CIBC’s FirstLine division is re-launching its “Access” line of mortgages on September 8, 2008.  These mortgages are designed for people who don’t qualify for a “prime” mortgage.

Here are the specs according to what we’ve seen so far:

• Max. Loan-to-Value:  80% (Note: FirstLine says, “we will be looking to expand the program, in the future to increase the maximum loan to value.”)
• Minimum Credit Score:  540+
• Required Documentation:  Low to full documentation options will be available. The “Low Doc” self-employed borrower option requires the borrower to provide a self-declared letter, proof of self-employment, 12 months bank statements or NOA, and a 580 minimum credit score.  In addition, a “reasonability” test is applied to the income. An extra fee also applies to low doc borrowers.
• Prepayment Privileges:  15% annually (anytime) + payments can be increased 15% (once a year)
• Amortization:  Up to 30 years, or 35 with additional premiums
• Fees:  1/2% to 2% depending on credit score.
• Max. TDS:  45%
• Max Loan Amount:  $600,000

If you’re a broker and want to submit an application under the old Access guidelines, have your deal and credit bureau submitted by September 8.

If you’re a homeowner and want more information on these products, contact any mortgage planner for assistance.