Mortgage insurance is required for all home purchases with down payments less than 20% of a property’s value. The insurance protects mortgage lenders should the borrower be unable to make payments and default on the mortgage. The insurance cost is included in your mortgage payments, but you should still know how much it costs.
Our Mortgage CMHC Mortgage Insurance Calculator helps you determine the cost of your mortgage insurance. Enter your down payment amount and the length of time for your mortgage repayment to calculate the costs of your insurance premium.
A mortgage requires a down payment, differing from one situation to the next. In addition to a down payment, mortgage insurance is required. It is a one-time insurance premium calculated as a percentage of the mortgage’s total amount. The percentage varies based on the amount you decide to put as a down payment, ranging from 5% to 19.99%.
Using the CMHC Insurance Calculator, you get to find out how much this one-time payment sets you back. To calculate the insurance’s cost, select your down payment percentage, the amortization payment, and the asking price of your potential new home.
Note that the CMHC insurance is not available for homes worth above $1 million.