Definition
The Canada Mortgage and Housing Corporation (CMHC) is a federal Crown corporation founded in 1946 whose primary mission is to support housing affordability and access. Its main commercial activity is issuing mortgage default insurance for Canadian borrowers with down payment below 20%.
It is one of three authorized insurers in Canada (the other two being Sagen — formerly Genworth — and Canada Guaranty, both private). Its prudential supervision falls under the Office of the Superintendent of Financial Institutions (OSFI). In case of default followed by foreclosure, CMHC indemnifies the lender.
CMHC also administers several programs: First-Time Home Buyer Incentive (ended March 2024), affordable housing programs, multi-unit construction financing, and publishes market statistics (quarterly housing market report, urban profiles). In Québec, CMHC-insured transactions go through the same notarial steps as conventional loans.