Say goodbye to 35 Year Ammortizations: The Rumor.

Mortgage Brokers across BC have been singing the praises of Credit Unions since summer 2012 with lower payment and easier mortgage qualification. That is about to change.

This is ‘the rumor’ in the BC banking world today. The rumblings are FICOM (The Financial Institutions Commission (FICOM), a Bank and Credit Union regulatory agency of the BC) is going to make some changes by reducing the maximum amortization for your mortgages.

What does this mean to the average Joe? Well if you are trying to qualify for a mortgage and have at least 20% down payment, your options for lower payments just got eliminated. This choice was already eliminated from ‘Low Down Payment’ mortgage consumers several years ago, but now seasoned veteran home-owners living in the Abbotsford, Chilliwack and Mission real estate markets are going to feel the pinch of higher payments soon.

  • The Rumor is BC is going to make some changes to the maximum amortization for your mortgages
  • Previously January 2011 saw some banks reducing amortizations from 35 years to 30 years
  • Then again in June 2012 rules changed for some mortgage lenders to reduce amortizations from 30 years to 25 years for high-ratio mortgages
  • Now (the gossip is) FICOM will be reduced Ammortizations to 30 years for currently exempt lenders offering lower payment options for borrowers. IE) Credit Unions

Our current maximum amortizations according to FICOM is 35 years. That will now be reduced to 30 years according to gossip. Credit Unions previously were exempt from the original rule changes introduced in January 2011 reducing amortizations for the big banks.

This rule change required banks reduce amortizations from 35 years to 30 years. This was then reduced again in June 2012 from 30 years to 25 years for high-ratio mortgages(low down payment loans).

We aren’t sure when this change will occur, but wanted to let you know that if you have any potential option to buy a property that requires a 35 year amortization to qualify, please submit your applications or give us a call.  Remember, we will amortize revenue properties and owner occupied uninsured properties 35 years for now for tax strategies or quality of life decisions.


By Referral Mortgage Consultants*

“Click, Call, Chat – Award Winning Brokers”
1 – 32540 Logan Ave
Mission BCV2V 6G3


360-3033 Immel St

AbbotsfordBCV2S 6S2


8387 Young Rd

ChilliwackBCV2P 4N8

Dave  604 897 2741 Jordi 604 615 1312

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*By Referral Mortgage Consultants – doing business as BRMC is: Verico Preferred Financing Inc / Verico Canadian 1st Mortgage Corp which have a co-brokering agreement and there is a common Mortgage relationship and are licensed with the Verico Dreyer Group. Mortgage ownership, that employees of both Mortgage companies may review, advise and help process the Mortgage files. That Verico Preferred Financing Inc & Verico Canadian 1st Mortgage Corp share the some expense and income from mortgages. Kim Langille Featured on thess site is an unlicensed mortgage assistant only, not a Mortgage Consultant. Jordi Browne featured on this site is the Mortgage Broker of record. “The Broker” is Jordi Browne. Jordi Browne also holds a Life Insurance License and represents Verico Canadian 1st Mortgage Corp. Dave Browne featured on this site has a Life Insurance License too but is an independent agent– Jordi and Dave Browne co-broker life insurance files and share expenses, all income retained by Verico Canadian 1st Mortgage Corp. 



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