 What
is Mortgage Default Insurance?
Mortgage
default insurance protects the lenders in case there is a default in mortgage
from the mortgagor. In Canada, lenders are willing to make mortgage
loans with downpayment less than 20% . 20% down will avoid mortgage default
insurance, in most cases. The insurance premium is added to the mortgage.
PST on the total mortgage insurance premium is due on closing.
In Canada
there are three companies offering this kind of insurance:
They all
have almost similar products and also offer unique products for self employed
people. To find out more about mortgage insurance and whether it
is necessary for you, email gemma@thelaurinteam.com.
*On approved
credit (O.A.C.) / Fees payable to the mortgage broker and/or lender may
apply in specific circumstances.
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