Private insurers have not been required to follow Canada Mortgage and Housing Corporation’s (CMHC) lead and tighten lending standards.

Canada Guaranty

Canada Guaranty, also a private mortgage lender, provides support for homeowners impacted by rising interest rates and uses an underwriting process where underwriting policies are consistently updated to reflect evolving economic environments and emerging mortgage default patterns.

Canada Guaranty notes that for mortgage insurance qualification purposes, all insured homebuyers must qualify for mortgage financing using an interest rate that is the greater of the contract mortgage rate or the Bank of Canada benchmark rate (i.e., the Bank of Canada’s median 5-year fixed insured mortgage rate plus 2% buffer).

There are private lenders throughout the Real Estate Board area. Contact your mortgage broker for information. 

Genworth MI Canada

One of Canada’s largest private mortgage lenders, Genworth Canada sets its own underwriting policy related to debt service ratio limits, minimum credit scores, and down payment requirements.

Genworth Canada believes that its risk management framework, its underwriting policies and processes and its ongoing monitoring of conditions and market developments allow it to prudently adjudicate and manage its mortgage insurance exposure.

This includes exposure to borrowers with lower credit scores or higher debt service ratios.

There are private lenders throughout the Real Estate Board. Ask your mortgage broker for information.