The Mortgage Loan Insurance premium is calculated as a percentage of the loan (0.50% to 2.90%) and is based on the size of your down payment. The higher the percentage of the total house price that you borrow, the higher percentage you will pay in insurance premiums.
For the purposes of qualifying for CMHC Mortgage Loan Insurance, the maximum purchase price or as-improved property value must be below $1,000,000, when the loan-to-value ratio is greater than 80%.
The premium can be added to your mortgage loan and paid off as part of your regular mortgage payments or paid off in a lump sum at the time of purchase to save interest charges on the premium itself.