CMHC’s securitization programs support financial stability by providing lenders with reliable mortgage funding throughout the business cycle.
Limits on the amount of new guarantees are set annually by the Minister of Finance and are an important oversight mechanism to manage housing market risks and the Government’s exposure to the housing sector. These limits are separate and distinct from the $600 billion limit on mortgage insurance-in-force.
For 2019, the Minister of Finance has authorized CMHC to provide up to $140 billion of new guarantees of market NHA MBS and up to $40 billion of new guarantees for CMB. The limit for market NHA MBS was increased to reflect the changes under the CMB Program where all NHA MBS sold to CHT for all CMB series issued after July 1, 2016, as original or reinvestment assets, will be subject to separate NHA MBS guarantee fees.
Canadian lenders continue to benefit from access to diverse and stable funding options, including deposits from customers, capital markets such as CMHC-sponsored securitization, the Canadian Covered Bond Program and other corporate debt.