Over the last few weeks, there has been discussion about the effects of the new rules to qualify for mortgages, commonly referred to as the stress test.
Some commentators, myself included, have indicated that with the already cooling housing market and mortgage rates up 75 basis points, it’s time for a discussion about whether the test needs to be adjusted.
The stress test means new home buyers must qualify for a mortgage with two per cent added onto the Bank of Canada Benchmark five-year rate. (Sean Kilpatrick / THE CANADIAN PRESS)
The test, which came into effect in 2018, was intended to protect […] Read more