Federal Finance Minister Jim Flaherty announced three new rule changes Tuesday connected to government-backed insured mortgages, CMHC, saying the government is "taking proactive, prudent and cautious steps" to prevent a housing bubble.

Here are the three changes to the requirements:

Under the new rules all borrowers must now qualify at the five-year fixed mortgage rate even if they choose a shorter-term or lower-interest rate product.

The government has also lowered the maximum amount Canadians can withdraw through refinancing their mortgages from 95% of the value to 90%.

The government has introduced a new minimum down payment for non-owner occupied properties purchased “for speculation” to 20% of the purchase price.

Scott Mason of Complete Mortgage Services endorses the recent government changes because he believes it will help stabilize the market place going forward.

In the past Scott has always encouraged his variable rate clients to increase and fix their mortgage payments above the threshold of the floating rate minimum payment. This strategy helps mitigate any future payment shock to his clients once the Bank of Canada increases the Prime Lending Rate. This strategy also accomplishes paying down their mortgages much faster while benefiting when rates are at these historic lows. Those clients who are adverse to risk have been placed in five year fixed rate mortgages which currently are available for as low as 3.69 per cent OAC - a rate which is hard to beat in this marketplace.

There are no definitive signs of a housing bubble,” Mr. Flaherty said. “We think we're being proactive in the three steps we're taking today. Our Government is acting to help prevent Canadian households from getting overextended and acting to help prevent some lenders from facilitating it,” says Minister Flaherty.

“If some lenders aren’t willing to act themselves, we will act. These measures demonstrate the Government is committed to taking action when necessary to support the long-term stability of a sector that is so vital to our economy and the financial well-bring of Canadian families.”

These adjustments to the mortgage insurance guarantee are to come into force on April 19, 2010.

Here is the link for the article on the Department of Finance website:

Government of Canada Takes Action to Strengthen Housing Financing

The demographics of the typical first-time home buyer are changing these days.

More and more women today can afford to purchase a property on their own to
build up valuable equity and are no longer waiting to find a life partner before they pursue the financial and lifestyle benefits of home ownership.

One in four buyers these days is a single female, and new home marketing is
actually starting to reflect that. Women may be ready to jump into the
commitment of home ownership but not all are willing to give up their valuable free time to do outdoor chores. Thus, single women tend to look for homes that require little or no maintenance with an option to plant container gardens.

Sound familiar ladies?

The easiest and most popular way to hold on to a maintenance free lifestyle is to purchase a condominium. Its problem-free upkeep and unencumbered
lifestyle is an obvious benefit to people who don’t want to be tied up every
weekend with chores – there are no lawns to water and mow, and no leaves to
rake. No yard means there’s no fence or deck to repair, and no driveway to
shovel in the winter. Choose a condo and you’ll never have to worry about this stuff. Condominium members are charged a flat monthly fee to cover
maintenance of the common areas as well as provide prompt service by
reliable trades persons if there are maintenance problems in your individual
unit. Heating, air conditioning, plumbing and electrical problems are handled
by maintenance staff or service agreements set up by the condo association,
so good help is available at a moment’s notice.

Security is also an important consideration for single women living alone, and the condo lifestyle can offer such measures as restricted access, a concierge on duty screening visitors, closed circuit TV monitors, patrolling security guards and panic buttons in garages to add peace of mind.

Some single women still prefer a more traditional home as their first property.

The appeal of having an outdoor space of your own to entertain, putter about
in a garden and relax can be inviting. A single family home usually offers more privacy and is also better suited to larger pets. (If you have a pet and decide to purchase a condo, make sure to check if your pet will be warmly received by the condo board first – they uphold the rules that the condo owners have set in place.)

In the end, the style of home you choose (e.g. condo or single family home)
will depend on your lifestyle and your needs. Identifying your needs and
requirements from the very start will help make the process of searching for
your first home easier.

Does the thought of changing your neighbourhood go through your mind more
often than not? Here are some key indicators on when you really should consider making that move.

1. You Have Outgrown Your Neighbourhood

Your uber-trendy, urban borough seemed just the thing five years ago. But
suddenly, you’re annoyed by the loud music spilling out of bars, clubs, and
your neighbour’s stereo. It is time to face the facts: you are growing up, but your neighbourhood is not.

Instead of wasting time judging your neighbours, consider a quieter or more sophisticated locale.

2. You Constantly Scan the Classified Ads

You’ve never been in a good position to sell your home, but have often
dreamed of moving. A larger home. A smaller home. A country home. A city
home. Lately, you find yourself scanning the classifieds, picking up home
magazines, and even writing down phone numbers and website addresses.

Speak with a professional and determine where you stand. It’s probably time
to make your dream home a priority.

3. You Are Starting a Family

Selling a home and moving is a big job, and starting a family an even bigger
one. You don’t want to be stuck doing both at the same time. If you are
seriously thinking about having a child, it is also time to start thinking
seriously about buying a family friendly home. There’s nothing worse than
packing and moving while pregnant, or worse, with a toddler underfoot.

4. Your Family Has Grown

Are your kids sharing a bedroom? Is your yard too small for a swing set? Do
you often think wistfully of backward barbecues by the pool? Then the time
has to come to consider buying a home that will grow with your family. If
you live in a city, it may be necessary to consider moving to the outskirts,
where property is less costly.

5. You Have Made a Job Change

You’ve changed jobs and the commute is killing you. Although you’re happy
with your home, you’re not happy with the extra hour you must travel to
work each day. The reality is that the stress of a daily commute can subtract
years from your life. If you want to have more time to spend patting yourself
on the back for corporate successes, move closer to the office.

6. Home Renovation is Not Enough

You are constantly working on a home improvement project, but are never
satisfied. Perhaps you are simply a home-Reno junkie. Or perhaps, this
endless fussing and fixing is a sign that your home just isn’t doing it for you anymore.

7. Your Neighbourhood Is Going Downhill

Crime is on the rise, you feel nervous when the children are at school, and
barely feel comfortable walking to the corner store. Do not waste time
waiting for the situation to improve. Sell before your property value goes
down in tandem with the quality of your neighbourhood.

If you're like most people, you probably don't spend much time in the attic.
In fact, the vast majority of Canadians go up to their attics only when dealing with a leaky roof or "animal intruders" like bats or squirrels. During the winter however, attics are vulnerable to an even greater and
potentially more damaging problem: ice damming. Ice dams are large
accumulations of ice that collect on the lip of your roof or in the gutters.
Once they’ve set in, ice dams can cause melting snow or rain to accumulate
under your shingles and seep into the attic and your home.

Houses more prone to ice dams often have inadequate insulation or major
leakage of warm air from the home into the attic. They also have complicated roof shapes that concentrate water drainage into small areas and a “patchy” melt pattern when covered with frost or snow. Therefore, one way to avoid ice damming is to ensure that attics are well sealed and insulated.

However, should ice damming occur, quick fixes range from attaching electric cables to attacking the ice with an axe. But each of these “home remedies” also comes with its own drawbacks, ranging from creating an eyesore or damaging your shingles, to creating the possibility you will slip and fall off a ladder.

Fortunately, there are more effective solutions to help you protect your
house, your health – and potentially save thousands of dollars in roof
repairs. The Canada Mortgage and Housing Corporation (CMHC) has the
following tips on how to spot, prevent and remove ice dams from your roof.
Depending on your roof and the age of your home, these solutions include:

Waterproofing your roof by placing a self-sealing membrane under the shingles.

Air sealing the attic floor between your house and the attic space.

Insulating thoroughly with the best insulation possible, where
necessary.

By spending the time to fix the problem properly the first time, you’ll help
prevent ice damming from occurring.

For more information on Attic Venting, Attic Moisture and Ice Dams and
other fact sheets on owning, maintaining or renovating your home, visit
Canada Mortgage Housing Corporation’s website at www.cmhc.ca or call
CMHC at 1-800-668-2642.