OSFI Considers Setting a Minimum Qualifying Rate of 5.25% For Uninsured Mortgages

Author: External Author | | Categories: Home Purchase Mortgage , Investment Property Mortgage , Mortgage Broker

 Blog by Cody Rowe - Mortgage Broker

With several Big-Five bank CEOs calling for regulatory action to slow the red-hot housing market, it didn’t take long for the Office of the Superintendent of Financial Institutions (OSFI), the governor of federally regulated financial institutions, to respond. In a news release issued today, OSFI proposed an increase in uninsured mortgages’ qualifying rate to the higher of the mortgage contract rate plus 200 basis points or 5.25% as a minimum floor.

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Original Article Source Credits:   Dominion Lending Centres , https://dominionlending.ca/

Article Written By:  Sherry Cooper

Original Article Posted on:  April 8, 2021

Link to Original Article:  https://dominionlending.ca/economic-insights/osfi-considers-setting-a-minimum-qualifying-rate-of-5-25-for-uninsured-mortgages