| An important House of Commons Standing Committee of Finance (FINA) recommendation to the federal government was released today. This recommendation relates to one MPC presented to the FINA committee and other parliamentarians this month.
MPC’s recommendation: “We recommend that the federal government implement an exemption to the Guideline B-20 stress test for mortgage holders who have completed and met the obligations for a minimum of five years of their original amortization period, and who wish to switch to a different lender upon renewal.” FINA’s recommendation to the government, made today is to: “Exempt mortgage renewals from the stress-test where the mortgagor has already met the obligations of their original mortgage.”Today’s FINA report comes one week after MPC’s Hill Day team of member volunteers and staff from across Canada went to Ottawa to meet with dozens of parliamentarians, including members of FINA.
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| Our team’s Hill Day discussions followed the expert testimony given earlier this month to the FINA committee by Paul Taylor, MPC President and CEO, and Elaine Taylor, MPC Chair. |  |
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For many months, MPC has been front and center nationally on the issue of stress tests. We have collaborated with national associations that have like-minded interests on the issue, and will continue to coordinate our messaging as required. We welcome ongoing discussions on the issue with policymakers.We thank FINA for its endorsement of our industry’s recommendation. Our thanks to the Hon. Wayne Easter, Chair of FINA, MPs Marty Morantz, James Cumming, Gabriel Ste-Marie, and the staff of Julie Dzerowicz, who we met with last week. We also thank all members of FINA who added MPC’s recommendation to their own recommendations. Also, special thanks to MP Francesco Sorbara for his continuing efforts on behalf of current and aspiring homeowners. This is another great step for our industry in recent days, following last week’s announcement by Finance Minister Morneau regarding changes to the stress test qualifying rate. Your membership is very much appreciated; our efforts on our behalf of our members and their clients continue. We will update as required. On behalf of Chair Taylor and the MPC Board, thank you. |
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