The Canadian government, through the Canada Mortgage and Housing Corporation (CMHC), offers mortgage loan insurance (MLI) products that aim to make affordable housing more accessible for Canadians.
CMHC Mortgage Loan Insurance Products (5+units)
CMHC Mortgage Loan Insurance Products (5+units) provide insurance for commercial and residential buildings with five or more units. These MLI products enable borrowers to obtain mortgage financing with a lower down payment and lower interest rates than traditional commercial loans. CMHC also offers flexible repayment terms, allowing borrowers to select a term of up to 25 years.
MLI Select
MLI Select is designed for borrowers seeking financing for affordable housing or energy-efficient rental properties. This MLI product offers lower premiums and extended amortization periods, resulting in lower monthly payments. Borrowers may also qualify for a higher loan amount due to the extended amortization period.
Standard Rental Housing
Standard Rental Housing MLI product is designed for borrowers seeking financing for market rental housing. The MLI provides lenders with protection against potential losses due to borrower default. This product allows borrowers to obtain up to 85% loan-to-value (LTV) ratio with a minimum down payment of 15%.
Retirement Housing
Retirement Housing MLI product is designed for borrowers seeking financing for seniors’ residences, including assisted living and retirement homes. This product offers flexible repayment terms and enables borrowers to obtain up to 85% LTV ratio with a minimum down payment of 15%.
Supportive Housing
Supportive Housing MLI product is designed for borrowers seeking financing for housing with support services for vulnerable populations. This product enables borrowers to obtain up to 85% LTV ratio with a minimum down payment of 15%. The MLI also offers flexibility in terms of repayment and prepayment options.
Student Housing
Student Housing MLI product is designed for borrowers seeking financing for student housing. This product offers flexibility in terms of repayment and prepayment options, and enables borrowers to obtain up to 85% LTV ratio with a minimum down payment of 20%.
Single Room Occupancy
Single Room Occupancy MLI product is designed for borrowers seeking financing for single room occupancy (SRO) housing. This product offers flexible repayment and prepayment options, and enables borrowers to obtain up to 85% LTV ratio with a minimum down payment of 15%.
Seed Funding
Seed Funding MLI product is designed to help non-profit organizations and Indigenous groups with financing for affordable housing projects. This MLI product offers funding for early-stage development and pre-development costs, such as feasibility studies and market research.
Affordable Housing Innovation Fund
Affordable Housing Innovation Fund MLI product is designed to support innovative affordable housing projects. This product offers funding for projects that promote energy efficiency, accessibility and sustainability.
Rental Construction Financing
Rental Construction Financing MLI product is designed for borrowers seeking financing for the construction of new rental housing projects. This MLI product offers lower interest rates and longer repayment terms, enabling borrowers to complete projects that might otherwise be financially unfeasible.
National Housing Co-Investment Fund
National Housing Co-Investment Fund MLI product is designed to provide funding for new affordable housing projects across Canada. This product offers loans, grants and equity investments to support affordable housing projects, including the construction of new housing units and the renovation of existing buildings.
