How The New 2020 Stress Test Will Affect You: Interview with Ron Butler - Butler Mortgages

25-year mortgage industry veteran, Ron Butler from Butler Mortgages, speaks with Paul Davidescu about the newest announcement on the mortgage stress test. On February 18, 2020, Justin Trudeau’s government finally announced a slight amendment to the mortgage stress test to bring the 5.19% qualifying rate to around ~4.89% (it will change weekly). In this video, we explain exactly what this new change means and how it’ll make housing a little more affordable than before. We also dive into the bigger issues with mortgage lending and housing prices in Canada and how foreign buyers/Airbnb are key influencers in this. Timestamp: 1:38 The history of the stress test and where it has failed 5:23 What the new stress test announced February 18, 2020, really means in terms of affordability and how it works 7:33 How they will take the "average bank rate" of what today would be 2.89% +2% every week on Wednesday for the future stress test 9:15 Where are stress tests going in the future and how massive government debt influences that 12:40 How Trudeau's stress test change affected mortgage affordability only from $500,000 to $525,000 13:50 Why there is a housing supply issue in Canada due to government red tape 15:50 How Airbnb affects how Real Estate Developers design smaller units 16:45 The issue of empty condos and its effect on residents of Toronto and Vancouver 19:25 How the real flaw in the stress test is with mortgage renewals Subscribe to Level Up Mortgages YouTube Account: http://bit.ly/LevelUpYouTubeSubscribe Email Paul to Level Up your mortgage planning: paul(at)levelupmortgages.com Talk to us or if you want some quick replies, connect with our Facebook Messenger Bot: http://bit.ly/MyMortgageBot Got Mortgage Questions? Trying not to freak out about something that’s stressing you out? We got you 🙋🏽‍♂️🙋‍♀️ + Get immediate answers without needing to talk to a human 🤖 http://bit.ly/MyMortgageBot + Email me and check out our website: paul(at)levelupmortgages.com | www.levelupmortgages.com 👨🏽‍💻 + DM me on Instagram if you want to get more personal 📱 https://www.instagram.com/levelupyourmortgages/ + Get LinkedIn if you want to check our credentials 😎 https://www.linkedin.com/in/pauldavidescu/ + Tweet at me if you hang out there 🐦 https://twitter.com/levelupmortgage + Check updates on our blog to do a deep dive 🔎https://www.levelupmortgages.com/blog