In Canada, Mortgage Insurance is to reduce the risk of lenders if you fail to pay your loan because of your untimely demise. The insurance covers the remaining payment. If you are paying 20% or less as a down payment then taking Mortgage Insurance is compulsory in Canada. Your credit score and property location play a vital role in getting approval on your mortgage insurance.
1. Safety blanket in case you unable to pay part of loan amount<">1. Safety blanket in case you unable to pay part of loan amount
2. Reduce risk levels for lenders<">2. Reduce risk levels for lenders
3. It helps you get a loan at a lower rate<">3. It helps you get a loan at a lower rate
Two basic types of mortgage insurance are available in Canada. They are:
Before purchasing any insurance plan, you must consider a few things and prepare in advance. This will make the entire process smooth and less risky.
