When you are putting less than 20% down in Canada, your mortgage has to be insured through CMHC, Genworth or Canada Guaranty. They provide lenders with default insurance in case borrowers default on their mortgage. Traditionally, if you were putting more than 20% down, you were able to avoid this cost as it was covered by the lender if required. The Government has implemented many rule changes which directly impact lender’s ability to rely on default insurance for conventional mortgages. Most lenders have now started classifying 2 categories: “insurable” and “uninsurable”. While they are still able to provide uninsurable products, most of those options now come with a higher rate attached. Here are a few examples of mortgages which can no longer be insured: