Mortgage Loan Insurance
<p>For most people, the hardest part of buying a home — especially a first home — is saving the necessary down payment. If you have less than 25% of the purchase price to put down, you will be required to purchase mortgage insurance through your lender. Mortgage insurance protects your lender against payment default.
</p><p>By providing Mortgage Loan Insurance to lenders, CMHC enables you to finance up to 95% of the purchase price of a home. This means you can buy a property with as little as 5% down. So if the cost is $125,000, you would need a down payment of just $6,250! CMHC Mortgage Loan Insurance has made home ownership possible for millions of Canadians.
</p><p><strong>How do you qualify?
</strong></p><p>Once the following conditions are satisfied, you are eligible for CMHC Mortgage Loan Insurance:
</p><p><img alt="" src="http://www.homemortgageinfo.ca/siteimages/bull2.gif" align="absMiddle" border="0"/> The home which is to be occupied as your principal residence is located in Canada.
<br/><img alt="" src="http://www.homemortgageinfo.ca/siteimages/bull2.gif" align="absMiddle" border="0"/> You have a down payment of at least 5% of the purchase price of the property (7.5% for two-unit properties). See below..
<br/><img alt="" src="http://www.homemortgageinfo.ca/siteimages/bull2.gif" align="absMiddle" border="0"/> Your home-related expenses do not exceed 32% of your gross household income.
<br/><img alt="" src="http://www.homemortgageinfo.ca/siteimages/bull2.gif" align="absMiddle" border="0"/> Your total monthly debt load does not exceed 40% of your gross monthly household income.
<br/><img alt="" src="http://www.homemortgageinfo.ca/siteimages/bull2.gif" align="absMiddle" border="0"/> You are able to pay closing costs equivalent to at least 1.5% of the purchase price.
<br/><br/><strong>Just 5% down?
</strong><br/>Yes, you can buy a home with a down payment of less than 10%! Single-family dwelling: 5% Two-unit dwelling: 7.5%
<br/>Minimum equity of 5% from your own resources is required. Gift down payments from an immediate relative are acceptable.
<br/><strong>Now you can even borrow the 5% down if you qualify, or you can use cash back for the down payment!!
</strong><br/><br/>Contact us today to help you through this process. We look forward to earning your business!
<br/><br/><br/></p>
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