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Mortgage loan insurance is essential by CMHC on high-ratio mortgages to safeguard lenders and taxpayers in the case of default. Lower ratio mortgages are apt to have better rates as the lender’s risk is reduced with additional borrower equity. Mortgage deferrals allow postponing payments temporarily but interest accrues, increasing overall costs. First Mortgage Meanings define primary debt obligations take precedence claims against property assets over other subordinate loans. The mortgage pre-approval specifies an approved loan amount and freeze an interest rate for around 120 days. Mortgage Loan Amounts on pre-approvals represent maximums specialists confirm applicants can safely obtain based on specific financial factors. Foreign non-resident investors face greater restrictions and higher first payment on Canadian mortgages.
