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Mortgage Stress Test Changes Likely Upcoming May 24th

General Angela Calla 9 Apr

Mortgage Market Stress Test 

OSFI, our Federal regulator, has announced in efforts to “cool” the mortgage market they would like the 6 big banks to increase the qualifying rate from the current 4.79, to a minimum of 5.25 or 200 basis point above the “contract rate”.

Read the full release here from our economist Dr. Sherry Cooper.

This is an increase of 46 basis points and will DECREASE your purchasing power by approx. 5%, unless you complete funding before May 24th.

If you or a loved one have a mortgage pre-approval or purchase of a pre-sale in place, we recommend that you review your qualifications to ensure you can still purchase as intended.

Who this impacts:

  1. Yes it’s true, this impacts the middle class the most and those who put more money down. This does not feel like a solution to fix the intended problem of cooling the mortgage market, as it doesn’t address the supply of real estate in deficit, which requires regional solutions.
  2. All cash offers being submitted that are not really ALL cash and require financing or the sale of a property.

The fact that during a global pandemic, the default rates on mortgages went down, Canadians worked even harder and paid their mortgages!

There will be much more clarity on the mortgage market in the upcoming weeks.

Perhaps even a shift or reduction in this consideration! However its crucial to be prepared so you or a loved one don’t get caught up in this timing. We are here to advocate for and assist you with the best mortgage to build and protect your wealth.

If you or a loved one has a question on reviewing their existing mortgage that is approaching renewal, accessing equity to pay off high interest debt, or planning a purchase, call us at 604-802-3983. We are here to help guide you through every market transition.


Angela Calla is a 17-year award-winning woman of influence which sets her apart from the rest. She is without a doubt, a true expert in her field. Alongside her team, Angela passionately assists mortgage holders in acquiring the best possible mortgage. Through her presence on “The Mortgage Show” and through her best-selling book “The Mortgage Code, Angela educates prospective home buyers by providing vital information on mortgages. 

In August of 2020, at the young age of 37, Angela surpassed $1 Billion dollars in funded personal mortgages. In light of this, her success awarded her with the 2020Business Leader of the Year Award.

Angela is a frequent go-to source for media and publishers across the country. For media interviews, speaking inquiries, or personal mortgage assistance, please contact Angela at hello@countoncalla.ca or at 604-802-3983.

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Team Banner mortgage market