{"id":1840,"date":"2020-06-04T21:22:59","date_gmt":"2020-06-05T01:22:59","guid":{"rendered":"http:\/\/www.karenmillar.com\/blog\/?p=1840"},"modified":"2020-06-04T21:23:00","modified_gmt":"2020-06-05T01:23:00","slug":"cmhc-update","status":"publish","type":"post","link":"https:\/\/www.karenmillar.com\/blog\/cmhc-update\/","title":{"rendered":"CMHC Update"},"content":{"rendered":"\n<div class=\"wp-block-image\"><figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"231\" height=\"219\" src=\"http:\/\/www.karenmillar.com\/blog\/wp-content\/uploads\/2020\/06\/Mortgage-Jake.png\" alt=\"\" class=\"wp-image-1841\"\/><\/figure><\/div>\n\n\n\n<p>Here is a fantastic update from our good friend and mortgage broker Jake Abramwowicz:<\/p>\n\n\n\n<p>Hello! Happy Thursday!<br>CMHC is changing what % of income you can use towards mortgage debt.\u00a0<br>Currently the rule is, with credit scores of 600+, you can use 39% of your income to help getting a mortgage.  Therefore a $100,000 income earner with a $2200\/year property taxes and $500\/m maintenance fees could\u00a0<strong>borrow<\/strong>\u00a04.8x their income. (As a hypothetical).<br><\/p>\n\n\n\n<p>Now, with the changes of max 35% income:debt ratio,\u00a0<strong><u>they will be able to borrow 4.2x income.<\/u><\/strong> <strong>This represents a decrease of approximately 12.5% LESS borrowing power<\/strong>. In 416\/905 I don&#8217;t have to tell you what a crucial blow this is to a first-time buyer. CMHC wants prices to come down so that 100% of Canadians can &#8216;afford&#8217; housing. The problem is, they&#8217;re 10 years too late for that.<\/p>\n\n\n\n<p><br><strong>**If you are a buyer that will be affected, please let me know, and let&#8217;s get in touch asap**<\/strong><\/p>\n\n\n\n<p><br>How to get around these rules?<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Ask the bank of mom and dad for enough down payment to get to 20%)<\/li><li>Ask the bank of mom and dad to help you co-sign.<\/li><li>Find a property that&#8217;s outside of your area you\u00a0<em>wanted to buy<\/em>\u00a0in and move to an area you can qualify for.<\/li><\/ul>\n\n\n\n<p>Waiting for the official announcement for more details which I will share instantly.<\/p>\n\n\n\n<p><br>Thanks for reading.<br>Jake<br><strong>Jake Abramowicz<\/strong><br>E:\u00a0<a rel=\"noreferrer noopener\" href=\"mailto:Jake@mortgagejake.com\" target=\"_blank\">Jake@mortgagejake.com<\/a>C: 416 910 4448<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Here is a fantastic update from our good friend and mortgage broker Jake Abramwowicz: Hello! Happy Thursday!CMHC is changing what % of income you can use towards mortgage debt.\u00a0Currently the &hellip; [<a href=\"https:\/\/www.karenmillar.com\/blog\/cmhc-update\/\">read more<\/a>]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1518,1681,1473,1706,5,153],"tags":[1734,1733,1732,325,7,1045,672,126,331,1735,191,140],"class_list":["post-1840","post","type-post","status-publish","format-standard","hentry","category-covid-19","category-don-mills","category-finance","category-open-in-don-mills","category-real-estate","category-toronto","tag-buyers","tag-buying-a-house","tag-cmhc","tag-dmri","tag-don-mills","tag-gta-homes","tag-karen-millar","tag-karen-millar-team","tag-mortgages","tag-toronto-buyers","tag-toronto-homes","tag-toronto-real-estate"],"_links":{"self":[{"href":"https:\/\/www.karenmillar.com\/blog\/wp-json\/wp\/v2\/posts\/1840","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.karenmillar.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.karenmillar.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.karenmillar.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.karenmillar.com\/blog\/wp-json\/wp\/v2\/comments?post=1840"}],"version-history":[{"count":1,"href":"https:\/\/www.karenmillar.com\/blog\/wp-json\/wp\/v2\/posts\/1840\/revisions"}],"predecessor-version":[{"id":1842,"href":"https:\/\/www.karenmillar.com\/blog\/wp-json\/wp\/v2\/posts\/1840\/revisions\/1842"}],"wp:attachment":[{"href":"https:\/\/www.karenmillar.com\/blog\/wp-json\/wp\/v2\/media?parent=1840"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.karenmillar.com\/blog\/wp-json\/wp\/v2\/categories?post=1840"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.karenmillar.com\/blog\/wp-json\/wp\/v2\/tags?post=1840"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}