Whether you're dealing with a Mortgage Broker, Mortgage Agent, Bank or Lender usually when you purchase a home with 5 % Down payment10% Down payment 15 % Down Payment banks and mortgage lenders require Mortgage insurance:, Tthe three mortgage Insurance companies are Genworth, CMHC, Canada Guarantee.
Is there a difference between mortgage insurance companies - All offer the exact same thing, but some are more flexible than others. It all depends on your mortgage application.
What is mortgage insurance? Mortgage insurance offers the banks and lenders a guarantee that if a home owner was to default (meaning not pay the mortgage) if there are any losses on the property or any issues that arise from the default the mortgage insurance company will pay the bank or mortgage lender any outstanding principal on the mortgage
Does mortgage insurance benefit the home owner? The real benefit from mortgage insurance is the benefit of putting down 5%, 10%. 15% 20% down. In the past, the mortgage down payment was 25% minimum.