unimaginative2
Senior Member
Nfitz, all mortgages which are greater than 80% of the purchase price or appraised value of a property, are required by law to be insured through a mortgage default insurer, like CMHC, GENWORTH, and AIG or a lender must self insure against default. This insurance premium is usually capitalized into the mortgage principal. These mortgages are typicaly referred to as "High ratio" . There should never be a difference in interest rate solely based on the amount of downpayment a borrower is putting into a purchase. BTW you have a very good rate on your variable.
Surely not AIG...