What is CMHC MLI?
What is it?
The CMHC MLI refers to the Canada Mortgage and Housing Corporation’s MLI Select program, which is designed to support affordable and energy-efficient rental housing projects. MLI stands for Mortgage Loan Insurance, and the program offers specific benefits to borrowers who focus on affordability, accessibility, and environmental sustainability in their projects.
Key Features of CMHC MLI Select
Flexibility in Financing
- Offers higher loan-to-value (LTV) ratios (up to 95%) for eligible projects.
- Allows extended amortization periods (up to 50 years) to help improve cash flow for investors.
Encouraging Affordability
- Provides incentives for housing projects that maintain affordable rental rates.
- Encourages developers to address the housing affordability crisis in Canada.
Sustainability Focus
- Rewards developers who include environmentally friendly features like energy-efficient building designs.
- Supports projects that align with Canada’s sustainability goals.
Accessibility Improvements
- Promotes rental properties designed to accommodate people with disabilities or mobility challenges.
Benefits for Investors and Developers
The CMHC MLI Select program is particularly beneficial for developers and investors who are committed to creating housing solutions that address Canada's affordability and sustainability challenges.
Lower Borrowing Costs
Reduced premiums and better financing terms for eligible projects.
Enhanced Loan Terms
Improved cash flow due to extended amortization.
Alignment with ESG Goals
Attracts socially responsible investors by focusing on affordability, sustainability, and accessibility.
Do you Qualify as a CMHC MLI Select Investor?
To qualify for the CMHC MLI Select program as an investor, you do not need to meet a specific personal financial threshold, but you must demonstrate the financial capacity to support the project and meet the program’s loan requirements. Here’s what you’ll need to consider in terms of your financial position:
Requirement One
5-10% of project cost as deposit needs to be readily available
Requirement Two
An additional 10% of project cost in liquid assets as a contingency
Requirement Three
Personal net worth totaling at least 25% of the project cost
The Experts of CMHC MLI Select
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Esther is a realtor of Meta Realty, the only brokerage that offers a TRUE TURNKEY investment package. We take care of you from the beginning phases from land acquisition to ongoing property management and everything in between.
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How does a Property Qualify for the CMHC MLI Select Program?
Properties must meet specific standards in affordability, energy efficiency, or accessibility to qualify for the program’s exceptional financing terms. Eligibility is determined using a tiered points system, with higher scores unlocking the best options.
Good news! We have a range of pre-approved properties that already qualify for the CMHC MLI Select program. Browse our inventory to find the perfect investment opportunity that’s ready to go.
Legal 5 Plex
Purchase Price $1,455,544.05 PROJECT NAME :5 Plex Keswick Broker & Bank Fee Roll in $36,388.60 TOTAL $1,491,932.65 Deposit (%) 5.0% Deposit ($) $74,596.63 Closing Rebate $36,388.60
LEGAL 8 PLEX
Purchase Price $2,415,000.00 PROJECT NAME :8 Plex U o fA (B) Broker & Bank Fee Roll in $36,225.00 TOTAL $2,451,225.00 Deposit (%) 5.0% Eligibility Requirements Deposit ($) $122,561.25 Min. Liquidity $245,122.50 Closing Rebate $36,225.00 Min. Net Worth $612,806.25 BUILDER DEPOSIT 5% * NOTES: Builder pays broker fee, appraisal, Fees, buyer only pays lender fee Delivery Timeline 8-10 months Lending Type Draw
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