Government of Canada Mortgage Reforms

Effective December 15, 2024, the Government of Canada has increased the purchase price limit applicable to insurable mortgages from $1 million to $1.5 million, aligning with current market conditions. This means buyers can qualify for a high-ratio (less than 20% down) mortgage on home purchases up to $1.5 million, versus the current cap of $1 million. The government also announced an expansion of eligibility for 30-year mortgage amortizations, making 30-year mortgages available to all first-time homebuyers and to all buyers of new builds. These changes aim to make homeownership more accessible by reducing monthly payments and enabling more Canadians to qualify for mortgages with smaller down payments.