New mortgage rules
- Thread starter Bindy25
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[quote user=Bindy25]do the new rules imply to you?
yes, with the caveat that the CHMC ticket is good for the life of the mortgage. So if you had a 35 year CMHC mortgage, and now 5 years later you wish to renew you should be able get a 30 year amortized mortgage but the risk is that the bank may not give you their best rate, and that you may have to go down to 25 years to get a better rate.
yes, with the caveat that the CHMC ticket is good for the life of the mortgage. So if you had a 35 year CMHC mortgage, and now 5 years later you wish to renew you should be able get a 30 year amortized mortgage but the risk is that the bank may not give you their best rate, and that you may have to go down to 25 years to get a better rate.
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I don't believe they do.
From CMHC's "Frequently Asked Questions"
Q. I already have an insured mortgage. How will these changes affect me?
A. Mortgage insurance is good for the life of the mortgage. Borrowers renewing their insured mortgages will not be affected by these changes. For example, if a borrower had a 30-year amortization and there are 27 years remaining on the mortgage, the mortgage can be renewed with a 27-year amortization, as long as no new funds are being added to the mortgage.
This is consistent with prior reductions in amortization. Best to check with your lender to ensure their policies mirror what CMHC says.
From CMHC's "Frequently Asked Questions"
Q. I already have an insured mortgage. How will these changes affect me?
A. Mortgage insurance is good for the life of the mortgage. Borrowers renewing their insured mortgages will not be affected by these changes. For example, if a borrower had a 30-year amortization and there are 27 years remaining on the mortgage, the mortgage can be renewed with a 27-year amortization, as long as no new funds are being added to the mortgage.
This is consistent with prior reductions in amortization. Best to check with your lender to ensure their policies mirror what CMHC says.