Will the change in mortgage rules impact me ... or the market?

There was  a lot of discussion this weekend about the government's decision effective mid-February to change the minimum amount required for a down payment on high risk, insured loans. I have included links to two articles in the Vancouver Sun that explain the changes very well. The changes will impact buyers for properties between $500,000 and $1,000,000.  I personally do not think it is a bad idea to require a bigger down payment for buyers requiring CMHC loans as it helps to ensure they are not overextended. The amount the government is proposing should not be too onerous on buyers as it is prorated. 

However, if the government is thinking this will calm down the market ... I don't think so. A lot of the current market activity is due to the impact of off-shore buyers investing in our Canadian real estate market. These buyers do not need insured loans and so will not be impacted by the changes being put forward. 

Take a read of the articles and see what you think!