If you are in the process of buying a home in Canada, you may have heard about the Canada Mortgage and Housing Corporation (CMHC), but may be unsure what this agency does and how it can help you in your quest to purchase a home.
In the Beginning
The CMHC is Canada’s housing agency that was founded as a government-owned corporation after the end of World War II in 1946 to help with the housing shortage that plagued the nation. CMHC was leading the pack when it came to establishing the real estate industry in Canada, and they are still a major national institution that deals with all aspects of real estate, including mortgage loan insurance, housing policy and programs, mortgage-backed securities and in-depth housing research.
Creating Affordable Housing
The CMHC has programs that make housing affordable for all types of Canadians. It works with the private sector and nongovernmental partners throughout the various provinces and territories to help Canadians from all different economic backgrounds access affordable housing. It provides funding for renovations and repairs to help low-income Canadians buy homes. The CMHC also offers consulting and financial support to communities to promote affordable housing developments. When affordable housing options are not available in the marketplace, the CMHC uses funding to provide safe options to meet the needs of low-income Canadians. It also works to supply housing for Aboriginal Canadians as well.
Innovative Financing Options
The CMHC has come up with ways to allow all types of Canadians to realize their dream of homeownership. With the creation of mortgage default insurance, borrowers can buy a home with just a 5 percent down payment. They no longer have to delay their purchase by saving up for the standard 20 percent down payment. This insurance also helps lenders offer financing at the lowest rates possible.
The CHMC also ensures that residential mortgages have sufficient funds for payment. It creates a safety net to ensure that mortgages are available at all times, even during economic crises such as recessions. It also offers mortgage loan insurance for all types of housing, including retirement homes, nursing homes and rentals.
Practical Housing Information and Advice
The CMHC is known as Canada’s leading provider of objective real estate data. It performs extensive research on Canada’s housing in order to help home buyers and seller make informed choices. It also provides help to homeowners who have questions about the renovation process. The CMHC also analyzes housing trends and forecasts future growth through demographics and customer preferences. It also creates best practices to be used in the design and construction of homes in Canada to ensure the highest standards of quality are met.
Housing Information for New Canadians
As a country, Canada welcomes an average of 250,000 new immigrants every year. And while not all of them seek housing, the CMHC is there with information and resources for those who do. They have a wealth of information available in eight different languages so people new to the country can have the same housing opportunities as everyone else.
Green Initiatives
Since the concept of green building and green living is so popular these days, the CMHC offers information and help for people who want to move in that direction. Whether it is green renovation, green moving, green building or saving water and energy in daily living, CMHC has you covered.
Start the Home Buying Process
Take advantage of the many benefits that the CMHC has given you as a home buyer. Utilizing their resources should tell you which type of home is best, when you’re really financially ready and if home ownership is the right way to go at all. If you’re ready and you know what you want, we can help with your mortgage needs. Safe Bridge Financial offers a variety of mortgage types to help all types of buyers – even first-time buyers – purchase their dream home. We even offer loans for investment, commercial and vacation properties. Contact us today to learn more.
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