CMHC Insurance
Canada Mortgage and Housing Corporation Insurance
Insurance & Down PaymentLast updated: September 2026
What is CMHC Insurance (Canada Mortgage and Housing Corporation Insurance) in Canadian mortgages?
Mandatory mortgage default insurance required when down payment is less than 20% (LTV > 80%). Enables up to 95% LTV financing.
What is the CMHC Insurance limit for Canadian mortgages?
Premium: 2.80% to 4.50% of mortgage amount
CMHC Insurance example
A 90% LTV mortgage requires a 3.10% CMHC premium, added to the mortgage balance.
Related insurance & down payment terms
Down PaymentUpfront cash payment toward property purchase. Determines LTV and whether CMHC insurance is required.Conventional MortgageAn uninsured mortgage where the borrower has at least 20% down payment (LTV ≤ 80%). No CMHC insurance required. Maximum 30-year amortization.Insured MortgageA mortgage with less than 20% down payment (LTV > 80%) that requires CMHC default insurance. Enables higher LTV financing and often carries lower interest rates than conventional mortgages.HBPCRA program allowing first-time buyers to withdraw up to $35,000 per person ($70,000 per couple) from their RRSP tax-free to use as a down payment. Must be repaid over 15 years.FHSATax-advantaged account for first-time homebuyers (launched 2023). Contributions are tax-deductible; withdrawals for a first home are tax-free. Combines RRSP and TFSA benefits.GDSMonthly housing costs divided by gross monthly income. Includes mortgage payment, property tax, heating, and 50% of condo fees.
How bips handles CMHC Insurance
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