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How Much Does CMHC Mortgage Insurance Cost?

Mortgage loan insurance is typically required by lenders when homebuyers make a down payment of less than 20% of the purchase price. Mortgage insurance helps protect lenders against mortgage default and enables consumers to purchase homes with little or no down payment - with interest rates comparable to those with a 20% down payment.

As with any insurance, there are insurance premiums to be paid. The amount of the premium varies and can range between 0.65% and 2.75% depending upon how much of the purchase price/home value is financed with a mortgage loan. 

Mortgage loan insurance is not to be confused with mortgage life insurance which guarantees that your remaining mortgage at the time of your death will not be a burden to your estate.


To obtain CMHC Mortgage Loan Insurance, lenders pay an insurance premium. 
Typically, your lender will pass these costs on to you.
Your lender will give you the exact price when you apply for a mortgage.