CMHC to raise mortgage insurance premiums
Canada Mortgage and Housing Corp. is raising its mortgage loan insurance premiums effective May 1, the Crown corporation announced Friday.
In an official statement released on Friday, the Canada Mortgage and Housing Corporation (CMHC) announced an increase to mortgage insurance premiums as of May 1st, 2014.
According to the official statement, the increase will only apply to "mortgage loan insurance premiums for owner occupied, self-employed and 1-to-4 unit rental properties, including low-ratio refinance premiums". It will not apply to mortgages that are already insured with the CMHC.
The Crown corporation reviews premiums on an annual basis and have not made an increase since the late 1990s. Premiums were lowered between 2003 and 2005. Going forward, the corporation plans to announce any decisions on premiums in the first quarter of every year.