New Insured Mortgage Rules December 2024

Higher Purchase Price Cap for First-Time Homebuyers: The maximum home price for insured mortgages will increase from $1 million to $1.5 million. This means first-time homebuyers can qualify for an insured mortgage with less than 20% down on more expensive homes.

30-Year Amortization for Insured Mortgages: First-time homebuyers and those buying new builds with less than 20% down can now choose a 30-year amortization. Previously, the maximum was 25 years. This change lowers monthly payments and can increase the amount buyers can borrow by 5% to 10%.

Minimum Down Payment: The minimum down payment for insured mortgages remains the same. Buyers need to put down 5% of the first $500,000 of the home’s price, and 10% on the portion above $500,000.

These updates will help make homeownership more affordable for Canadians.