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:
- We will see the continuation of the First Time Home Buyers’ Incentive. Check out the link for more information here: https://www.placetocallhome.ca/fthbi/first-time-homebuyer-incentive
- Property Transfer Tax modifications were on the platform, so we will await the date that change is applicable
- Consumers will still be able to withdraw up to $35,000 from their RRSP’s as part of the government’s Home Buyers’ plan. https://www.canada.ca/en/revenue-agency/programs/about-canada-revenue-agency-cra/federal-government-budgets/budget-2019-investing-middle-class/home-buyers-plan.html
- Bank of Canada Rates may not decrease as expected this year – unless there is a significant sudden downturn in the market – 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.
- 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 Bank of Canada decides to do Oct. 30 and Dec. 4.
While the constant in our market will always be change, we 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.
Angela Calla is a 15 year award-winning woman of influence and mortgage expert. Alongside her team, passionately assisting mortgage holders get the best mortgage, and educating them on “The Mortgage Show” on CKNW for over a decade and through her best-selling book “The Mortgage Code” available on Amazon. To purchase the book click here: The Mortgage Code. Proceeds from her book sales are donated to local charities helping families in the tri-city community. Angela can be reached at firstname.lastname@example.org or 604-802-3983.