In Part 1, we explored how changes like easier lender switches, insured refinancing for rental units, and extended amortization periods are reshaping Canada’s housing market.
In this continuation, we’ll focus on updates that make higher-value homes attainable and address the unique needs of various buyer segments.
In response to rising housing costs, the maximum price cap for insured mortgages has been raised from $1 million to $1.5 million. This is particularly impactful in markets like British Columbia, where housing prices frequently exceed $1 million.
This increased cap bridges the gap for buyers in competitive housing markets, allowing them to secure homes with manageable financing terms.
For homes priced above $500,000, the down payment requirements have been revised to create a more equitable structure:
For example, under the new rules, purchasing a $1.5 million home requires a down payment of $125,000, compared to the previous 20%, or $300,000.
This update makes homeownership more accessible in high-value markets and benefits families who are upgrading to larger homes.
The 2025 mortgage updates also focus on inclusivity, ensuring that a wide range of buyers and homeowners benefit:
To maximize the opportunities created by these updates, consider the following steps:
The 2025 mortgage changes are a thoughtful response to Canada’s housing challenges. By addressing affordability, flexibility, and accessibility, these updates create a more inclusive market for buyers and homeowners.
Key benefits include:
With expert guidance and careful planning, these changes can help you achieve your homeownership and investment goals in 2025. Whether you’re a first-time buyer, upgrading your home, or diversifying your portfolio, the future looks bright for Canadians navigating the housing market.
Entrust Mortgage is more than just a broker; we are your partner in growth.
Our team is committed to providing solutions that meet your current needs and pave the way for future success.
