Regina Homes & Condos For Sale|Regina Real Estate 

New mortgage rule might 'temper' hot markets

Beginning next week, many Canadians hoping to buy an abode will need to put more cash down before they can call it home. The extra cost might keep some would-be homeowners from mortgages they can't really afford, but it's unlikely to leave any lasting impressions on the country's most "overheated" real estate markets. Vancouver and Toronto saw real estate prices, particularly for detached and semi-detached home, continue to rise last year. Most other markets saw only modest increases, or even decreases in some cases.

 

The federal government said in December that the Canadian Mortgage and Housing Corporation will require a 10 per cent down payment on any portion of a mortgage it insures above $500,000 and up to $999,000. That's double the five per cent down the Crown corporation currently asks to insure mortgages worth more than 80 per cent of a home's value.

 

"We want to make sure we create an environment that protects the people buying homes so they have sufficient equity in their home," said Finance Bill Morneau at the time, also noting that "elevated" house prices were the driving force behind the move.

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Aaron Habicht
Cell:1-306-536-2454
Sutton Group - Results Realty
3904 B Gordon Road
Regina, SK
S4S 6Y3 CA
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