Jul

15

0% Down and 40 Year Amortizations are Now no Longer!

Filed Under Mortgages 

Below is a news release from the Canadian Government stating that there will no longer be 40 year amortizations and no more zero-down mortgages in Canada.  This will however take in effect as of October 18th, 2008, and will only effect new mortgages, while existing zero-down or 40 year mortgages will not be effected.

These changes are being made to  government-backed mortgages (insured mortgages including CMHC, AIG and Genworth).

These changes include:

-Fixing the maximum amortization period to 35 years
-Requiring a minimum down payment of 5%
-Establishing a minimum credit score requirement
-Introducing new loan documentation standards
Click Here to Download government-release-40-year-zero-down.pdf

Comments

One Response to “0% Down and 40 Year Amortizations are Now no Longer!”

  1. Jared Chamberlain on July 17th, 2008 12:37 am

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