During the next few months and maybe even longer, depending on the extent of the economic damage caused by COVID-19, Canadian mortgage borrowers may find themselves in difficult financial circumstances, which may make mortgage payments impossible.
During the annual march break up to April 5th, most services in Ontario have closed. Many employers, professional colleges, and unions have also taken steps to encourage employees to work from home by closing corporate offices and suspending routine medical visits.
Some people are staying home without pay, while those currently with pay may soon find it eliminated during this unprecedented time of minimal social interaction and retreat and unemployment.
Luckily, the Canadian Government has put together a stimulus package that includes Employment Insurance and necessary relief for those who will not be receiving their regular salary now or in the near future. Additionally, CMHC has offered relief for those in high-ratio or insured mortgages.
An insured mortgage is a type of loan (usually taken out on a purchase transaction) that involved a downpayment of 19 percent or less and where an insurance premium was charged or a mortgage through a Mortgage Finance Company, for example.
If you are unable to pay your insured mortgage because of unemployment, I can help find you the right solution. I will work with CMHC on your behalf.
For all mortgages insured by Canada Mortgage and Housing Corporation (CMHC), we can take the following approaches:
If none of these solutions work, CMHC is willing to consider other alternatives I present to them that make sense.
As always, if you'd like to learn more, please do not hesitate to call or write.
Sarah A. Colucci
Mortgage Agent Lic. M14000929
Mortgage Edge, Broker 10680
Direct: (647) 773-4849
By: Sarah Colucci