Planning and Advice

Increase in CMHC Mortgage Loan Insurance Premiums -
Key Facts

Mortgage loan insurance enables consumers to purchase homes with a minimum down payment of 5% and is required when homebuyers make a down payment of less than 20% of the purchase price.

Effective May 1, 2014, CMHC is increasing its homeowner mortgage loan insurance premiums to reflect its “increased capital targets”.  CMHC’s capital holdings reduce Canadian taxpayers’ exposure to the housing market and contribute to the long term stability of the financial system.

For the average Canadian homebuyer requiring CMHC insured financing, the higher premium will result in an increase of approximately $5 to their monthly mortgage payment and is not expected to have a material impact the housing market. 

For more details on this or any other mortgage information please don’t hesitate to contact our lenders .

For frequently asked questions from CMHC, click here .