A change by Canada Mortgage and Housing Corporation (CMHC) that will allow buyers to count 100% of rental income from a secondary suite towards their income is “good news” for Vancouver area first-time buyers, analysts say.
The ruling will also help landlords who hold up to four rental suites, even if they don’t live in the building.
CMHC is Canada’s largest mortgage insurer and provides coverage for those with less than a 20% down payment.
Effective September 28, the agency will consider up to 100% of the gross rental income from a two-unit home as personal income for mortgage qualifications. Previously up to 50% of the rental income could be counted as income, at the discretion of mortgage lenders.
Complete read here: https://www.biv.com/article/2015/7/new-cmhc-change-means-basement-suites-can-help-qua/?utm_source=BIV+Newsletters&utm_campaign=2429213a5f-Weekly_Real_Estate_July_29_20157_29_2015&utm_medium=email&utm_term=0_6d3015fdef-2429213a5f-210798317
