New Mortgage Rules: What you need to know

Posted Posted in Mortgage

On October 17 2017, the Office of the Superintendent of Financial Institutions (OSFI) introduced new rules on Mortgage Lending. The changes will go into effect on January 1, 2018, and will require conventional mortgage applicants to qualify at a new minimum rate, or “stress test” for uninsured mortgages. The new qualifying rate will be based […]

Rate hike has immediate effect on consumers

Posted Posted in Articles, Market Commentaries, Mortgage

Tarek Mnaimne has been considering dipping his toes into the Canadian real estate market, particularly in Toronto or Montreal, but the rate hike from the central bank is giving him pause. “It just doesn’t look as attractive as it used to,” says Mnaimne, a Canadian expat currently working in Kuwait City as an investment analyst. […]

The Borrowing Process

Posted Posted in Mortgage

Questions about the Mortgage Qualification Process How is a loan application assessed? Most lenders base their affordability calculations on two traditional debt to income ratios. First, your Gross Debt Service Ratio (GDSR) is based on your monthly housing costs, including mortgageĀ  payments, property taxes, heating costs, and 50% of applicable condo fees. Lenders prefer that […]