Mortgage insurers clarify qualification rules for VRM applications amid rising rates –

Distinctive Advisors Inc.

Menu

Distinctive Real Estate Advisors Inc., Brokerage | Distinctive Real Estate Advisors Inc., Mortgage Broker License #12592

Left Arrow Back to all All PostsAll posts
July 20, 2022

Mortgage insurers clarify qualification rules for VRM applications amid rising rates

Highlights from this in-depth article include:

  • .The net/net is that variable-rate borrowers whose applications received both lender and insurer approval before July 14.
  • The Bank of Canada’s historic 100-bps rate hike last week has led to confusion over how the stress test should be applied to variable rate mortgage (VRM) applications already in lender pipelines.
  • On Tuesday, July 19 Canada’s three mortgage insurers—Sagen, CMHC and Canada Guaranty—issued a joint statement to provide clarification on the matter.

To read the full article click here.

We’d welcome an opportunity to discuss the perspectives presented in this in-depth article. If you have any questions about our services, please contact our team today.

Comments

Your email address will not be published.