CMHC is the Crown Corporation of the Government of Canada. It’s mandated to assist housing for all Canadians. CMHC offers mortgage default insurance, which is commonly referred to as CMHC insurance.
CMHC offers rental housing solution as well. There are 5 products of CMHC rental housing solutions that can be of help to the landlords.
Which are –
- Standard Rental Housing
- Retirement Housing
- Supportive Housing
- Student Housing
- Single Room Occupancy
Among these solutions, there is a buzz around 2 particular products among the small landlords.
In recent times, the Canadian Government has come out with the policy to encourage international students to come and study in Canadian colleges and University. Hence many Canadian urban centers and college towns are observing the higher influx of students every semester. Because of these circumstances, the students Housing has become a very lucrative option for the landlords.
Single Room Occupancy
In small-town Canada, Single room occupancy is very widespread among the renters. It’s particularly popular options among the young and retiree bachelors. You can check on Kijiji room sharing section and you would realize how popular it is. In such cases, the landlord can get help from CMHC rental housing solution to buy a rental for Single Room Occupancy property.
Please click on the image to get more details.
Eligibility Criteria for both these products:
There is a specific detail for all 5 products. But the followings are the main criteria to be eligible to apply for student housing and single occupancy room housing.
- Minimum 5 unit property
- The maximum loan-to-value ratio is 85%, meaning a minimum 15% down payment required
- Be at least 70% residential in terms of both floor area and the total loan value
Please check out the full details by Clicking Here CMHC Website.
You can also check with your bank or your lender to get more information on these CMHC products. Most of the CMHC products gets channelized through the lenders.
If you have any questions or concern, please write in the comment section below this post.
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