June 1st, 2010
The April 19 changes to CMHC insured loans have had a challenging effect on the dreams of many ordinary folk in Toronto.
They may have saved the down payment on a new condo. They may be able to afford the monthly carrying costs of a mortgage at today’s 4.5% prevailing interest rates.
But when it comes time to arrange financing they find they fail to qualify. They just don’t earn enough income, according to the new rules.
That’s where Sell Off Condo [map] and their new release of suites in their second tower is looking to come in.
With one-bedroom suites starting at $169,900 they are attempting to make the possibility of home ownership a little more affordable. Many of their suites carry for about the same as rent – and that includes mortgages, taxes and monthly maintenance fees.
The challenge facing many Torontonians today is housing affordability. Mortgage rates may run as low as 1.75% for a variable rate loan. But to qualify for a mortgage with less than a 20% down payment, borrowers must prove they can afford one at the five-year fixed mortgage interest rate and that is in the 6% range.
That means to buy a new condo selling for $410,000 – about $15,000 below the average GTA price – with a 10% cash down payment, a borrower would have to prove family income of at least $96,000, according to mortgage experts.
Sell Off Condo is one of the few projects in the entire GTA offering suites well below that average price.
Just a 15 minute drive from the financial core, the heart of Mississauga AND the airport, and in a long-established residential neighborhood with proximity to parks, schools, daycare, shopping and more, it really does sound like a sweet deal regardless of your income bracket!
And don’t let the price fool you – this is a ‘full service’ development. The first tower is already sold out, and with extras such as an indoor pool with an adjacent outdoor sundeck, steam rooms and saunas, a state-of-the-art fully equipped fitness centre plus Yoga/Pilates rooms, party room with an attached outdoor landscaped terrace and a dining/meeting room, it seems to be a very attractive package!