Canadians work hard to afford a safe and comfortable place to live, and with high mortgage costs, homeownership has become more daunting. Our government is making bold changes to mortgages which will allow more Canadians to become homeowners, while keeping current mortgage rates low. Here’s how we’re helping current homeowners, aspiring homeowners as well as renters:
- Current homeowners with an insured mortgage can now switch lenders at renewal without having to do another mortgage stress test. Without the need to requalify at renewal, competition between lenders is increased and Canadians can take advantage of the best, lowest rates available.
- Eligibility for 30-year insured mortgages is expanding to all first-time homebuyers and buyers of new builds. This reform incentivizes more housing construction and allows Canadians to reduce their monthly mortgage payments.
- The $1 million price cap for insured mortgages is being increased to $1.5 million, starting this December. This new cap will accurately reflect the housing market realities Canadians face and make sure more Canadians can qualify for a mortgage with a downpayment of less than 20%.
- Renters are also protected while saving for a downpayment with the release of plans for the Renters’ Bill of Rights and Home Buyers’ Bill of Rights, allowing more Canadians to become homeowners.
Our government recognizes that the high cost of mortgage payments is a hurdle to overcome on the path to homeownership, especially for Millennials and Gen Z hoping to purchase their first home. Our Liberal government is using every possible tool to help more Canadians become homeowners.