rate is set, so why do I care?'. Well, when you need to renew your mortgage in 5 years or whenever your term is due, your lender's new rate offering is going to be higher because of these changes. Of course, I'll help you find a better rate option at that time but, with reduced competition in the mortgage market, you're options could be slim. You may even