Guide
CMHC insurance cost: premiums and the 30-year amortization
What the premium is, how down payment changes it, and what 30 years costs you.
Short answer: CMHC charges a one-time premium of 2.80% to 4.00% of the loan when you put down less than 20%. The less you put down, the higher the rate. A 30-year amortization adds 0.2%. In BC there’s no PST on the premium.
The planner works out the premium and monthly payment for your price and down payment.
CMHC premium table
| Loan as share of price | Premium on the loan |
|---|---|
| Up to 65% | 0.60% |
| 65.01% to 75% | 1.70% |
| 75.01% to 80% | 2.40% |
| 80.01% to 85% | 2.80% |
| 85.01% to 90% | 3.10% |
| 90.01% to 95% | 4.00% |
Rates are from CMHC’s premium page. Most buyers with less than 20% down are in the bottom three rows. The top rows mostly matter if your lender wants insurance anyway. Add 0.2% if you take an amortization over 25 years.
A BC example: $650,000 condo
| Down payment | Loan | Premium rate | Premium |
|---|---|---|---|
| $40,000 (minimum) | $610,000 | 4% | $24,400 |
| $65,000 (10%) | $585,000 | 3.1% | $18,135 |
| $97,500 (15%) | $552,500 | 2.8% | $15,470 |
Each step up in down payment drops the rate, and the rate applies to a smaller loan, so the premium falls quickly. Going from the minimum to 10% down here saves $6,265 in premium.
The minimum on $650,000 is $40,000, not 5% of the price, because of the 10% tier above $500,000. The down payment guide explains it.
25 or 30 years?
First-time buyers and buyers of newly built homes can stretch an insured mortgage to 30 years. It lowers the monthly payment and raises the premium and the total interest. Same $650,000 condo, $40,000 down, at an example rate of 4.5% (not a quote):
| Amortization | Premium | Mortgage with premium | Monthly payment |
|---|---|---|---|
| 25 years | $24,400 | $634,400 | $3,511.23 |
| 30 years | $25,620 | $635,620 | $3,204.89 |
The 30-year option costs $1,220 more in premium and saves about $306.34 a month, but you pay for five more years. Your lender’s rate will differ; the planner lets you try your own.
Limits
- Insured mortgages are only for homes under $1,500,000.
- The most you can borrow is 95% of the price, and the tiered minimum down payment still applies.
- You still need to pass the stress test: the higher of 5.25% or your rate plus 2%.
Common questions
How much is CMHC insurance on a $650,000 home with the minimum down?
The minimum down is $40,000. On a 25-year mortgage, the premium is 4.00% of the $610,000 loan, which is $24,400. With a 30-year amortization it’s 4.20%, or $25,620.
Do you pay PST on CMHC insurance in BC?
No. CMHC lists PST on the premium only in Ontario, Quebec and Saskatchewan. BC buyers don’t pay it.
Who can get a 30-year insured mortgage?
Since December 15, 2024, first-time buyers and anyone buying a newly built home can get a 30-year amortization on an insured mortgage. It costs an extra 0.2% on the premium.
Do I pay the CMHC premium up front?
Usually not. Lenders normally add it to your mortgage, so you pay it off along with the loan. It’s a one-time premium, not a monthly fee.
Sources
- Premium information for homeowner and small rental loans, CMHC. Checked October 2026.
- Delivering the boldest mortgage reforms in decades (September 2024), Department of Finance Canada. Checked October 2026.
- How much you need for a down payment, Financial Consumer Agency of Canada. Checked October 2026.
- Preparing for a mortgage, Financial Consumer Agency of Canada. Checked October 2026.
Same rules as the calculators. Rules last verified: . See how the calculators work.
Keep reading
Estimates only. Not tax, legal or financial advice.
Rough numbers, not a quote or a lender’s decision. Check with a lawyer or notary and your lender before you rely on them. See Disclosures and Methodology.