Posted on: 24-02-05 10:00:00
Hi,
1) for example My home price is $ 1 00 000 and I have put $ 10 000 down...mean need $90000 loan from bank.
Now CMHC calculate premium on 90K or they add 2% and then calulate 2% ?
example
a) 90000 * 1.2% = 91800 *2% = 1836 CMHC premium or
b) 90000 *2% = 1800 CMHC premium
In above example CMHC premium is $1836 or $1800 ?
thanks
Quote:
Orginally posted by ihpatel
Hi,
1) for example My home price is $ 1 00 000 and I have put $ 10 000 down...mean need $90000 loan from bank.
Now CMHC calculate premium on 90K or they add 2% and then calulate 2% ?
example
a) 90000 * 1.2% = 91800 *2% = 1836 CMHC premium or
b) 90000 *2% = 1800 CMHC premium
In above example CMHC premium is $1836 or $1800 ?
thanks
The premium is $1800. The bank would add this to your mortgage and the total mortgage amount would become $91,800.
However, you have to pay 8% PST on this premium ( $ 144) and CMHC application fee of $165 in cash/certified cheque to the lawyer at the time of closing.
I wonder, why your bank would not explain these things to you.
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Pramod Chopra
Senior Mortgage Consultant
Mortgage Alliance Company of Canada
The premium is $1800. The bank would add this to your mortgage and the total mortgage amount would become $91,800.
However, you have to pay 8% PST on this premium ( $ 144) and CMHC application fee of $165 in cash/certified cheque to the lawyer at the time of closing.
I wonder, why your bank would not explain these things to you.
Thank you for your response.
The premium is $1800. The bank would add this to your mortgage and the total mortgage amount would become $91,800.
However, you have to pay 8% PST on this premium ( $ 144) and CMHC application fee of $165 in cash/certified cheque to the lawyer at the time of closing.
I wonder, why your bank would not explain these things to you.
Thank you for your response.
