CMHC report of current insured loans

Posted On: Thursday, November 30, 2017

CMHC reports fewer high ratio mortgages

CMHC report of current insured loans

It seems that the mortgage market continues to tighten.  Here is the latest report on mortgages insured by CMHC.

CMHC insurance in force falls $28 billion from a year ago

The mortgage regulations implemented in the fourth quarter of 2016 have led to a large decrease in insurance-in-force at CMHC.

The agency released its annual report Wednesday which shows it provided mortgage loan insurance for 189,000 new units in 2017 up to the end of the third quarter, 63,500 of them in the third quarter.

Total insurance-in-force year-to-date was down $28 billion to $484 billion.

The typical CMHC-insured mortgage was for $260,577 with the borrower’s credit score of 752 and total debt service ratios of 36.6%. The overall arrears rate was 0.30%.

Additionally, the agency’s guarantees for its securitization programs totalled $113 billion; $82.8 billion for National Housing Act Mortgage-Backed Securities and $30.2 billion for Canada Mortgage Bonds.

CMHC delivered $467 million of net income (after tax) and approved a $290 million dividend for its sole shareholder, the federal government.

“CMHC continues to deliver results for Canadians. The Government, through CMHC, is making unprecedented investments to help Canadians in housing need as part of the National Housing Strategy. Commercially, we continue to manage our mortgage loan insurance and securitization operations in the best interests of long-term financial stability,” said Wojo Zielonka, Chief Financial Officer and Senior Vice-President, Capital Markets.

In a conference call Wednesday, Steve Mennill, CMHC's senior vice-president of insurance said that the agency is confident that the level of mortgages insured by the CMHC in the third quarter is “the new normal.”

by Steve Randall 30 Nov 2017

Also of note:1 million Canadians would struggle with interest rate rise

Up to a million Canadians would struggle to cope with a 1 per cent rise in interest rates with 700,000 at risk from even a 0.25 per cent rise

read all news

Coral Robinson, Broker, RE/MAX four season realty Collingwood, Thornbury, Blue Mountain

Coral Robinson B.A., Broker

RE/MAX four seasons realty limited, Brokerage
67 First St., Collingwood, Ontario, L9Y 1A2

Call or text me:

Email me: