The federal government announced late Wednesday that it will be reducing the maximum amortization period for an insured mortgage, from 30 years to 25 years. The Government has also moved to limit how much you can borrow from your home equity for refinancing from 85% down to 80%.
It was not announced when the changes will take effect, but in the past the mortgage changes were in effect about 60 days after they were announced.
I’ll be posting more coverage of these mortgages changes as information becomes available. If you have questions how this may impact you don’t hesitate to contact me.