Effective April 19, 2010, three new important changes to mortgage rates will occur:

1. All borrowers will need to meet the standards for five-year fixed-rate mortgages regardless of whether they’re seeking a loan with a lower rate and shorter term.
2. The government is lowering the maximum amount Canadians can withdraw when refinancing to 90%  of the value of their homes, down from the current 95%.
3. Purchasers of invstment properties will now have to put down a 20% down payment for government-backed mortgage insurance.

Although the Canadian housing market is very strong, the Canadian government announced these changes on February 15th to “help prevent negative trends from developing.”