With all the news we have seen on the election, I thought I would sum it up from a mortgage industry perspective.
What the liberal win means for your mortgage:
1. We will see the continuation of the First Time Home Buyers’ Incentive. Check out the link for more information at https://www.placetocallhome.ca/fthbi/first-time-homebuyer-incentive
2. Property Transfer Tax modifications were on the platform, so we will await the date that change is applicable.
3. Consumers will still be able to withdraw up to $35,000 from their RRSPs as part of the government’s Home Buyers’ plan.
4. Bank of Canada Rates may not decrease as expected this year – unless there is a significant downtown in the market suddenly- based on the snapshot of recent activity that doesn’t appear as likely. It certainly makes it easier for the lenders not to pass the decrease down the line to the consumer.
5. We will likely see a national housing tax implemented in addition to the provincial ones already in place.
For items 1, 2 & 5, here is a link. https://globalnews.ca/news/5893892/trudeau-liberals-first-time-homebuyers-program-expansion-campaign-promise/
It doesn’t appear we will see any of the changes to the stress test or amortization hoped for by many.
Stay tuned for more updates and what the BOC decides to do Oct. 30 and Dec. 4.
While the constant in our market will always be change, Dominion Lending Centres mortgage professionals are here at the frontlines to help you navigate the market to your advantage and save you money. Please reach out to us with any mortgage questions on how we can help you or those you care most about.
By Angela Calla