The Russell Team
Mortgage Default Insurance
While a smaller down payment can help you get into a home sooner, it introduces an additional expense known as mortgage default insurance.
Understanding Mortgage Default Insurance
If your down payment is less than 20%, mortgage loan insurance will generally be required, subject to the applicable rules.
The premium is based on the size of your mortgage and down payment. Your lender will typically arrange the insurance and may add the premium to your mortgage.
In Ontario, provincial sales tax applies to the mortgage insurance premium and cannot be added to the mortgage.
[Calculate Your Mortgage Insurance Premium →]