Hi there, I see that we have some new rules for all you Buyers old and new.. So I called my friend Sheena Paon, Broker of Mortgages at Premiere Mortgages and this is her message to me.

“Good Morning all! I decided to write one big email to all my clients and contacts regarding the NEW Mortgage Rules coming into effect Oct 17th.

Best way to describe what is happening is this…. currently and previously when we “qualified” a buyer or person for a mortgage we used the discounted rate, which right now is about 2.35-2.44 percent for a 5 year fixed term. NOW.. new rules will dictate that we have to use the posted rate, which right now is 4.64% for a 5 year fixed.

IMPORTANT PART>>>Add in too! Clients would still get lower rate. But MUST qualify on the posted rate. 

What does this mean… More people will not be able to buy, or qualify for a mortgage since we have to use 4.64% after Oct 17th. It is going to be so important that any one you come in contact with understands this and has gone to see their Mortgage Broker for their mortgage pre-approval!

Any questions, please don’t hesitate to reach out to me!”

Thank you Sheena for your valuable information.  If you have questions or concerns regarding this please do not hesitate to contact myself or Sheena at her toll free number 1-888-561-2525.

For even more information, check out this link below:

http://www.fin.gc.ca/n16/data/16-117_2-eng.asp

Kind Regards,

Sheila Cashin-Cormier

Real Estate Advisor

RE/MAX Nova