Toronto Mortgage Broker Brad Compton talks about the future of Canadian Mortgage Rates as well as the details of the recent Mortgage Regulation Changes in Canada. You might be surprised who is actually behind te recent changes.
12. New Mortgage Rules Roughly 30% of mortgages last year had 35 yr amortization. Most were FTHB TD estimates the amortization decrease will impact 20,000 sales Amortization reduction will drop average affordability by 6-7% Roughly 10% of mortgages currently refi above 85% Current default rate of .42%
14. New Mortgage Rules Default rate below .5% CMHC Net Income $931M 71% of book is on loans with an LTV of less than 80% 9% return on securitization activity