Lethbridge Mortgage Seekers Advice
CMHC is once again tightening their rules by eliminating some of their mortgage insurance products. On friday they announced that it is going to stop offering mortgage insurance on second homes. It will also stop offering mortgage insurance to self-employed people whose income cannot be validated through traditional means.
This means no more purchasing of CMHC insurance for cottages, cabins, summer homes, or those who purchase homes in another city for seasonal enjoyment or for kids to go to school.
It also means an end to insuring of "stated income" mortgage products which so many self employed and small business people have had to rely upon. This has been a product which has personally been a popular item and is one which will affect the Lethbridge real estate market more than the 2nd home product.
No word yet from mortgage insurance competitors if and when they will match this change in product offerings, but they always do so it is inevitable that it will happen across the board.
Using a mortgage professional is more important than ever. If you are still trusting your bank or thinking you know enough to handle your financing on your own, you need help and advice of a professional. Best of Luck my friends.
Robert W May is a Real Estate Broker in Lethbridge Alberta, having now been in the industry for over 23 years. . He was also a licensed Lethbridge mortgage broker and financing expert with Canada First Mortgage of Calgary Alberta for the past 10 years. He is an industry leader always willing to help train and educate others in how to improve their business models for financial and personal benefit.