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What that means is that even if you get a mortgage rate of 2.94%, the new stress test requires that you qualify for a mortgage of 5.14% – even though you’ll still be paying the contracted 2.94%. For most, that will mean qualifying for a home that costs 20% less than they would have prior to the new stress test rule.
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CMHC defends mortgage stress test changes amid calls for loosening rules – Vernon Morning Star What are the new mortgage rules and stress test in Canada. – Wondering about Canada’s new mortgage rules and accompanying stress test in 2018? How does it impact your ability to buy a home?