Update Feb 2017: Mortgages, Real Estate and Politics!!!

Marci • February 2, 2017

Happy 2017 Everyone!

Wow!! Where did January go? Just like that it is almost Spring in Vancouver! (Although, I hear we might have a bit more Winter/Snow coming this weekend). I am reaching out with an update on the many changes/announcements in the mortgage industry over the last few months. Don’t worry – when I say “politics” in the subject here, I mean Canadian and BC politics – No Trump talk here!!!

There have been a number of mortgage policy announcements, rate changes, and Government program launches/changes recently. If you are overwhelmed and tired of hearing about mortgages and real estate, you are not alone!! I am hoping that I can help to “clear the clutter” and offer some explanations for what’s really happening.

Here is a summary of the major items and some links to resources if you want to read more and dig deeper!

October 2016 – Federal Government Mortgage Changes:

On October 3rd, 2016 the Federal Government announced changes to mortgages in Canada that have impacted how much borrowers qualify to borrow and the types of mortgages that can be insured. The changes were extensive and were rolled out in two stages. Click Here for my blog post outlining the changes in detail and here for my initial email/reaction to the changes. This video also helps break down what happened and why!

Generally speaking, there has been confusion about the changes. December 2016 saw all lenders change policies for all mortgage lending and increase fixed interest rates across the board to help cover extra costs associated with the new government policies!

Just this week, a parliamentary committee has convened in Ottawa to review the changes. This review is the result of a HUGE out pouring of concern by the Mortgage Broker industry, the banks and consumers in general, regarding the policies. Mortgage Professionals Canada (MPC), the national industry association for Mortgage Brokers, will be presenting a paper in Ottawa this week that outlines the concerns we have for the industry and for consumers. To quote MPC:

“Put simply, the government has made too many changes in too short a period of time. It appears that the Ministry of Finance, OSFI and CMHC are working toward a common goal but are not aligned in their strategy.”

The primary message from all parties is that the changes were perhaps too much all at once and overall they reduce competition and harm consumers. Click to read the full submission from MPC……It is a long, but interesting read! (OK – maybe not so interesting unless you are a “mortgage geek” like me!!)

B.C. Government Home Loan Program

On December 15th, 2016 the BC Government announced a program to help First Time Buyers with an interest free loan to be use towards a down payment. The program details can be found HERE. The first applications for this “free” money started being accepted on January 15, 2017. The loan comes with costs and is technically not free, but it can be beneficial for some buyers. As everyone’s situation is very different, please contact me directly to talk about your particular needs and to see if this loan program might be a fit for you!!

CMHC – Insurance Premium Increases

On January 17, 2017, CMHC announced mortgage insurance premiums will increase effective March 17, 2017. Overall the increases were quite minimal. The biggest impact will be felt by buyers with a 5 – 10% down payment and especially where some of the down payment is from non-traditional (borrowed) sources.(FYI – the BC Home Loan is a “borrowed source” of down payment and = higher mortgage insurance premiums). I published a blog post here that outlines the premium changes and gives some examples of the impact.

Foreign Buyer Tax

The big story this past summer was the introduction by the BC Government of a 15% Foreign Buyer tax on home purchases made by foreign buyers. There were some issues with the way the tax was implemented (with just 6 days warning) and also in that the policy included Permanent Residents to Canada who might have been working and living here for several years. This past weekend, the BC Government announced an amendment to the tax whereby residents holding a work permit and filing taxes in Canada, will now be exempt. We continue to await further details. This article in the Financial Post outlines the latest press release by Premier Christy Clark. CLICK HERE Stay tuned for more details as we get them…..

Bank of Canada Rate – No Changes

The most recent Bank of Canada Announcement was on January 18th, 2017 and no changes were made. You will find the details of that announcement here.

Prime is still 2.70%! We can still get Variable Rate mortgages at prime MINUS 0.35% to 0.50%. (IE: 2.20% 5 year Variable rate still exists). The fixed rate mortgage rates increased in December and there is now tiered pricing with all lenders depending on down payment, property type, and amortization. A standard “rate sheet” is now super tricky as every deal will have different nuances and in the world of mortgages since October 3rd, 2016, different deals = different rates!!

Call or email me to talk about your situation and for a personalized rate quote. marci@askmarci.ca or 604-816-8950

Increased BC Home Owner Grant Threshold

The Government of British Columbia released news on January 10th, 2017 that they have increased the home owner grant threshold from $1.2M to $1.6M, a 33% increase over last year. The goal was to help keep property taxes affordable, and to ensure all those who received the grant in 2016 will also receive it in 2017. Yes, I blogged about this too and you can find details here!

Phew – if you made it through all that and you are still reading – THANK YOU!! That was quite honestly a lot of stuff to cover.

As always, please reach out to me directly to ask questions and to discuss your personal situation. Today, more than ever, each mortgage borrower will face different policies, rates and products. As an Independent Mortgage Broker, I can offer you those choices and options.

All the best,

Marci

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How to Finance a Spousal Buyout After Separation or Divorce

By Marci Deane • November 4, 2026
Mortgage Options During Divorce or Separation: What You Should Know If you’re going through—or considering—a divorce or separation, you may not realize that there are mortgage solutions specifically designed to help one party keep the home . For many people, the family home is their largest asset and where most of their equity is tied up. In situations like this, a spousal buyout program can allow one person to refinance the property and buy out the other party’s share—often up to 95% of the home’s value . This option can work whether you want to keep the home or your former partner does. What Is the Spousal Buyout Program? The spousal buyout program is a refinancing option that allows one owner to purchase the other owner’s share of the property as part of a separation or divorce settlement. In some cases, it can also be used to pay off jointly held debts, as outlined in a legal agreement. Below are some of the most common questions about how the program works. Is a finalized separation agreement required? Yes. Lenders require a signed and finalized separation agreement that clearly outlines how assets and debts are to be divided. This document is essential for approval. Can the funds be used for renovations or personal debts? No. Funds from a spousal buyout can only be used to: Buy out the other owner’s share of equity Pay off joint debts specifically listed in the separation agreement They cannot be used for renovations, personal loans, or unrelated expenses. How much equity can be accessed? The maximum amount available is the amount required to: Buy out the other party’s agreed-upon share of equity Pay off any joint debts listed in the agreement This amount cannot exceed 95% loan-to-value . What is the maximum loan-to-value allowed? The maximum loan-to-value is the lesser of : 95%, or The remaining mortgage balance plus the required buyout and joint debt payout The property must be the primary owner-occupied residence . Do all parties need to be on title? Yes. All individuals involved in the buyout must currently be registered on title. Your solicitor will confirm this through a title search. Does this only apply to married or common-law couples? No. While commonly used for married or common-law couples, the program may also apply to siblings or friends who jointly own a property and need one party to exit the mortgage. These cases are typically reviewed on an exception basis and require insurer approval. If no separation agreement exists, the purchase contract must clearly outline the buyout terms. Is a full appraisal required? Yes. A physical, on-site appraisal is required to confirm the property’s value before the mortgage can be finalized. Final Thoughts This overview covers some of the most common questions about mortgage options during separation or divorce, but every situation is different. Working with an independent mortgage professional gives you access to multiple lenders, specialized programs, and unbiased advice—so you can clearly understand your options and choose what’s best for your future. If you’re navigating a separation and need guidance around keeping or selling the home, feel free to connect anytime. All conversations are handled with discretion and confidentiality, and I’d be happy to walk you through your options.

Bank of Canada Raises Rate to 2.5% — October 28, 2026

By Marci Deane • October 28, 2026
On October 28, 2026, the Bank of Canada raised its key interest rate by 0.25%, bringing it to 2.5%. If you have a mortgage, are shopping for a home, or have a renewal coming up, this decision matters. Here is a plain-language look at what changed, why it happened, and what it could mean for you.

How to Legally Assign a Construction Mortgage

By Marci Deane • October 21, 2026
Why More Mortgage Options Matter—Especially for Assignment Purchases One of the biggest advantages of working with an independent mortgage professional is access to choice. Instead of being limited to one lender and one set of products, mortgage brokers work with multiple lenders—each with different guidelines, risk tolerances, and mortgage solutions. That flexibility becomes especially valuable when your situation doesn’t fit neatly into a “standard” box. A great example of this is purchasing new construction through an assignment contract . Why Assignment Purchases Can Be Challenging Assignment purchases are often viewed as higher risk by traditional lenders. Rather than declining these deals outright, many lenders quietly make them difficult by adding layers of conditions, restrictions, or uncertainty. This can lead to delays, frustration, or financing falling apart late in the process. The Good News There are lenders—available exclusively through the broker channel —that have clear, favourable policies for assignment purchases. With the right lender and proper planning, these transactions are absolutely doable. Typical Financing Requirements for Assignment Purchases While every situation is unique, many lenders that allow assignment financing look for the following: Standard purchase qualification, including income verification, credit, and down payment Assignments accepted at either the original purchase price or current market value Minimum 620 credit score , with no prior bankruptcies or consumer proposals The full down payment must come from the purchaser —seller incentives cannot be used Required Documentation To secure financing, lenders typically require: The original purchase agreement signed by all parties The MLS listing (if applicable) The assignment agreement signed by the builder, original purchaser, and new buyer Any side agreements outlining changes to the purchase price A full appraisal to confirm value This list isn’t exhaustive, but it highlights that while assignment purchases require more coordination, they are very achievable with the right lender and guidance. Final Thoughts Assignment contracts can open doors to great opportunities—but only if your financing supports the transaction. This is where access to multiple lenders and specialized policies makes a real difference. If you’re considering purchasing new construction through an assignment, or if you’d like to explore more traditional purchase options, feel free to connect anytime. I’d be happy to walk you through the mortgage products available and help you choose an option that doesn’t limit your financing possibilities.