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First quarter highlights

  • CMHC provided more than $1.5 billion for housing programs on behalf of the Government of Canada.
  • Budget 2017 proposed new federal investments of over $11.2 billion over 11 years, as well as preservation of social housing funding and new low-cost loans to support affordable housing under a National Housing Strategy. CMHC is well positioned to lead the development of a National Housing Strategy, a once-in-a-lifetime opportunity to ensure Canadians have the housing they need and that they can afford.
  • Mortgage loan insurance facilitates access to housing finance for qualified Canadian homebuyers, supporting the stability of our financial system and economic growth. CMHC provided mortgage loan insurance for more than 48,000 units across the country. At March 31, 2017, CMHC’s total insurance-in-force was $502 billion, well below CMHC’s legislated insurance-in-force limit of $600 billion.
  • CMHC’s securitization programs facilitate access to funds for residential mortgage lending. New securities guaranteed totalled $34.2 billion, consisting of $23.4 billion for National Housing Act Mortgage-Backed Securities and $10.8 billion for Canada Mortgage Bonds. As at March 31, 2017, CMHC’s guarantees-in-force were $457 billion.
  • CMHC’s mortgage loan insurance and securitization guarantee programs operate on a commercial basis without the need for funding from the Government. During the quarter, CMHC generated $370 million in net income from these activities.
  • On the continued strength of our performance, CMHC will pay a dividend of $145 million to our shareholder, the Government of Canada. Historically, CMHC has retained all of its net income as capital.

Mortgage loan insurance portfolio highlights

The quality of CMHC’s mortgage loan insurance portfolio has been improving in recent years. As at March 31, 2017, the average equity CMHC-insured homeowners hold in their property is 35.2% and the overall arrears rate stood at 0.32%.

Additional portfolio highlights for the three months ended March 31, 2017:

  • Average loan amount of $260,826
  • Average credit score of 751
  • Average gross debt service (GDS) ratio of 26.9% and average total debt service (TDS) ratio of 36.6%

Dividend framework

Going forward, CMHC will consider a quarterly dividend to the Government in the event its actual capital exceeds its capital target. CMHC will continue to hold capital for its commercial activities commensurate with its risk profile and in accordance with OSFI’s updated regulatory capital requirements for mortgage insurers. Historically, CMHC has retained all of its net income as capital. CMHC has not paid any dividends since its creation in 1946.

The implementation of a dividend framework aligns with recent direction from the Government to Canadian federal financial Crown corporations. The framework will ensure that CMHC effectively manages its capital in relation to risk and pays dividends to the Government when capital is in excess of levels required to deliver its objectives. As CMHC’s earnings are already consolidated into the Government’s accounts, the dividend will not impact the Government’s projected deficit.

CMHC also expects to declare a special dividend during the year to align its actual capital with its capital holding targets.

Provided By: CMHC

Simon Fraser
Market Update

Simon Fraser Condos

Altaire by Polygon

Altaire built in 2008/2009 reaches higher then any other condo building in Metro Vancouver offering panoramic views.

Novo I by Intergulf

Novo I built in 2007 known for the amazing sight lines and views from most units and balconies up to 1000 sq ft.

Novo II by Intergulf

Novo II built in 2007 known for the amazing sight lines and views from most units and balconies up to 1000 sq ft.

Aurora by Polygon

Aurora built in 2006 with 103 condos featuring 36 unique floor plans ranging from 715 sq ft to 1500 sq ft.

One University by Millennium

One University built in 2005 is UniverCity's flagship building with luxury homes featuring semi private elevators.

Harmony by Polygon

Harmony built in 2005 was the first condo development at Univercity & as a result offers a unique setting & views.

Serenity Townhomes by Polygon

Serenity is a collection of 2 bedroom townhomes of 1100 sq ft ranging to 4 bedroom 2000+ sq ft townhomes.

The Hub by Liberty Homes

The Hub built in 2009 is set atop Nester's Grocery and steps from High Street giving these homes an urban feel.

Verdant by VanCity Enterprises

Verdant is a two storey town home building built with environmental design and stylish living spaces which complement the modern exterior of these SFU homes.

Origin by Porte Development

Origin is designed by GBL Architect & BYU Interior Designs, developed by Porte Development Corp. and marketed by Red Dot Real Estate.

Nest by Mosaic

Located on UniverCity High Street across from the new University Highlands elementary schools this refreshing building will add further depth to a growing community.

Highland House by Liberty Homes

A 12-storey concrete high-rise development and targeted towards Rental Investors and First-Time Condo Buyers.

Lift by Porte Development

Lift will be a wood frame building comprising of 56 homes. Building technologies, environmental features, and price points should be similar to Origin.

Altitude by Hungerford Group

Altitude will be a 2 tower development comprising of a 12 and 14 story building with a total of 210 strata units.

CentreBlock by Liberty Homes

CentreBlock at UniverCity atop Burnaby Mountain is the latest condo project with sales commencing early 2014. .

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