First National Financial LP, the largest non-bank provider of single-family residential mortgages in Canada, launched its Self-Insured Mortgage this week. It is meant to be a low-cost option to CMHC's high-ratio mortgage insurance. With a First National Self-Insured Mortgage, qualifying home buyers can shave 0.40 percent off the one-time mortgage insurance payment. The First National insurance is tailored to Canadians whose down payment is five percent of the purchase price. On a $250,000 mortgage, for example, qualifying home buyers with a First National Self-Insured Mortgage will save $1,000 more than they would if they obtained their mortgage through a lender requiring mortgage insurance, according to First National. First National's Self-Insured Mortgage is distributed through mortgage brokers across Canada
In order to qualify for the First National self insured mortgage the applicants need to have excellent credit as well as meeting all of the other lending criteria.