Key Mortgage Reforms
to Enhance Affordability and Flexibility

With upcoming mortgage reforms designed to enhance affordability and flexibility, both homebuyers and homeowners should anticipate major changes. Staying informed about these developments is crucial. Here are a few of the changes:

Refinance up to 90% of your home’s value to build a secondary suite (effective January 15th, 2025)
Homeowners can refinance up to 90% of their property’s value, including the value of any improvements, with a maximum mortgage amount of $2 million and a 30-year amortization period. The borrower or a close relative must reside in the newly built secondary suite.

Mortgage stress test will no longer apply to borrowers switching lenders at renewal for uninsured mortgages (effective November 21st)
This change allows homeowners to switch lenders without having to requalify under the stress test, provided their loan amount and amortization period remain the same.

30-year amortization available for first-time homebuyers (effective December 15th)
Reduces monthly mortgage payments, potentially increasing borrowing capacity.

30-year amortization for purchasers of newly constructed, owneroccupied homes (effective December 15th)
Enhances affordability for new homeowners.

Insured mortgages available for properties valued up to $1.5M (effective December 15th)
Reduces down payment requirements for properties priced under $1.5M versus the previous cap of $1M.