Purpose-built rentals (5–500+ units)
CMHC MLI Standard — best rates available
3852 Finch Ave E #209, Scarborough, ON M1T 3T9, Canada
Brokerage #13763
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Brokerage #13763
Multifamily mortgage rates in Canada apartment building financing — CMHC MLI, conventional bank, credit union, and private lender rates for properties with 5+ units. We compare 50+ lenders for your property.
5.0 on GoogleFSRA Brokerage #13763Ontario & Canada-wideTakes about 30 seconds · No cost to compare your options · No obligation
Up to 85% LTV
4.50% per year
Up to 95% LTV
4.50% per year
60%–75% LTV
5.50% per year
Rates move with 5-year GoC bond yields. Exact pricing depends on property DSCR, LTV, location, borrower experience, and bond yield at time of lock.
Multifamily rates are negotiated, not posted. A broker submitting to 3–5 CMHC-approved lenders simultaneously creates competition that typically saves 25–75 basis points — $100K–$300K over a 5-year term on a $4M deal.
If your property has 5+ units, 85%+ occupancy, and stable cash flow, CMHC almost always wins on total cost despite the insurance premium.
Raise below-market rents, fill vacancies, and reduce unnecessary operating expenses before submitting. Every 0.10 DSCR improvement can be worth 30–50 basis points.
If doing new construction or value-add improvements (energy efficiency, accessibility), calculate your MLI Select points. Hitting 100+ points unlocks premium discounts worth 25–50 bps in rate savings.
Multifamily rates move with GoC bond yields, not BoC rate decisions. Watch the 5-year GoC bond yield. If yields are trending up, lock earlier.
In volatile rate environments, lock as soon as the lender offers a hold. CMHC commitment letters trigger rate lock availability at 6–10 weeks.
Clean applications get faster approvals and better pricing. Prepare: rent roll, 2–3 years financials, environmental Phase 1, personal financial statement, experience summary.
On conventional deals, 25–30% equity vs 20% minimum often unlocks slightly better pricing. On CMHC deals, extra liquidity (12–15% of property value in reserves) strengthens your application.
One application, multiple rate quotes.
For maximum approval probability, including MLI Select scoring.
With CMHC-approved lenders for sub-market pricing.
Appraisals, Phase 1 environmental, and legal — all coordinated for you.
Optimization guidance on your deal structure before submission.
Private financing for value-add deals, with a clear refinance path to CMHC.
5.0 on Google
Verified reviews
50+
Lenders in network
$100M+
Funded
5 Days
Avg. pre-approval
Rate benchmark
5-yr GoC Bond, not Prime Rate
Multifamily mortgages are not driven by Bank of Canada rate decisions. They are priced off Government of Canada bond yields — the 5-year GoC bond for a 5-year mortgage term. When bond yields rise, your rate rises; when they fall, rates follow. The formula: Multifamily Rate = GoC Bond Yield + Lender Spread. CMHC-insured spreads run 100–200 bps (lowest risk), conventional 200–350 bps, and private 500–1000+ bps. Bond yields can move opposite to Bank of Canada decisions — monitor the 5-year GoC bond, not rate announcements, to time your lock.
You'll be talking to
Tissa RatnayakeLicensed Mortgage Broker
Anne XavierLicensed Mortgage BrokerNot a call centre, real people, individually FSRA-licensed.
Beyond the program type, every deal is priced individually. Understand and optimize these variables before you apply.
Lower LTV = lower risk = lower rate. CMHC compresses this by insuring default risk — so 85% LTV CMHC beats 75% LTV conventional.
DSCR = NOI ÷ Debt Service. CMHC wants ≥1.10. Banks want ≥1.25. Each 0.05 improvement can save 25+ basis points.
85%+ occupancy for 12+ months = stabilized = best rates. Value-add properties need private bridge financing first.
Toronto, Ottawa, Calgary, Vancouver: deeper rental markets = better rates. Purpose-built rental beats mixed-use.
Longer amortization = slightly higher rate but lower payments. 4.75% / 40-yr often beats 4.50% / 25-yr on cash flow.
3+ acquisitions = better pricing. Net worth ≥20–30% of loan. Liquidity ≥10–15% of property value required.
5-year terms: lower rate, most common. 7–10 year: 25–50 bps higher but payment certainty. Match your hold period.
5.0/5 average rating on Google
“Damien Atapattu made my mortgage process completely stress‑free. He prepared all documents ahead of time and clearly understands lender, lawyer, and appraisal requirements. A friendly, energetic professional who gets results.”
Aruna Bandaranayake
Google review · 5 mo ago
“Highly recommend! Damien took a lot of time to explain the terms thoroughly. He is very knowledgeable and trustworthy. Looking forward to working with him again!”
Tommy Ravindran
Google review · 6 mo ago
“Shamal was amazing throughout the whole process. He is very helpful, knowledgeable and patient. If you need a good reliable mortgage broker he is the guy! He will find you the best solution.”
Avy Loc
Google review · 7 mo ago
“Highly recommend. Damien was excellent throughout everything. Walking us through everything step by step. He was extremely well prepared and well versed in everything we needed to get a mortgage at a great rate.”
John Abraham
Google review · 7 mo ago
“I had a great experience working with Damien. He helped me secure a very competitive mortgage rate through Scotiabank and made the entire process smooth and stress-free. He was knowledgeable, transparent, and always quick to respond to my questions. I highly recommend him.”
Rz
Google review · 7 mo ago
“I approached lendsimpl for some financing and was amazed at the quality and time frame of service. Within a matter of days my deal was completed. Thanks to Damien and the team for expediting my business so efficiently. I highly recommend them for your financing needs. Five stars from us.”
Sunrise Meadows
Google review · 9 mo ago
Rate, leverage, amortization, and ideal use case — side by side.
| Program | Rate | LTV | Amortization | Min DSCR | Best For |
|---|---|---|---|---|---|
| CMHC MLI Standard | 4.50–5.50% | 85% | 40 yrs | 1.10 | Stabilized 5+ unit rental properties |
| CMHC MLI Select (100+ pts) | 4.25–5.25% | 95% | 50 yrs | 1.10 | Affordable housing, energy efficiency, accessibility |
| Conventional Bank | 5.50–7.00% | 75% | 25 yrs | 1.25 | High equity borrowers avoiding insurance premium |
| Credit Union | 4.75–6.25% | 80% | 30 yrs | 1.20 | Flexible borrowers in specific provinces |
| B-Lender / MIC | 6.50–10.00% | 75% | 25 yrs | 1.15 | Non-standard income, previous credit issues |
| Private / Bridge | 8.00–14.00% | 70% | Interest-only | 1.00 | Value-add acquisitions, fast closes |
CMHC insurance transfers default risk to the federal government. Lenders price at dramatically tighter spreads — 100–200 bps below conventional, even before the extended amortization advantage.
| Line Item | CMHC MLI — $4M Property | Conventional — $4M Property |
|---|---|---|
| Loan Amount | $3,400,000 (85% LTV) | $3,000,000 (75% LTV) |
| Insurance Premium | $136,000 added (4%) | None |
| Interest Rate | 5.00% | 6.50% |
| Amortization | 40 years | 25 years |
| Monthly Payment | ~$17,000 | ~$20,300 |
| Annual Interest | ~$170,000 | ~$195,000 |
Despite the 4% insurance premium added to the loan, CMHC delivers ~$25,000/yr lower annual interest, $3,300/month lower payments, and $400K+ more leverage than conventional. The premium pays for itself in under 2 years.
| Points | Premium | LTV | Amortization | Discount |
|---|---|---|---|---|
| 100–199 | 2.80% | Up to 95% | 50 years | Standard premium |
| 200–249 | 1.75% | Up to 95% | 50 years | 37.5% reduction |
| 250+ | 0.35% | Up to 95% | 50 years | 87.5% reduction |
15-unit apartment, Ottawa, 95% occupancy, NOI $172,368. Three financing paths compared:
| Metric | CMHC | Conventional | Private |
|---|---|---|---|
| Loan Amount | $4,250,000 | $3,750,000 | $3,000,000 |
| LTV | 85% | 75% | 60% |
| Down Payment | $750,000 | $1,250,000 | $2,000,000 |
| Rate | 5.00% | 6.50% | 10.00% |
| Amortization | 40 years | 25 years | Interest-only |
| Monthly Payment | ~$16,200 | ~$18,000 | ~$25,000 |
| Annual Interest | $212,500 | $243,750 | $300,000 |
CMHC saves $31,250/yr vs conventional and $87,500/yr vs private.
CMHC requires $500K less equity with $1,800/month lower payments.
Private bridge is purposeful: value-add now, refinance to CMHC after stabilization.
CMHC MLI Standard — best rates available
MLI Select up to 95% LTV, 50-yr amort
Private bridge, then CMHC refinance
Conventional or credit union programs
Conventional or B-lender programs
MLI Select with affordability points
Everything investors ask about multifamily mortgage pricing in Canada.
Have a question we didn't answer?
Our licensed broker team is happy to help.
Multifamily mortgages are fixed-rate instruments. Lenders fund them by issuing bonds, not by borrowing at the overnight rate. So they benchmark pricing against the Government of Canada bond yield that matches the mortgage term.
CMHC-insured deals: 100–200 bps above GoC bond yield. Conventional bank deals: 200–350 bps. Private lenders: 500–1000+ bps. CMHC insurance transfers default risk to the government, allowing lenders to price at the tightest spreads.
Yes, in almost every case. The insurance premium (2.80–6.05% of loan amount) is added to the loan and amortized. The rate savings of 100–200 bps and extended amortization typically save $50,000–$150,000+ on a $3–5M deal over the term — far exceeding the premium cost.
Each 0.05 improvement in DSCR can save 25–50 basis points. Maximize rents to market rates, fill vacancies, and tighten operating expenses before submitting.
MLI Standard finances stabilized 5+ unit properties up to 85% LTV, 40-year amortization. MLI Select is for projects earning 100+ points through affordability commitments, energy-efficiency upgrades, or accessibility features — up to 95% LTV, 50-year amortization.
Absolutely — this is a common strategy. Acquire a value-add property with private bridge financing (8–14%), renovate and stabilize occupancy, then refinance to permanent CMHC or conventional financing at dramatically lower rates.
CMHC insured: rate lock available once CMHC issues a commitment letter, typically 6–10 weeks into the process, valid for 60–120 days. Conventional: lock available at application or commitment, 30–90 days.
Full rent roll with lease terms, 2–3 years of property financials and tax returns, current rent arrears report, Phase 1 environmental report, recent appraisal, personal financial statement, real estate experience summary, and capital expenditure documentation.
CMHC MLI Standard and MLI Select require a minimum of 5 residential units. Properties with 2–4 units use CMHC residential programs instead.
Most investors choose 5-year terms — lower rate, aligns with refinance or sale timelines. 7–10 year terms carry a 25–50 bps premium but provide payment certainty. Match your term to your business plan.
Still have questions?
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lendsimpl arranges multifamily financing across Ontario and Canada's major rental markets — from Toronto and the GTA to Calgary, Edmonton, Vancouver, and Montreal.
Important
Rate accuracy
Rates are approximate and updated regularly. Exact pricing depends on property DSCR, LTV, location, borrower experience, and bond yield at time of lock.
Brokerage disclosure
lendsimpl is an FSRA-licensed mortgage brokerage (Brokerage #13763) arranging multifamily mortgage financing across Ontario and Canada. Rates, LTV, and terms vary by property type, location, DSCR, and lender.
This page is for informational purposes only and does not constitute a mortgage offer or legal advice.
lendsimpl compares CMHC MLI, conventional, and private lenders for your specific property. Tell us about your deal — we will structure the optimal financing at no direct charge.
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