Canada Mortgage and Housing Corporation (CMHC) announced a hike in the premiums being applied for mortgages that have less than 20% down payment. These new changes will affect borrowers as of March 17, 2017, and will not affect any currently approved or previously committed and underwritten deals.
In the 3rd round of increases in less than 3 years, we see another premium increase, this time across the board. Below is the premium changes, and the change to monthly payment that CMHC published with this increase announcement:
Shortly after the previous announcements, the other two insurers (Canada Guaranty and Genworth) also increased their premiums accordingly to match the increase. Expect the same thing this time around!
If you have any questions about how this may affect you, feel free to call me to discuss!
First Start Mortgage
Originally published March 5, 2014, and May 25, 2015 and updated January 17, 2017