Ottawa is introducing additional mortgage reforms that support secondary suite construction in a bid to address Canada’s housing shortage.
Beginning Jan. 15, homeowners can access default-insured mortgage refinancing of up to 90 percent of their home’s value, including the value of the new unit, to build secondary suites, Minister of Finance Chrystia Freeland has announced.
The borrower can amortize the refinanced mortgage over a 30-year period, she said, noting that the mortgage insurance home price limit will be raised to $2 million.
“The idea here is to make it easier for people to build a secondary suite in their home, for someone to build a basement flat, a garden flat, laneway housing,” Freeland said at an Oct. 8 press conference. “This is all about gentle density, creating more homes for Canadians to live in.”…