Adapting to New CMHC Policy Changes: What Investors Need to Know Part 1

Josh Perez • August 9, 2024

Investors, the landscape for multi-unit insurance has seen some significant shifts following recent updates from CMHC (Canada Mortgage and Housing Corporation). These changes, rolled out last month, have a direct impact on how you should approach your wealth-building strategies.


Let's dive into the three key changes—two of which are positive, while the third presents a new challenge. But don’t worry, with the right approach, these changes can be navigated effectively.

"Be ready to pivot. Be ready to keep growing your wealth-building plan with us today."

The Energy Efficiency Program: A Major Shift

The most substantial change revolves around the energy efficiency program. Previously, investors could earn up to 100 points, which would qualify you for 95% loan-to-value (LTV) and a 50-year amortization under CMHC’s MLI Select financing. However, the recent adjustments have cut the maximum points available through the energy efficiency program to 50. This means that for existing buildings, your amortization is now capped at 40 years, and your LTV is limited to 85%.


For new construction, while you can still achieve a 95% LTV, your amortization is similarly capped at 40 years with the initial 50 points. This change is particularly impactful for investors in Ontario who are purchasing or refinancing existing properties. The reduction from 95% to 85% LTV and the shift from a 50-year to a 40-year amortization could significantly affect your debt coverage ratio.


Navigating the New Reality: Your Options

Given these changes, you have two primary options:

  1. Adapt to the New Parameters: Even with these new limitations, the terms are still competitive compared to conventional financing. You can look for properties that fit within the new guidelines and make the best of the current scenario.
  2. Pivot and Reassess: The keyword here is "pivot." In today’s ever-changing market, adaptability is crucial. By incorporating an affordability component into your investment strategy, you can potentially gain the additional 50 points needed to reach the full 100 points in your financing program. This might involve reassessing your current properties or exploring new opportunities that align better with the updated CMHC policies.


The Silver Lining: Opportunities Still Exist

Despite the challenges posed by these changes, there are still excellent deals available in Ontario’s market. Many investors are successfully pivoting their strategies, integrating affordability components to maximize their financing options. The key is to view these changes not as roadblocks, but as opportunities to refine your wealth-building plan.



We’re here to help you navigate these new waters. Whether it’s adjusting your current investments or exploring new ones, we’re committed to helping you grow your wealth. Remember, the market may change, but with the right approach, your investment potential remains strong. Be ready to pivot, and let’s keep building your wealth together.


If you have any questions or need assistance in adjusting your investment strategy to align with the new CMHC policies, feel free to reach out. Together, we can find the best path forward for your financial goals.

Josh Perez
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What You Need to Know About Mortgages and Parental Leave

By Josh Perez • July 8, 2026
If the title of this article caught your attention, chances are your family is growing. Congratulations. If you’re thinking now is the right time to move into a home that better fits your growing family—but you’re unsure how parental leave affects your ability to qualify for a mortgage—you’re in the right place. Here’s the good news. Qualifying for a mortgage while on parental leave is possible when it’s done correctly. When you work with an independent mortgage professional, lenders can often qualify you based on your return-to-work income , as long as you can provide documentation confirming you have guaranteed employment waiting for you. A word of caution If you walk into a bank branch and disclose that you’re currently on parental leave, there’s a chance the bank will only allow you to qualify using your parental leave income. That can significantly reduce your borrowing power. Parental leave income is typically limited to 55% of your previous earnings, up to a weekly maximum. Qualifying on that amount alone can restrict your options and impact the type of home you can purchase. Why lender choice matters One of the biggest advantages of working with an independent mortgage professional is choice . You’re not limited to one lender’s rules or products. Some lenders will allow you to qualify using 100% of your confirmed return-to-work income , which can make a meaningful difference in your approval amount and overall options. What you’ll need to qualify Most lenders will require an employment letter that includes: Employer name (preferably on company letterhead) Your job title Original start date (to confirm probation has been completed) Confirmed return-to-work date Guaranteed salary upon return Lenders want reassurance that your income will resume once parental leave ends. You may also be asked to provide income history from the past couple of years, which is standard for most mortgage applications. One important note Whether or not you actually return to work after parental leave is entirely your decision. From a mortgage perspective, qualification is based on having a confirmed position available to you at the time of approval. If you have questions about qualifying for a mortgage while on parental leave—or anything mortgage-related—please connect anytime. I’d be happy to walk you through your options and help you plan with confidence.
Suburban two-story house with a front porch, two-car garage, and a large tree-lined lawn.

Gifted Down Payment in Ontario? Don't Skip This Step

By Josh Perz • July 7, 2026
Using a gifted down payment to buy a home in Ontario? Learn exactly what lenders require — and the common mistakes that can delay or derail your approval.