During the month of June, the Canadian Mortgage and Housing Corporation (CMHC) announced they will be adjusting the rules for insured mortgages as of July 1 due to the economic downturn caused by COVID-19. Learn more about what happened this past month and how these new rules will affect Canadians.
On June 4, the CMHC announced their decision to change their underwriting policies for insured mortgages due to the economic impact of COVID-19 and the outlook that Canadian housing prices may decline.
After the CMHC announced their plans to tighten rules for insured mortgages, competitors such as Genworth and Canada Guaranty confirmed shortly after that they would not be following through with these policy changes.
CEO and co-founder Jesse Abrams walks through Homewise’s online process and how the company’s infrastructure has been able to support mortgage clients efficiently with no delays during the pandemic.
Over the last four months, COVID-19 has impacted the Canadian economy by significantly increasing levels of unemployment, which has now caused interest rates to fall to its lowest levels in history.