Mortgage Default Insurance Calculator

Mortgage Default Insurance Calculator

When you buy a home in Canada with a down payment that is less than 20%, you’re required to buy mortgage default insurance. This type of insurance protects the lender if you default on your mortgage payments.

This type of insurance is also referred to as “CMHC insurance” because the country’s largest provider is the government-owned Canada Mortgage and Housing Corporation (CMHC). However, you can also obtain mortgage insurance from two private insurance companies: Sagen (formerly Genworth Canada) and Canada Guaranty.

LowestRates.ca Staff
LowestRates.ca Staff

October 25, 2021

5-minute read

Today’s lowest rates in

How to calculate mortgage default insurance rates

Whether you obtain mortgage insurance from the CMHC, Sagen or Canada Guaranty, all three providers charge the same premiums. Premiums are calculated as a percentage of the purchase price, based on the down payment. The loan-to-value ratio measures the size of the loan against the price of the property being purchased.

How to pay mortgage default insurance premiums

There are two options for paying your mortgage default insurance:

Private mortgage insurance in Canada

Mortgage default insurance is often referred to as “CMHC insurance” because the Crown corporation is Canada’s largest provider, owning an estimated 46% market share. But if a homebuyer doesn’t meet the CMHC’s strict qualifications, they can seek out mortgage insurance from two privately owned insurance companies: Sagen and Canada Guaranty.

About the author

LowestRates.ca Staff

The LowestRates.ca writing team focuses on telling original stories and bringing you the latest news in the world of personal finance.

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Land & property transfer tax calculator Canada

Land & property transfer tax calculator Canada

When you buy a home, condo or other property in Canada, you’ll have to pay some type of fee to transfer ownership. The amount charged is usually based on the property’s value. Most provinces charge a certain percentage of land transfer tax, while others only charge transfer and registration fees (which end up costing much less).

LowestRates.ca’s calculator will help you estimate how big your tax bill will be in every province that charges land transfer taxes. Keep scrolling to learn more about the tax rates and fees in every province and territory.

LowestRates.ca Staff
LowestRates.ca Staff

October 20, 2021

How to calculate land transfer tax

Today’s lowest rates in

 

Toronto land transfer tax

If you buy a home within the City of Toronto, you’ll have to pay a double land transfer tax — both provincial and municipal. Toronto’s land transfer tax is calculated the same way as the provincial one.

 

British Columbia land transfer tax

British Columbia charges a property transfer tax based on the fair market value of the property on the day the transfer is registered with the Land Title Office.

 

Alberta land transfer and mortgage registration fees

Alberta doesn’t charge a land transfer tax. Instead, it charges homebuyers a land transfer registration fee and mortgage registration fee. Here’s how the fees are calculated:

 

Saskatchewan land title fee

Like Alberta, Saskatchewan doesn’t charge a land transfer tax. However, it does charge a land title transfer fee based on the price of the property.

 

Manitoba land transfer tax

Like other provinces, Manitoba charges a marginal tax rate on different brackets of the property’s purchase price. The tax is based on the fair market value of the property on the day the transfer is registered.

 

Quebec land transfer tax

Quebec charges one of two types of land transfer tax depending on whether a home is located in the city in Montreal, or the rest of Quebec.

There are two steps to calculate Quebec’s transfer duties. First, you have to figure out the property value. The property value is the greatest of the following amounts:

 

Montreal land transfer tax

There are additional land transfer tax brackets for homes within Montreal. First, follow the same steps outlined above to determine the property value.

Based on that amount, here’s how Montreal’s land transfer tax is calculated:

 

New Brunswick real property transfer tax

New Brunswick’s land transfer tax is pretty simple to calculate: it’s 1% of the assessed value of the property. For example, if you buy a home assessed to be worth $200,000, you would pay $2,000 in property transfer tax.

 

Prince Edward Island real property transfer tax

P.E.I doesn’t charge land transfer tax on properties valued at less than $30,000. For properties above that threshold, the real property transfer tax is calculated at 1% of the purchase price or property value, whichever is greater.

 

Nova Scotia land transfer tax

In Nova Scotia, homebuyers pay a municipal deed transfer tax. The tax rate depends on the municipality where your home is located. Kentville is the only town in the province that doesn’t charge a municipal deed transfer tax.

 

Newfoundland and Labrador land transfer tax

Newfoundland and Labrador’s land transfer tax is called the Registration of Deeds Act, and is calculated the following way:

For properties under $500:

 

Northwest Territories land transfer tax

In Northwest Territories, homebuyers must pay two types of registration fees based on the mortgage amount and the property value.

The mortgage amount is taxed at $1 for every $1,000 or part thereof (minimum charge of $80).

 

Yukon land transfer tax

The Yukon Territory Land Titles Act charges three types of fees to transfer property.

Fee #1: Assurance fees

 

Nunavut land transfer tax

Nunavut charges a registration fee based on the value of the property:

Properties valued at less than $1 million:

$1.50 for every $1,000 of value (minimum fee of $60)

About the author

LowestRates.ca Staff

The LowestRates.ca writing team focuses on telling original stories and bringing you the latest news in the world of personal finance.

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Hayley Vesh is an editor/writer in the personal finance space. Her work has also appeared in Global News. She is passionate about financial literacy and the pursuit of knowledge through lifelong learning.

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Thunder Bay

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See how our customers in Thunder Bay save big on home insurance.

 

Tips on how to lower the cost of your property insurance in Thunder Bay.

Getting insurance for your home is easier than you think. To get the lowest rate possible, the Financial Consumer Agency of Canada recommends following these steps when shopping for home insurance.

Compare home insurance quotes from various providers.

Home insurance news

*Shoppers in Ontario who obtained a home insurance quote on LowestRates.ca from January to December 2023 saved an average of 30%. The average savings percentage represents the difference between the shoppers’ average lowest quoted premium and the average of the second and third lowest quoted premiums generated by LowestRates.ca. Excludes tenant and condo insurance.

Dieppe

Find the best insurance for your home in Dieppe by using our free, online quote tool to compare rates from the 50+ best companies in Canada.

Get 50+ quotes in 3 minutes.

 

24,987 Canadians

have compared rates and saved money over the last 24 hours

How comparing home insurance quotes works. Hint: it’s free!

Compare

Next, we’ll show you quotes from 50+ Canadian providers. It’s free, with no commitment.

 

Tips on how to lower the cost of your property insurance in Dieppe.

Getting insurance for your home is easier than you think. To get the lowest home insurance rate possible in Dieppe, the Financial Consumer Agency of Canada recommends following these steps:.

Compare home insurance quotes from various providers.

Home insurance news

*Shoppers in Canada who obtained a home insurance quote on LowestRates.ca from January to December 2023 saved an average of 32% The average savings percentage represents the difference between the shoppers’ average lowest quoted premium and the average of the second and third lowest quoted premiums generated by LowestRates.ca. Excludes condo and tenant insurance.

St. John's

Find the best insurance for your home in St.John’s by using our free, online quote tool to compare rates from the 50+ best companies in Canada.

Get 50+ quotes in 3 minutes.

 

24,987 Canadians

have compared rates and saved money over the last 24 hours

How comparing home insurance quotes works. Hint: it’s free!

Compare

Next, we’ll show you quotes from 50+ Canadian providers. It’s free, with no commitment.

 

Tips on how to lower the cost of your home insurance policy in St. John’s.

Getting insurance for your home is easier than it may seem. To secure the best price for home insurance in St. John’s, the Financial Consumer Agency of Canada recommends following these steps when shopping for home insurance.

Home insurance news

*Shoppers in Canada who obtained a home insurance quote on LowestRates.ca from January to December 2023 saved an average of 32% The average savings percentage represents the difference between the shoppers’ average lowest quoted premium and the average of the second and third lowest quoted premiums generated by LowestRates.ca. Excludes condo and tenant insurance.

The best home insurance companies in Canada

The best home insurance companies in Canada

We’ve taken a look at the most popular home insurance companies in Canada along with which of their products and services have helped make them so. Our findings reflect the average responses of LowestRates.ca users in 2021, who used our quote tool, selected one of the quotes they received and connected with a broker to secure the associated policy.

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