Found 3 blog entries tagged as cmhc.

Genworth Canada Confirms It Will NOT Change Underwriting Policy to Match CMHC

 

June 8, 2020

 

TORONTO, June 8, 2020 /CNW/ - Genworth MI Canada Inc. (the "Company") (TSX: MIC) confirms that it has no plans to change its underwriting policy related to debt service ratio limits, minimum credit score and down payment requirements. One of the Company's competitors announced changes to their internal underwriting guidelines with respect to the aforementioned underwriting criteria on June 4, 2020. 

"Genworth Canada believes that its risk management framework, its dynamic underwriting policies and processes and its ongoing monitoring of conditions and market developments allow it to prudently adjudicate and manage its mortgage insurance…

180 Views, 0 Comments

Read Full Post

Here is the latest CMHC announcement - Effective July 1, 2020 

The following underwriting changes will be taking place for CMHC insured mortgage:
  1. Debt to income ratio will now be 35% GDSR & 42% TDSR instead of 39% GDSR & 44% TDSR
  2. Minimum credit score of 680 for at least one borrower
  3. Elimination of borrowed down payment program.

If you have been thinking about purchasing a property, this will affect how much you will qualify for a home. 

https://www.cmhc-schl.gc.ca/en/media-newsroom/news-releases/2020/cmhc-reviews-underwriting-criteria?utm_source=twitter&utm_medium=cmhc_ca_organic&utm_campaign=cor-org&utm_term=b7a40b24-7069-4e72-821e-2d8bf03a5279&fbclid=IwAR2VovO2kEQanaeHUoxpFyGsewQ4UwCMXa36PU1GsWzhJJX7ghl03aJrEsw

…

212 Views, 0 Comments

Read Full Post

Saving Money for a New Home

Buying a new home takes some planning and some strategic saving; but, with a little forethought coupled with action, you can make home buying a reality.

Be aware that you will need at least a 20% down payment of the purchase price of the house to avoid having to use Canadian Mortgage and Housing Corporation (CMHC) for default insurance. However, using default insurance through CMHC allows you to place a down payment of only 5% of the purchase price of the home. Keep in mind that you will pay more on your mortgage by obtaining default insurance. Below are some tips to help you save money for a down payment on a house:

Take a look at your monthly expenses. Determine what you can realistically afford to put away per month. Once you have determined…

645 Views, 0 Comments

Read Full Post