CMHC and MLI Select maximum loan
For 5+ units the loan is the lower of the loan-to-value cap and what the net operating income can carry at the program's minimum debt coverage. Longer amortization under MLI Select raises the DCR-bound loan even when the LTV cap is not reached.
| Program | Max loan | Premium | Limited by | Debt service | DCR | Down payment |
|---|---|---|---|---|---|---|
| Commercial conventional (75%, DCR 1.25) | $978,675 | $0 | DCR | $72,027 | 1.25 | $821,325 |
| CMHC standard (85%, DCR 1.20, 40 yrs) | $1,262,920 | $51,780 | DCR | $75,028 | 1.20 | $537,080 |
| MLI Select 50 pts (85%, DCR 1.10, 40 yrs) | $1,371,275 | $62,942 | DCR | $81,849 | 1.10 | $428,725 |
| MLI Select 70 pts (95%, DCR 1.10, 45 yrs) | $1,424,494 | $60,968 | DCR | $81,849 | 1.10 | $375,506 |
| MLI Select 100 pts (95%, DCR 1.10, 50 yrs) | $1,458,223 | $67,370 | DCR | $81,849 | 1.10 | $341,777 |
The DCR test includes the financed premium, as lenders do. CMHC premiums follow the official multi-unit schedule (by loan-to-value, +0.25 point per 5 years beyond 25, MLI Select discount of 10, 20 or 30 %); multi-unit interest rates remain estimates to confirm with an approved lender.
MLI Select points: cheapest path to each tier
Committing units below the affordable rent costs you the rent you give up. Compare that cost with an energy retrofit to find the cheapest way to 50, 70 or 100 points.
| Tier | Cheapest path | Units committed | Cost (present value) |
|---|---|---|---|
| 50 points | Affordability | 5 | $104,362 |
| 70 points | Affordability | 8 | $166,980 |
| 100 points | Affordability | 10 | $208,725 |
Commitment cost = rent given up versus market, discounted at 7 %, with market rents growing 3 % and the ceiling 2 % a year. Unit counts round up. Points grid for existing buildings from CMHC's MLI Select page: affordability 40 / 60 / 80 % of units = 50 / 70 / 100 points (+30 for 20 years), energy 20 / 35 / 50, accessibility 20 / 30. 100 points always needs an affordability commitment. Get the affordable rent ceiling for your area from CMHC.