Calgary Dream Homes

Direct: 403-850-0669 |


New Rules for CMHC-Insured Mortgages



The Canada Mortgage and Housing Corporation (CMHC) is making changes to its insured mortgages. These tighter underwriting standards may make it more difficult for some to qualify for mortgages with less than a 20% down payment.

Here are the details:

Maximum gross debt service (GDS) ratio drops from 39% to 35%
Maximum total debt service (TDS) ratio drops from 44% to 42%
Minimum credit score rises from 600 to 680 for at least one borrower for all CMHC-insured mortgages
No borrowed down payments
Background

According to Will Dunning, Chief Economist for Mortgage Professionals Canada, 61% of first-time homebuyers purchase their homes with less than 20% down.

I will continue to monitor the situation and will keep you updated.


To find out how this change might impact you, please contact me to discuss.


Cathy 403-568-8817

Data supplied by CREB®’s MLS® System. CREB® is the owner of the copyright in its MLS® System. The Listing data is deemed reliable but is not guaranteed accurate by CREB®.
The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. Used under license.
The trademarks REALTOR®, REALTORS®, and the REALTOR® logo are controlled by The Canadian Real Estate Association (CREA) and identify real estate professionals who are members of CREA. Used under license.