If you are purchasing a primary residence unlike rental properties where you need to put 20% down you can qualify for CMHC financing which would allow you to purchase the property with 5% down. There are some pretty serious fees that come with CMHC financing but it can be a great way of lowering your initial down payment . (The rates below are subject to change)
| Loan-to-Value | ||
|---|---|---|
| Premium on Total Loan | Premium on Increase to Loan Amount for Portability and Refinance | |
| Up to and including 85% | 1.80% | 4.00%* |
| Up to and including 90% | 2.40% | 4.90%* |
| Up to and including 95% | 3.15% | 4.90%* |
There are even some mortgage brokers who work with borrowers and will use this strategy to move their primary residence from one rental property to another, and they are able to utilize this high loan-to-value for their first three properties.