CMHC MLI Select Calculator
Calculate your maximum CMHC MLI loan, MLI Select points, insurance premium, and compare vs conventional — all in one workspace for 5+ unit multifamily deals.
CMHC MLI max loan
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CMHC MLI program comparison
Up to 50 years
Up to 40 years
Up to 40 years
How to Use the MLI Calculator
Getting started with the CMHC MLI calculator is straightforward. Follow these steps to find your maximum loan amount:
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Step 1: Gather Your Property Information
Have your property appraisal, rent roll, and financial statements handy. If you don't have these documents yet, you can estimate based on the property purchase price, current rents, and projected expenses.
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Step 2: Input Your Details
Enter your property information into the calculator. You'll need the property purchase price or appraised value, gross annual rental income, and your estimated operating expenses. The calculator will also ask about property type and unit count.
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Step 3: Select Your Program
Choose between MLI Select and MLI Standard. MLI Select requires meeting affordability, energy efficiency, or accessibility criteria. MLI Standard is available for standard rental properties with 5+ units.
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Step 4: Review Your Results
The calculator displays your maximum loan amount, insurance premium costs, monthly payment estimates, and a detailed comparison of both programs.
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Step 5: Connect With Specialists
Use your results to speak with our CMHC financing specialists who can help structure your deal, reduce your down payment, and access the best rates available.
CMHC MLI Select vs MLI Standard
CMHC offers two mortgage loan insurance programs for multi-unit residential properties. Understanding the differences is key to maximizing your financing.
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CMHC MLI Select
MLI Select is CMHC's enhanced insurance program that rewards property owners who commit to social outcomes like affordability, energy efficiency, or accessibility. It offers significantly better terms in exchange for these commitments. · Up to 95% LTV with 100+ points — significantly less equity required · Up to 50-year amortization, maximizing cash flow · 30% insurance premium discount, saving thousands · Limited recourse — personal liability is capped · Lower DCR requirement of 1.10 vs 1.30 / 1.20 Standard
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CMHC MLI Standard
CMHC's Multi-Unit Mortgage Loan Insurance (MLI) Standard program provides mortgage insurance for residential properties with 5 or more units. It allows lenders to offer competitive rates and longer amortizations while reducing their risk exposure. · Up to 85% loan-to-value for purchases and refinances · Amortization up to 40 years (existing) / 50 years (new construction), reducing monthly payments · Available for standard rental, student housing, seniors, and SRO properties · No special commitments required beyond standard underwriting · DCR requirement of 1.30 (5-year term, <10 yr amort) or 1.20 (10-year term, ≥10 yr amort)
Criteria effective July 14, 2025. Source: CMHC
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Standard Rental Apartments
Properties with 5 or more residential units
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Student Housing
Purpose-built student residences near campuses
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Seniors Residences
Retirement and assisted living facilities
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SRO & Supportive Housing
Single room occupancy and social housing
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New Construction
Ground-up multi-unit development projects
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Refinances & Renewals
Existing multi-unit mortgage refinancing
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Affordability
Rent units below 30% of area median income
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Energy Efficiency
Meet energy performance standards
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Accessibility
Barrier-free and universal design
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Minimum 50 Points
Required to qualify for MLI Select
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100+ Points
Best terms: 95% LTV, 50-year amortization
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30% Premium Discount
On insurance premiums vs Standard
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Lower Interest Rates
50-150 bps below conventional commercial rates
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Higher Leverage
Up to 85-95% LTV vs 65-75% conventional
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Longer Amortization
Up to 40-50 years, improving cash flow
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Scale Faster
Less equity per deal, more capital deployed
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Reduced Lender Risk
Insurance enables better terms from lenders
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Competitive Advantage
Better terms than conventional commercial mortgages
Real-World MLI Calculator Examples
See how the calculator works with actual property scenarios:
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Example 1: 10-Unit Apartment Building – MLI Select
10-unit apartment building in Toronto, Ontario · Purchase Price: $3,500,000 · Gross Annual Rent: $450,000 annually ($3,750/month per unit) · Annual Expenses: $135,000 annually (30% of gross revenue) · LTV: 85% · Amortization: 50 years · Max Loan: $2,975,000 (at 85% LTV with MLI Select) · Down Payment: $525,000 (15%) · Insurance: $238,000 (8% premium, before 30% discount) · Est. Monthly Payment: $16,200 (estimated, at 5.5%) · By meeting energy efficiency criteria, this property qualifies for 30% discount on insurance premiums, saving approximately $71,400. The 50-year amortization with MLI Select significantly improves cash flow compared to conventional financing.
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Example 2: 8-Unit Triplex Portfolio – MLI Standard
Two 4-unit buildings in Calgary, Alberta · Purchase Price: $1,800,000 · Gross Annual Rent: $192,000 annually ($2,000/month per unit) · Annual Expenses: $72,000 annually (37.5% of gross revenue) · LTV: 80% · Amortization: 35 years · Max Loan: $1,440,000 (at 80% LTV with MLI Standard) · Down Payment: $360,000 (20%) · Insurance: $97,920 (6.8% premium) · Est. Monthly Payment: $7,850 (estimated, at 5.75%) · MLI Standard doesn't require special criteria but limits LTV to 85% for this property type. This investor chose 80% LTV for extra safety margin. The 35-year amortization keeps the monthly payment manageable while maintaining strong cash flow.
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Example 3: 30-Unit New Construction – MLI Select
New 30-unit mid-rise in Vancouver, BC · Purchase Price: $9,000,000 · Gross Annual Rent: $1,350,000 annually ($3,750/month avg per unit) · Annual Expenses: $405,000 annually (30% of gross revenue) · LTV: 90% · Amortization: 48 years · Max Loan: $8,100,000 (at 90% LTV with MLI Select 100+ points) · Down Payment: $900,000 (10%) · Insurance: $567,000 (6.3% premium, after 30% discount) · Est. Monthly Payment: $44,200 (estimated, at 5.5%) · New construction with accessibility and energy efficiency features qualifies for 100+ points under MLI Select. The developer achieves 90% LTV financing, unlocking the deal that would be impossible with conventional mortgages. The 48-year amortization preserves cash flow in early years while the property appreciates.
MLI Select vs Standard: Detailed Comparison
Understanding the key differences between these two CMHC programs helps you choose the right option:
| Feature | MLI Select | MLI Standard |
|---|---|---|
| Loan-to-Value (LTV) | Up to 95% (with 100+ points) | Up to 85% |
| Amortization | Up to 50 years | Up to 40 years (existing) / 50 years (new construction) |
| Insurance Premium | 6.3% average (30% discount) | 6.8%-7.5% |
| Debt Coverage Ratio | Minimum 1.10 | 1.30 (5-yr) / 1.20 (10-yr) |
| Property Types | Affordability, energy-efficient, accessible housing | Any 5+ unit residential |
| Special Criteria | Required (affordability, energy, or accessibility) | None required |
| Maximum Points | 100+ for best terms | Not applicable |
| Limited Recourse | Yes - personal liability capped | Standard recourse |
| Insurance Premium Discount | 30% discount available | Not available |
| Best For | New construction, energy-focused renovations, workforce housing | Standard rental buildings, quick acquisitions |
Common Mistakes When Calculating MLI Financing
Avoid these costly errors that many investors make when using the MLI calculator:
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Underestimating Operating Expenses
Problem: Many investors assume 25-30% expense ratios when actual expenses often run 35-45% for older buildings. This overestimates your debt coverage ratio and leads to approval issues. · Solution: Use conservative expense estimates including: property tax (1-2% of value), insurance (0.5-1%), maintenance (5-8%), utilities (if owner-paid), vacancy (5-10%), management fees (4-8%). Review actual rent rolls and expense statements from comparable properties.
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Ignoring Annual Rent Growth in DCR Calculations
Problem: While the calculator shows year-one DCR, lenders often stress-test with flat rents or even declining rents. You might calculate 1.25 DCR but lenders see 1.15. · Solution: Be conservative with rent growth assumptions. Use 0-2% annual growth, not 3-5%. If you plan renovations, show how they specifically increase rent, with documentation from comparable units.
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Not Accounting for Vacancy Loss
Problem: Some investors calculate income based on 100% occupancy. Even well-managed buildings experience 5-10% vacancy. This dramatically affects DCR. · Solution: Always apply vacancy loss to gross rental income before calculating expenses. Use 8-10% for market-rate properties, 5-8% for affordable housing, 15-20% for student housing. Better yet, look at actual rent roll vacancy data.
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Underestimating Capital Replacement Reserves
Problem: Lenders increasingly require that you reserve capital for future roof, HVAC, and mechanical system replacement. These aren't shown in year-one expenses but drastically affect cash flow. · Solution: Budget 2-3% of gross revenue annually for capital replacement reserves. For older buildings (20+ years), budget 4-5%. Include this in your operating expense calculation to be realistic with DCR.
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Confusing Loan-to-Value vs. Down Payment Requirements
Problem: Some investors think 85% LTV means only 85% cash down when it actually means 85% of the property value is borrowed—requiring a 15% down payment. · Solution: Remember the formula: LTV is the loan amount divided by property value. 85% LTV = 15% down payment. 95% LTV = 5% down payment. Always confirm your down payment requirement before committing funds.
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Ignoring MLI Select Affordability Penalties
Problem: Achieving MLI Select's 95% LTV requires meeting affordability, energy, or accessibility criteria. Missing these targets late in the process leaves you with only 85% MLI Standard financing. · Solution: Confirm upfront whether your project can meet MLI Select criteria with actual engineer quotes, rent rolls, and building assessments. Don't assume affordability units until rents are documented in the rent roll.
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Forgetting About Insurance Premium Stacking
Problem: The insurance premium is added to your mortgage amount. If your premium is 7%, that increases your loan balance by 7%, which increases your expenses and lowers your cash flow. · Solution: Factor the insurance premium into your loan calculation. If you borrow $1M with a 7% premium, your actual loan is $1.07M. This affects your total monthly payment and must be included in DCR.
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Using Historical Rent Data Instead of Current Market Rents
Problem: Lenders use the rent roll provided, but if you're using rents from 3 years ago, your qualification will be rejected when lenders verify current market rents. · Solution: Always use current market rent data verified by recent rent rolls, lease agreements, and third-party comps. If you're renovating units, get written quotes from property managers on post-renovation rents.
What Your MLI Calculator Results Mean
Breaking down your calculator results so you understand what each number tells you:
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Maximum Loan Amount
This is the highest amount CMHC will insure under your chosen program. It's based on either the lower of 85-95% LTV or the property's debt coverage capacity. You can borrow less, but not more, without going to conventional financing. Keep in mind this assumes standard underwriting—your actual approval may vary based on property condition, rent roll verification, and lender policies.
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Insurance Premium Cost
This is added to your mortgage, not paid upfront (unless you choose to pay it separately). A $2M loan with a 7% insurance premium becomes a $2.14M loan. This premium varies based on your program (MLI Select averages 6.3% after the 30% discount; MLI Standard averages 6.8-7.5%). This cost is factored into your monthly payment.
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Debt Coverage Ratio (DCR)
This measures how much cash flow your property generates relative to your mortgage payment. A DCR of 1.20 means for every $1 of debt, you generate $1.20 of income. Lenders require minimum DCR of 1.10 (MLI Select) or 1.30 (MLI Standard, 5-year term) / 1.20 (MLI Standard, 10-year term). Higher is better—a 1.30 DCR provides safety margin and better lending terms. If your DCR is below minimum, you need higher down payment or lower purchase price.
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Monthly Payment Estimate
This is your estimated principal and interest payment based on current rates (the calculator uses rates provided at calculation time, but actual rates may differ). This does NOT include property tax, insurance, maintenance, vacancy reserves, or management fees. To calculate true cash flow, subtract actual operating expenses from gross rental income, then subtract this PITI amount.
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Down Payment Required
This is 100% minus your LTV. If the calculator shows 85% LTV, you need a 15% down payment. This is the minimum cash you must bring to close, but you can bring more. Bringing 20% instead of 15% lowers insurance costs and improves your approval odds. Factor in closing costs (2-4% of purchase price) which come out of pocket.
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Program Comparison
The side-by-side comparison shows how many basis points MLI Select saves you annually vs. MLI Standard. If MLI Select is 1.5% cheaper, that's 150 basis points in annual savings. Multiply that by your loan amount and term length to understand total savings. For a 50-year amortization, that's substantial savings.
MLI Case Studies
Real Canadian multifamily deals — acquisitions, conversions, new construction, and GP/LP partnerships financed through CMHC programs.
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Ontario Investor Scales into Alberta Multifamily
An experienced Ontario investor used CMHC MLI Select affordability points to acquire a 24-unit Edmonton apartment building with just 5% down — preserving capital to buy a second building the same year.
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Office-to-Residential Conversion in Toronto
A husband-wife development team used bridge financing to convert a vacant Toronto office building into 40 residential units, then refinanced into CMHC permanent debt — extracting $1.15M cash at stabilization.
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First-Time Multifamily Developer in Victoria
A residential builder transitioned to purpose-built rental development, using ACLP construction financing and MLI Select with a perfect 100-point score to achieve 50-year amortization on a 60-unit project.
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GP/LP Partnership for a 48-Unit Calgary Apartment
An experienced multifamily operator structured a GP/LP partnership for a 48-unit Calgary apartment with 8 limited partners contributing $1.6M in equity, projecting 14.2% annualized returns over a 5-year hold.
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Toronto Investor Builds US Portfolio with DSCR Loans
A Toronto marketing director used US DSCR loans that qualify on property cash flow to build an 8-property Cleveland portfolio generating 22% cash-on-cash returns — all without US credit or income.
Prefill jumps you into a CMHC MLI consult — bring your doors, NOI, and target city.
Book a strategy call about a similar dealLearn More About Multifamily Financing
Dive deeper into CMHC programs, multifamily investment strategies, and mortgage financing with our comprehensive guides.
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CMHC MLI Select & Standard Hub
Canada's hub for MLI Select and MLI Standard — program rules, case studies, and policy updates for 5+ unit deals.
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MLI Select Points Calculator
Estimate your affordability, energy, and accessibility points before you apply.
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CMHC Premium Calculator
July 2025 LTV-tiered premium grid with MLI Select tier discounts.
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MLI Select vs Conventional
Side-by-side comparison of down payment, cash flow, and DSCR.
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CMHC MLI Required Documents
Everything CMHC and your lender need for an MLI Select application.
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MLI Select Investor Checklist
Pre-deal checklist for investors evaluating MLI Select eligibility.
CMHC MLI Calculator FAQ
Common questions about our CMHC multi-unit mortgage calculator and the MLI Select program.
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CMHC MLI Select
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