Mortgage stress tests unchanged despite housing market slowdown

  • 📰 ottawasuncom
  • ⏱ Reading Time:
  • 49 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 23%
  • Publisher: 92%

South Africa News News

South Africa South Africa Latest News,South Africa South Africa Headlines

The federal banking regulator and Department of Finance favoured a cautious approach over calls to relax tests to help a slowing market.

Play Video

“In an environment characterized by sustained high inflation, rising mortgage interest rates, and potential risks to borrower income, it’s prudent that lenders continue to test borrowers for adverse conditions,” said Tolga Yalkin, OFSI’s Assistant Superintendent of Policy, Innovation and Stakeholder Affairs, during a media briefing.

He said OFSI would be looking at a wide range of perspectives on ways to update the stress test as it launches a likely months-long review of the regulations in January. The Canadian Real Estate Association said Thursday that November home sales were down 39 per cent from a year ago and the average home price was down 12 per cent, while seasonally adjusted home sales were down 3.3 per cent on a month-over-month basis.“It’s the actual contract mortgage rate that matters most, but certainly when you have stress test rates this high it’s just crimping the amount of available lending that’s out there for homebuyers.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Going down along with our country.thaks Trudeau, the WEF puppet

Odd decision

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 4. in ZA

South Africa South Africa Latest News, South Africa South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Mortgage stress tests unchanged despite housing market slowdownThe federal banking regulator and Department of Finance favoured a cautious approach over calls to relax tests to help a slowing market.
Source: TheTorontoSun - 🏆 23. / 68 Read more »