Banking Regulator making some changes to Home Equity Lines of Credit
Last week, Canada’s banking regulator unveiled new rules that will govern how borrowers may use Home Equity Lines of Credit (HELOCs). The new guidelines unveiled by the Office of the Superintendent of Financial Institutions (OSFI) will affect re-advanceable mortgages, specifically those where the outstanding balance is greater than a 65% loan-to-value (LTV).