Frequently Asked Questions

MLI Select is CMHC's points-based mortgage loan insurance program for multi-unit residential properties with five or more units. Projects earn points for affordability, energy efficiency, and accessibility commitments, which unlock progressively better financing terms including higher LTV ratios, longer amortization periods, and premium discounts.

Any borrower financing a multi-unit residential property with five or more units in Canada can apply. This includes individual investors, partnerships, corporations, non-profits, and developers. The property must be primarily residential — properties with more than 30% non-residential space face a surcharge.

Standard rental housing, student housing, retirement homes, single-room occupancy (SROs), and other shelter types all qualify. The property must have a minimum of five self-contained residential units. Both new construction and existing properties are eligible, though the scoring thresholds differ.

Five units is the minimum for MLI Select eligibility. There is no maximum unit count. Properties can range from a small five-plex to hundreds of units in a single development.

CMHC launched the original MLI Select program in 2017, evolving from the earlier MLI Flex framework. The program underwent significant updates in June 2024 with revised scoring thresholds and again in July 2025 with a completely restructured premium framework.

No. Standard CMHC multi-unit insurance provides basic mortgage insurance without scoring incentives. MLI Select layers a points-based system on top that rewards socially beneficial commitments with better financing terms. You can still get CMHC insurance without MLI Select, but you will not receive the enhanced benefits.

You need at least 50 points to unlock the first tier of benefits (40-year amortization at 95% LTV for new construction). Higher tiers at 70 and 100 points unlock progressively better terms. Points above 100 do not provide additional financing benefits.

The most common path to 100 points combines affordability commitments (up to 100 points for 25% of units at affordable rents for new construction) with a 20-year commitment bonus (+30 points). Energy efficiency can contribute up to 50 points, and accessibility up to 30 points. Use our Score Calculator to model different combinations.

No. Energy efficiency is capped at 50 points. Even with the maximum energy score, you would need additional points from affordability or accessibility to reach the 100-point tier. Our Score Calculator will warn you if you attempt an energy-only strategy.

The June 2024 update revised affordability thresholds, adjusted energy efficiency baselines, and refined the accessibility criteria. The core three-category structure remained the same, but the specific percentage thresholds for each level were recalibrated to better reflect current market conditions.

If you commit to maintaining your affordability conditions for 20 years (instead of the standard 10-year period), you receive an additional 30 bonus points. This bonus only applies if you have at least some affordability points — it does not apply to projects with zero affordability commitment.

Affordable rents are defined as 30% of the area median renter household income. CMHC determines the applicable median income for your location. You must commit a minimum percentage of your total units to affordable rents — the thresholds vary between new construction and existing properties.

At 50 points, new construction projects can access up to 95% LTV. Existing properties at the 50-point tier receive 85% LTV, increasing to 95% at 70 points. Conventional CMHC insurance without MLI Select typically caps at 75% LTV. Higher LTV means less equity required upfront.

The standard amortization is 25 years. At 50 points, this extends to 40 years. At 70 points, you get 45 years. At 100 points, you unlock the maximum 50-year amortization — the longest available in Canada for residential mortgage financing.

MLI Select loans are typically priced off Canada Mortgage Bonds (CMBs), which generally trade at a spread over Government of Canada bonds. Rates are usually lower than conventional commercial mortgage rates because of the government insurance backing. The exact rate depends on market conditions at the time of funding.

At 100 points, borrowers may qualify for limited recourse financing, meaning the lender's recourse is limited primarily to the property itself rather than the borrower's full personal assets. At 50 and 70 points, loans are typically full recourse. Limited recourse is one of the most significant benefits of reaching the highest scoring tier.

MLI Select points directly reduce your insurance premium. At 50 points, you receive a 10% discount on the premium. At 70 points, the discount increases to 20%. At 100 points, you get the maximum 30% discount. These discounts are applied to the total premium after all surcharges are calculated.

Yes. The CMHC insurance premium can be added to your loan amount rather than paid upfront. While this increases your total mortgage, it reduces the cash you need at closing. Use our Premium Estimator to see exactly how capitalization affects your monthly payments.

Typical timelines range from 60 to 120 days from initial application to commitment letter. The process includes document preparation, CMHC review, appraisal, and underwriting. Well-prepared applications with complete documentation tend to move faster.

You will typically need property appraisals, environmental assessments, building condition reports (for existing), construction budgets and schedules (for new builds), borrower financial statements, rent rolls or pro forma projections, energy performance documentation, and architectural drawings demonstrating accessibility commitments.

While not strictly required, working with a broker experienced in CMHC multi-unit insurance significantly improves your chances of approval and can help optimize your scoring strategy. Many brokers focus exclusively on residential mortgages and have limited MLI Select experience.

A typical MLI Select project team includes a mortgage broker with multi-unit experience, a Certified Energy Manager (CEM) or energy consultant, an architect for accessibility compliance, a property management company, a real estate lawyer, and an appraiser familiar with CMHC requirements.

Before CMHC commitment, you can expect costs for appraisal ($5,000-$15,000), environmental assessment ($3,000-$10,000), building condition report ($5,000-$15,000 for existing), energy audit ($3,000-$8,000), and legal fees. These are typically $20,000-$50,000+ depending on property size and complexity.