January 15, 2025 - Refinance of Insured Mortgages to Create Secondary Suites
Canadians with an insured mortgage will be able to refinance for the purpose of creating a secondary suite.
Below are the program parameters:
Borrower must already own the property.
The borrower or a close relative are occupying one of the current units;
Borrower must intend to construct additional units; and,
The additional unit(s) must not be used as a short-term rental.
New units must be legal and fully self-contained units (e.g., basement suites with separate entrances, laneway homes) and meet municipal zoning requirements.
Maximum of four dwelling units including the existing unit.
The maximum value of the eligible residential property (including improvements from adding the suite) must be less than $2 million.
Up to 90 per cent of the property value may be borrowed, including the value added by the secondary suite(s), in combination with any other outstanding loans secured by the property.
Maximum amortization is 30 years.
New funds from refinancing must not exceed the project costs.