Exciting Positive Changes in the Mortgage Industry

 

The mortgage industry has seen a wave of positive changes recently, creating some fantastic opportunities for homebuyers and homeowners. Over the last two Bank of Canada meetings, we’ve seen two quarter-point decreases in the Prime rate, bringing variable rate mortgages (VRMs) down to the mid-5% range. With two more decreases expected by the end of this year, VRMs could drop into the 4% range.

 

But that’s not all. The recent CMHC announcement increased mortgage limits from $1 million to $1.5 million, and first-time homebuyers can now enjoy 30-year amortization options. This benefit also extends to all buyers of newly built homes with less than 20% down, up from the previous 25-year amortization limit.

 

And just this week, more great news! Starting November 21st, lenders will no longer have to apply the stress test when switching mortgages from one lender to another, making it easier for homeowners to transfer their mortgage without facing the same level of scrutiny.

 

If you or someone you know is looking to take advantage of these mortgage rule changes, feel free to reach out to me at Lotus Loans & Mortgages Corp. We are here to guide you through these opportunities and help ensure you make the most informed decisions with your best interests in mind.