Conventional Mortgages

At New Concept Mortgage 1998 Inc., we do both conventional and insured (high ratio) mortgages.

A conventional mortgage is a mortgage in which the down payment for the property or the equity in the property is at least 25% of the sale price or the appraisal value, whichever is less.

High Ratio (Insured) Mortgages

With a high ratio mortgage, the buyer's down payment is less than 25% of the sale price or the appraisal value, whichever is less. A 5% down payment means that the mortgage is an insured, high ratio mortgage. High ratio mortgages are insured against default.

Loan Amount	Insurance Premium
Up to and Including 95%	2.75%
Up to and Including 90%	2.0%
Up to and Including 85%	1.75%
Up to and Including 80%	1.00%
Up to and Including 75%	0.65 % (Not Usually Required)
Up to and Including 65%	0.50 % (Not Usually Required)

In Canada, most mortgages are insured by CMHC or Genworth. However, many lenders on today's market are self-insured.

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