Changes: Mortgage and Housing

changes: Job losses, business closures and a drop in immigration are expected to adversely impact Canada's housing markets, according to CTV. CMHC foresees a whopping nine per cent to 18 per cent decrease in house prices over the next 12 months due to higher mortgage debt and increased unemployment. Come July 1, it will be harder for Canadians to qualify for a new mortgage due to changes announced last week by the Canada Mortgage and Housing Corporation CMHC . The changes have come about as a result of the COVID-19 pandemic, according to CMHC. The health crisis is affecting all sectors of the Canadian economy, including housing. To help reduce the risk and protect future home buyers, the corporation is implementing new changes to it's underwriting policies for insured mortgages. They will also limit gross and total debt servicing ratios to their standards of 35 per cent and 42 per cent, respectively. The changes will mean that you will have to establish a minimum credit score of 680 for at least one borrower, up from 600. (www.immigrantscanada.com). As reported in the news.