Coughing it up in the GTA and VYR On Friday the country’s top financial regulator dropped a hammer on the mortgage insurance business, taking special aim at the delusional locals in Vancouver and Toronto. If proposed changes happen (they will) then come the first of the year, mortgage insurers must beef up capital requirements to deal with the added risk inherent in those markets. It means borrowers will be under increased scrutiny over creditworthiness, including details of the loan size, credit score, outstanding debts and the time left to repay the mortgage – as well as the location of the home.
Think you always automatically qualify for mortgage insurance if you qualify for a home loan? Think again. :-)