Insurable Housing Loan Regulations (SOR/2012-282)

Marginal note:Low ratio loans — before October 15, 2008

• 8 (1) The criterion set out in paragraphs 6(1)(a) does not apply to a low ratio loan in respect of which the Corporation received a housing loan insurance application before October 15, 2008 if it meets the requirements of a housing loan insurance product that was offered by the Corporation before that date.

• Marginal note:Low ratio loans — October 15, 2008 to April 17, 2011

  (2) The criterion set out in paragraph 6(1)(a) does not apply to a low ratio loan in respect of which the Corporation received a housing loan insurance application during the period beginning on October 15, 2008 and ending on April 17, 2011.

• Marginal note:Low ratio loans — before July 1, 2016

  (3) The criterion set out in paragraph 6(1)(d) does not apply to a low ratio loan if the Corporation received a housing loan insurance application in respect of the loan — or in respect of the portfolio of loans to which the loan will belong for insurance purposes — before July 1, 2016, unless the application has been denied or the loan has ceased to be insured under insurance resulting from the application.

• Marginal note:Low ratio loans — March 24, 2020 to December 31, 2020

  (4) The criteria set out in paragraphs 6(1)(e) to (g) do not apply to a low ratio loan if

  • (a) the loan was funded before March 20, 2020;

  • (b) the purpose of the loan

    • (i) includes the purchase of the eligible residential property against which it is secured,

    • (ii) is the discharge of the outstanding balance of a prior low ratio loan, or

    • (iii) is the refinancing of a loan that is secured by an eligible residential property;

  • (c) the amortization schedule is not to exceed 30 years from the day on which the loan was funded; and

  • (d) the Corporation received a housing loan insurance application in respect of the loan – or in respect of the portfolio of loans to which the loan will belong for insurance purposes – during the period beginning on March 24, 2020 and ending on December 31, 2020.

Transitional Provisions

Marginal note:High ratio loans

• 9 (1) A high ratio loan is to be governed by these Regulations as they read on October 16, 2016 if, on any day before October 17, 2016,

  • (a) the Corporation received a housing loan insurance application in respect of the loan;

  • (b) the lender made a legally binding commitment to make the loan to the borrower; or

  • (c) the borrower entered into a legally binding agreement of purchase and sale in respect of the eligible residential property against which the loan is secured.

• Marginal note:Low ratio loans

  (2) A low ratio loan is to be governed by these Regulations as they read on October 16, 2016

  • (a) if, on any day before November 29, 2016,

    • (i) the Corporation received a housing loan insurance application in respect of the loan,

    • (ii) the lender made a legally binding commitment to make the loan to the borrower, or

    • (iii) the borrower entered into a legally binding agreement of purchase and sale in respect of the eligible residential property against which the loan is secured; and

  • (b) if the condition referred to in paragraph (a) was met on or after October 17, 2016, the loan is funded not later than

    • (i) April 30, 2017, or

    • (ii) October 31, 2017, if the loan is documented as being scheduled to be funded not later than April 30, 2017 but was delayed due to unforeseen circumstances beyond the borrower’s control.