Sue Burnett, Centre Wellington, Fergus, Elora, Real Estate, MLS, Realtor, RE/MAX, Remax, Buying, Selling , Homes, For sale, Listings, Agents, Sales Representative, Top Agents,
ON 1ST JANUARY 2018 NEW LENDING RULES TOOK EFFECT.
Under the new rules ALL buyers will have to show they can afford their mortgage payments at either the five-year average rate posted by the Bank of Canada, or two percentage points higher than whatever deal they were able to negotiate — whichever measurement is higher.
Pre qualification is essential as you will commence looking for a home or investment knowing exactly what you can or cannot afford. Remember pre qualification only applies to you! Many banks may still want to qualify the actual home you purchase.
The calculator below will help you determine loan amounts, mortgage qualification, affordability or whether you should be renting or buying. Remember to increase the mortgage percetage by 2% and that this is just a guide and does not replace the valued opinion of a mortgage expert who will look at your financials as a whole and advise you fully and keep you posted of any rate changes ar regulations that could affect your affordability whilst you shop for a home..
If you have any questions, please don't hesitate to contact me and I will refer you to an expert that will ensure you .