Canada Seeks to Reduce Prevalence of Ultra-Long Mortgages

Canada's banking regulator is concerned about the prevalence of ultra-long mortgages (longer than 35 years) and is working with lenders to reduce them.
The country's banks have about C$250 billion ($185 billion) in mortgages with amortization periods of 35+ years.
The regulator says both lenders and borrowers would be better off if there were fewer ultra-long mortgages.
New draft guidelines on residential mortgages aiming to reduce ultra-long loans will be released in October.
The regulator says negatively amortizing mortgages are a relatively small portion of Canada's total residential mortgage debt of C$2.1 trillion.

yahoo.com

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Posted 9/26/2023, 7:35:56 PM