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Old 07-21-2008, 12:57 PM   #1
Bobblehead
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Default Canadian Mortgage rules changing

Quote:
The federal government announced this month it will no longer insure mortgages with an amortization period greater than 35 years.

Ottawa will also now require a minimum down payment of five per cent for government-backed mortgages.
http://www.canada.com/calgaryherald/...3-343857673687

Quote:
However, the changes are being made "to ensure Canada's housing market remains strong and to reduce the risk of a U.S.-style housing bubble developing in Canada," the government says.
I can see this causing a short spike in prices as buyers try to beat the deadline, then the housing market will slow for a few years while people save up the 5% down payment.
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