I’m in the process of refi'ing some of my assets as well as acquiring some new ones and wanted to share some insights on mutlifam loans.
If you are thinking of buying a MF property in Canada and want to learn how CMHC insured multi-res loans work this thread is for you 👇👇👇
CMHC insured loans multi-res mortgages tend to have the lowest rates on the market as they are priced based on Canadian bond yields. Bond yields on the 5-year are around 1% today and CMHC insured loan rates would be ~1% higher.
Now what qualifies for a CMHC insured mortgage? The property needs to 5+ LEGAL units and the property cannot have more than 30% of the Gross Floor Area (sq.ft) be non-residential i.e ground floor retail on a 2-strorey building.