As your local Mississauga mortgage brokers, our team is always up to date on the current market trends. With an ever-changing market and the new Canadian mortgage rules, it is important to be aware of what you can afford and organise your financial records. As of January 2018, throughout all of Canada, there have been new mortgage rules. These rules mean there will be higher interest rates and a mandatory stress test for all potential homebuyers. Talk with a Mississauga mortgage broker today to know how much they are willing to lend so you know what price range to shop for.
The reason for these new rules is to try and cool down the booming housing market. Over the past few years home prices have been drastically increasing, but now with these new rules, the housing prices are estimated to drop.
In Mississauga, a decline in the market has already started to occur. According to the Canadian Real Estate Association, in January 2018 there has been approximately a 20% decrease in units sold. The average home price is currently $631,372, which is a 9.9% decrease from January 2017. The total value of all the residential sales, including single detached family homes, duplexes, condominiums, and townhomes, was $258.2 million for January 2018. This is almost a 28% decrease from the previous year.
With this recent decline in the housing market, now would be a great time to buy before the prices increase again. It is important to be knowledgeable about the new mortgage rules because this has affected most Canadians where affordability is concerned.
If you have any questions or are in the market for a Mississauga mortgage, contact your local broker today. Don’t wait, house prices are at an all-time low, so get started on your application now. Please contact the AKAL Mortgage Inc. team at 416-621-1300 or info@AKALmortgages.com.