More Difficult to Secure Financing
Ben Schmidt of www.benschmidt.tv, a real estate agent of Fredericton, NB and Oromocto, NB, video blogs about how it is becoming more difficult to qualify for financing in Canada.
Previously, I talked about qualifying for a mortgage, and how as of April 19, 2010 you will need to qualify for a 5-year fixed rate, even if you decide to get a variable rate or a shorter/longer term. Two other changes are, (1) you cannot refinance your home to 95% anymore. You will only be able to refinance to 90%. We don't want people buying a home, doing simple changes to the house, and appraising it higher, just to get a line of credit. (2) You no longer are able to purchase a non-owner occupied property with less than 20% down.
If you have any questions, you can always email me at ben.schmidt@me.com or leave your comments here.