The British Columbia Real Estate’s chief economist Cameron Muir calculates that a family with $80,000 income will see their purchasing power cut by around $100,000 to $305,000 due to the rules.
“Housing demand will slow as millennials, other first-time and early move-up buyers are squeezed out of the market,” Muir has warned.
While younger Canadians and those trying to become homeowners may be hardest hit, Muir says that there could be wide-reaching impact for the housing market in BC later on, with a fresh wave of price increases due to pent-up demand from those locked-out of homeownership in the near term.
Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate
With new mortgage rules just a week away it could be millennials and other first-time buyers who could be the biggest losers.