Regulations Amending the Insurable Housing Loan Regulations: SOR/2020-297
Canada Gazette, Part II, Volume 155, Number 1
Registration
SOR/2020-297 December 22, 2020
NATIONAL HOUSING ACT
The Minister of Finance, having consulted the Governor of the Bank of Canada and the Superintendent of Financial Institutions, pursuant to subsection 8.1(1) footnote a of the National Housing Act footnote b, makes the annexed Regulations Amending the Insurable Housing Loan Regulations.
Ottawa, December 18, 2020
Chrystia Freeland
Minister of Finance
Regulations Amending the Insurable Housing Loan Regulations
Amendment
1 Section 8 of the Insurable Housing Loan Regulations footnote 1 is replaced by the following:
Low ratio loans — before October 15, 2008
8 (1) The criterion set out in paragraphs 6(1)(a) does not apply to a low ratio loan in respect of which the Corporation received a housing loan insurance application before October 15, 2008 if it meets the requirements of a housing loan insurance product that was offered by the Corporation before that date.
Low ratio loans — October 15, 2008 to April 17, 2011
(2) The criterion set out in paragraph 6(1)(a) does not apply to a low ratio loan in respect of which the Corporation received a housing loan insurance application during the period beginning on October 15, 2008 and ending on April 17, 2011.
Low ratio loans — before July 1, 2016
(3) The criterion set out in paragraph 6(1)(d) does not apply to a low ratio loan if the Corporation received a housing loan insurance application in respect of the loan — or in respect of the portfolio of loans to which the loan will belong for insurance purposes — before July 1, 2016, unless the application has been denied or the loan has ceased to be insured under insurance resulting from the application.
Low ratio loans — March 24, 2020 to December 31, 2020
(4) The criteria set out in paragraphs 6(1)(e) to (g) do not apply to a low ratio loan if
- (a) the loan was funded before March 20, 2020;
- (b) the purpose of the loan
- (i) includes the purchase of the eligible residential property against which it is secured,
- (ii) is the discharge of the outstanding balance of a prior low ratio loan, or
- (iii) is the refinancing of a loan that is secured by an eligible residential property;
- (c) the amortization schedule is not to exceed 30 years from the day on which the loan was funded; and
- (d) the Corporation received a housing loan insurance application in respect of the loan – or in respect of the portfolio of loans to which the loan will belong for insurance purposes – during the period beginning on March 24, 2020 and ending on December 31, 2020.
Coming into Force
2 These Regulations are deemed to have come into force on March 20, 2020.
N.B. The Regulatory Impact Analysis Statement for these Regulations appears following Regulations Amending the Eligible Mortgage Loan Regulations: SOR/2020-296.