From REMAXCONDOSPLUS: I put in the following quote. I find this interesting as until now, Mr. Johnson who writes this blog has been quite bullish. He also has provided useful data (No, this is not a staffer propping up his boss: no business/personal relationship) in the past.
In his market commentary, he puts the following:
"The biggest CMHC change is with investors. After April 19, investors will need to have a 20% down payment for rental properties - read condos in our market. But how many developers have sold pre-construction condos to investors with only 10 or 15% down, two and three years ago? Now these investors won't be able to get a mortgage unless they come up with more money down on closing. Watch as more investors try to off load their units during the Assignment window or worse, give them back to developers. The impact will be for prices to back off and actually decline for some types of units, and in some condo buildings. This could make the second half of the year far more active than many of us thought at the start of the year."
I don't know if he is correct but at least the argument is cohesive and logical. I know that in the development I bought in Plazacorp required 25% from investors, at least in the first phase but none the less those projects which were done marginally with 10% may well affect those buildings and by extrapolation, the other buildings around them and lower values.