Quote:
Originally Posted by albertGQ
CMHC does insure low ratio mortgages. Examples are properties in remote areas where most lenders would not approve conventionally. Also, CMHC has a rental offset formula which lowers an individual's TDSR significantly whereas most banks just add 50% of the rent towards income. They also have Newcomers to Canada, Self-Employed Simplified programs, etc that borrowers may only qualify under.
Regardless, that 41% number appears low. I'd guess it should be double that.
|
Ah ok, so that's probably what it's talking about when it says "41% of rental and high ratio homeowners units approved to address less-served markets and/or to support specific government priorities". Meaning that 41% of all rental and high ratio mortgages that CMHC insures are these remote areas, or using rental income, all that stuff you mention..
I don't know, that seems kind of high to me, I would have thought that most CMHC insured mortgages would just be normal people in big cities putting down less than 20%.