Source: Armina Ligaya, The Canadian Press, October 17, 2017
TORONTO — Canada’s banking regulator has published the final changes to its guidelines for residential mortgage underwriting, including a financial stress test for buyers who don’t need mortgage insurance.
The Office of the Superintendent of Financial Institutions said Tuesday the changes will come into force by Jan. 1, 2018.
Even homebuyers who don’t require mortgage insurance because they have a down payment of 20 per cent or more will have to prove they can continue to make payments if interest rates rise.
