Quote:
Originally Posted by core_upt
AFAIK, once you have a mortgage in place, so long as the mortgage amount doesn't change, he amortization period won't change when you renew your terms. You may have to requalify, but if you had a 30+ before, you are able to keep it moving forward.
Correct me if I'm wrong.
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Quote:
Originally Posted by TheGrimm
I don't get why anyone would want to do a 30/35/40 year mortgage in the first place. If you need to stretch yourself THAT much to get approval or feel comfortable with your monthly payments you should simply be buying a lower cost home or condo etc.
I really don't think this will impact the market a ton, if anything it will hurt the mini mansion buyers with mid-income levels. All these $750-900's 3000 sq foot homes on the edge of the city will be a harder sell. They will be the first to get hit if there is a "correction" anyway.
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Quote:
Originally Posted by rayne008
How is this f'in anyone with an existing mortgage?
- It won't change anything at your renewal
- I doubt it will seriously affect house prices
- If your worried about upgrading your house with a longer ammort,
you're probably buying too much house any ways, which is what they are
trying to prevent...
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Its not if you took out a 30/35/40 year mortgage, its the fact you clearly paid more for your house because all the sudden everyone and their dog could qualify for a $400,000 mortgage.
With every increase in amortization prices saw a bump up, every time they pull back amortization prices see a retraction or stagnation, as now people can't afford as large of a mortgage.
Thus, if you bought in the period of 40 year mortgages, even if you did it on a 10 year amortization, you got %*$@ed. Government, aren't you going to at least take me for a nice dinner before you %*# me?