The federal government today confirmed plans to consult with the mortgage industry on developing income verification tools through the Canada Revenue Agency.
The announcement was part the government’s new housing strategy entitled ‘Solving the housing crisis: Canada’s Housing Plan.’
“Independently verifying borrower income helps financial institutions detect and deter the types of fraud or misrepresentation that can increase the costs of mortgages for all borrowers,” the plan reads. “Budget 2024 will propose the government’s intention to consult with the mortgage industry on making a tool available through the Canada Revenue Agency to verify borrower income for mortgages.”
The government is also promising additional funding for the CRA to crack down on real estate fraud.
Reaction has so far been positive from industry members…
