Wednesday, March 5, 2014

■News: Mortgage Loan Insurance Premiums

CMHC to increase mortgage loan insurance premiums, effective May 1, 2014

March 3, 2014 -- CMHC will increase its mortgage loan insurance premiums for homeowners and 1 – 4 unit rental properties effective May 1, 2014.

The increase applies to mortgage loan insurance premiums for owner occupied, self-employed and 1– 4 unit rental properties, including low-ratio refinance premiums. This increase does not apply to mortgages currently insured by CMHC.

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. This is not expected to have a material impact on the housing market.

Effective May 1st, CMHC Purchase (owner occupied 1 – 4 units) mortgage insurance premiums will increase by approximately 15%, on average, for all loan-to-value ranges.


Questions? Please let me know!

Nat Smilis

No comments:

Post a Comment