MLI Select questions, answered from CMHC’s documents

MLI Select is CMHC mortgage loan insurance for rental buildings with five or more units. It uses a point system: owners who commit to affordability, energy efficiency or accessibility get better insurance terms, such as higher loan-to-value, longer amortization and lower premiums. A project needs at least 50 points to qualify.

Source:CMHC MLI Select page·as of Oct 15, 2026(opens official source in a new tab)CMHC MLI Select fact sheet·as of Oct 15, 2026(opens official source in a new tab)

Points come from three categories:

• Affordability: 50, 70 or 100 points.
• Energy efficiency: 20, 35 or 50 points.
• Accessibility: 20 or 30 points.

For new construction, affordability points come from renting 10%, 15% or 25% of units at or below 30% of median renter income for at least 10 years. A 20-year commitment adds 30 points.

Source:CMHC MLI Select page·as of Oct 15, 2026(opens official source in a new tab)CMHC MLI Select fact sheet·as of Oct 15, 2026(opens official source in a new tab)

• 50 points: up to 95% loan-to-cost on new construction (existing buildings up to 85% loan-to-value), up to 40-year amortization, 10% premium discount.
• 70 points: up to 95%, up to 45 years, 20% discount.
• 100 points: up to 95%, up to 50 years, 30% discount, and limited recourse.

The minimum debt coverage ratio for standard rental housing is 1.10 at every tier.

Source:CMHC MLI Select page·as of Oct 15, 2026(opens official source in a new tab)CMHC MLI Select fact sheet·as of Oct 15, 2026(opens official source in a new tab)CMHC fees and premiums·as of Oct 15, 2026(opens official source in a new tab)

It is CMHC’s measure of local renter household income; affordable units must rent at or below 30% of it. CMHC publishes it in a spreadsheet linked from the MLI Select page. The current file uses 2019 incomes and was last updated in March 2021. Where a market isn’t listed, CMHC accepts comparable centres, provincial data or comparable rural centres.

Source:CMHC MLI Select page·as of Oct 15, 2026(opens official source in a new tab)CMHC median renter income workbook·as of Oct 15, 2026(opens official source in a new tab)

Yes, within limits, for the whole commitment. Increases can’t exceed what provincial rent law allows. Where no law caps increases, they are limited to the CPI figure CMHC publishes each year. For 2027 CMHC lists “permitted” percentages by province, for example Alberta 0.1%, Ontario 0.7% and British Columbia 1.8%.

Source:CMHC MLI Select page·as of Oct 15, 2026(opens official source in a new tab)

CMHC republished the page on September 21, 2026. Compared with the prior version:

• The CPI table changed from 2026 “recommended” percentages to 2027 “permitted” percentages that rent increases “must not exceed”.
• The rent-increase rule now also covers binding rulings of provincial rent authorities.
• The older 2015/2017 energy-code attestation was removed.

Points, tiers and loan terms did not change. CMHC posts no change log; this summary comes from comparing the live page with an archived copy.

Source:CMHC MLI Select page·as of Oct 15, 2026(opens official source in a new tab)

The premium is a one-time charge, a percentage of the loan, that can be added to the mortgage. It is non-refundable.

• Base rate: depends on loan-to-value and on whether the loan is construction financing. Above 90% LTV it is 7.00% for construction financing and 6.15% for other loans.
• Amortization surcharge: 0.25% for each five years beyond 25.
• MLI Select discount: 10%, 20% or 30% off the base premium plus surcharges.

CMHC publishes no worked multi-unit premium example. This site’s illustrative arithmetic is labelled as such, and the premium on a specific loan is for your lender to confirm.

Source:CMHC fees and premiums·as of Oct 15, 2026(opens official source in a new tab)

Debt coverage ratio is net operating income divided by the mortgage payment. CMHC calls it DCR; lenders and investors often say DSCR. MLI Select requires at least 1.10 for standard rental housing. A building whose income can’t cover debt service by that margin doesn’t qualify at the requested loan size.

Source:CMHC MLI Select page·as of Oct 15, 2026(opens official source in a new tab)

• Experience: five years managing similar rental properties, or a contract with a professional property manager.
• Net worth: at least 25% of the loan amount, minimum $100,000. CMHC may allow flexibility at 100+ points.
• Foreign buyer rule: the project must not be caught by the Prohibition on the Purchase of Residential Property by Non-Canadians Act.

CMHC does not publish a liquidity percentage; lenders assess it.

Source:CMHC MLI Select page·as of Oct 15, 2026(opens official source in a new tab)CMHC MLI Select fact sheet·as of Oct 15, 2026(opens official source in a new tab)

On construction or completion take-out financing, the borrower and guarantor guarantee 100% of the loan until projected rents are achieved and stable for 12 consecutive months. After that the guarantee may drop to 40%. For an existing building it is 40% from the start. At 100 points, limited recourse can apply.

Source:CMHC MLI Select fact sheet·as of Oct 15, 2026(opens official source in a new tab)

On new construction, part of the loan can be held back until the building reaches its projected rents. CMHC’s MLI Select fact sheet says only that “a rental achievement holdback may apply.” CMHC’s public documents do not set out the trigger levels, so ask your lender how it applies to a specific loan.

• Guarantee: the borrower and guarantor guarantee 100% of the loan until projected rents are achieved and stable for 12 consecutive months, after which it may drop to 40%.
• Premium: a 0.25% surcharge applies where effective gross income is not met at the first advance on a non-construction loan.

Source:CMHC MLI Select fact sheet·as of Oct 15, 2026(opens official source in a new tab)CMHC fees and premiums·as of Oct 15, 2026(opens official source in a new tab)

Not in the CMHC pages and PDFs this site cites. They give no large-borrower definition, no liquidity percentage and no processing-time standard for 5+ unit loans, and its automated emili decisions cover up to 4 units only. CMHC’s detailed underwriting policy sits in The Handbook, which only Approved Lenders can open. Net worth is the one published test: at least 25% of the loan amount, minimum $100,000.

Source:CMHC MLI Select fact sheet·as of Oct 15, 2026(opens official source in a new tab)CMHC multi-unit required documentation·as of Oct 15, 2026(opens official source in a new tab)CMHC, Becoming an NHA Approved Lender·as of Oct 15, 2026(opens official source in a new tab)CMHC, Contact mortgage loan insurance·as of Oct 15, 2026(opens official source in a new tab)CMHC emili·as of Oct 15, 2026(opens official source in a new tab)

• The lender applies with a “Request – Certificate of Insurance”.
• CMHC issues a Certificate of Insurance, with Special Conditions the borrower must meet.
• The commitment letter comes from the lender, not CMHC.
• CMHC does not publish a processing-time standard for 5+ unit applications.

Source:CMHC fees and premiums·as of Oct 15, 2026(opens official source in a new tab)CMHC required documentation guide·as of Oct 15, 2026(opens official source in a new tab)CMHC Request – Certificate of Insurance·as of Oct 15, 2026(opens official source in a new tab)

Alberta law limits how often rent can rise, at most once every 365 days, but not by how much: the province’s guide says “There is no limit on the amount by which the landlord may raise the rent.” Where no legislated cap applies, CMHC limits increases on designated affordable units to its published CPI figure. For 2027 that figure is 0.1% for Alberta. Confirm with your lender how this applies to a specific file.

Source:Residential Tenancies Act (Alberta)·as of Oct 15, 2026(opens official source in a new tab)Service Alberta, Information for Landlords·as of Oct 15, 2026(opens official source in a new tab)CMHC MLI Select page·as of Oct 15, 2026(opens official source in a new tab)

In CMHC’s October 2025 survey of purpose-built apartments:

• Edmonton: vacancy was 3.8%, up from 3.1%. Average rent was $1,464.
• Calgary: vacancy was 5.0% (4.8% a year earlier). Average rent was $1,761.

For Edmonton, CMHC says rental completions “stayed well above historical averages” while demand growth slowed. Calgary’s purpose-built rental supply grew 11% in 2025.

Source:CMHC Rental Market Report·as of Oct 15, 2026(opens official source in a new tab)CMHC rental tables, Alberta 2025·as of Oct 15, 2026(opens official source in a new tab)

CMHC’s workbook (2019 data) lists:

• Edmonton: $66,600
• Calgary: $69,500
• Red Deer: $35,900
• Lethbridge: $43,000
• Wood Buffalo: $72,400
• Alberta rural centres: $45,300

30% of the Edmonton figure is about $1,665 a month. That is a calculation, not a CMHC-published rent; confirm it with the lender.

Source:CMHC median renter income workbook·as of Oct 15, 2026(opens official source in a new tab)