The Liberal government has recently taken steps to minimize housing risks and has implemented new mortgage rules for homes priced over $500,000. As of February 15, 2016, properties over half a million will be subject to new lending laws.
Buyers are still eligible to have a 5% down payment on the 1st $500,000 but now must put a minimum of 10% down on any remainder. Meaning a house purchase of $750,000 will now require a $50,000 down payment instead of the previous $37,500.
The Finance Minister Bill Morneau has said that this new measure aims to ensure buyers have sufficient equity in their homes.
If you have questions about the new mortgage rules or the luxury housing market in Saskatoon, please feel free to contact me today.
Saskatoon real estate agent
Century 21 Fusion