Statement by BMO Bank of Montreal on changes to Canada's mortgage market

TORONTO, Feb. 16 /CNW/ - "While we do not believe that Canada faces a housing bubble, we fully support the Minister's actions. Given the prospect of higher interest rates and the recent run-up in housing prices in some markets across Canada, the measures announced today are prudent. Currently, we require high ratio mortgages to be able to qualify using the 5 year rate," said Frank Techar, President, Personal and Commercial Banking, BMO Bank of Montreal. "For several months now, BMO has been encouraging Canadians to stress test their financial budget using a mortgage payment based on a higher interest rate. If you are looking for a bank that will listen to you, help guide you and bring clarity to home financing decisions, come in and talk to a BMO Bank of Montreal Banker."

For further information: Martha McInnis, Toronto, [phone], [email protected]; Ronald Monet, Montreal, [phone], [email protected]