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Canada Mortgage and Housing Corporation (CMHC) today released its Quarterly Financial Report showing an increase in demand for transactional homeowner mortgage insurance and continued strong demand for its multi-unit insurance products.
For the period ending June 30, 2025, transactional homeowner units totalled 28,132, an increase of 28% over the 22,038 units in the same period in 2024. Decreasing interest rates ─ which lower the cost of borrowing ─ along with new mortgage rules permitting 30-year amortization terms on insured mortgages have positively influenced housing market activity, leading to increased unit volumes.
In the first half of 2025, CMHC continued to see strong multi-unit residential insured volumes, which totaled $31,377 million, up from $31,175 million during the same period last year, a one percent increase. Overall, demand was largely driven by new construction volumes. In 2025, new construction insured volumes were $19,551 million comprising 55,551 units, compared to $19,363 million and 60,692 units during the same period of 2024. Despite the decrease from the same period last year, new construction units continue to contribute to the needed housing supply in Canada.
Quote:
“It’s encouraging to see these increases in the number of homeowner units insured over the first two quarters of this year. It means our transactional mortgage insurance is helping more people purchase homes, and that it supports a strong housing finance system in Canada. CMHC continues to facilitate the growth of rental supply in Canada with strong uptake of our multi-unit insurance products, specifically those supporting new construction.”
Additional highlights for the three-month period ending June 30, 2025:
- Arrears for mortgages insured by CMHC remain low at 0.30%, resulting in low levels of claims paid. The arrears rate increased slightly, up from 0.28% in the same quarter last year, and remains below historical trends.
- The housing market continued to cool during the second quarter of 2025. MLS® home prices averaged $668,000 in the first half of 2025, down two percent from the same period in 2024. MLS® sales averaged 454,000 seasonally adjusted annual rate (SAAR) units, down two percent from the first half of 2024.
- CMHC remains committed to delivering housing programs and initiatives on behalf of the Government of Canada. Government funding and housing program expenses increased compared to the same six-month period last year, mainly driven by an increase of $516 million for the Housing Accelerator Fund and $299 million for the Canada Community Housing Initiative. These increases are partially offset by decreases of $71 million for the Affordable Housing Fund and $55 million for the Affordable Housing Innovation Fund. Due to the nature of many housing programs, funding patterns may vary significantly year over year.
| Q2 Highlights | Three months ended 30 June 2025 | Six months ended 30 June 2025 |
|---|---|---|
| Net income ($M) | 419 | 853 |
| Government funding ($M) | 680 | 3,338 |
| New securities guaranteed ($B) | 58 | 112 |
| New securities guaranteed: National Housing Act Mortgage-Backed Securities ($B) | 44 | 82 |
| New Securities Guaranteed: Canada Mortgage Bonds ($B) | 14 | 30 |
| Insured volumes (units): Transactional homeowner insurance | 18,102 | 28,132 |
| Insured volumes (units): Portfolio insurance | 4,336 | 5,083 |
| Insured volumes (units): Multi-unit residential insurance | 82,068 | 137,451 |
| Capital management | As at 30 June 2025 |
|---|---|
| Total Mortgage Insurance capital ($B) | 11.9 |
| Mortgage Insurance capital available to minimum capital required (%) | 195% |
| Total Mortgage Funding capital available ($B) | 2.3 |
| Economic capital available to capital required (Mortgage Funding) (%) | 139% |
| Insurance-in-force ($B) | 452 |
| Guarantees-in-force ($B) | 569 |
| Canadian residential mortgages with CMHC insurance coverage (%) | 19.9% |
| National arrears rate for CMHC-insured mortgages (%) | 0.30% |
The full Quarterly Financial Report is available online.
CMHC plays a critical role as a national convenor to promote stability and sustainability in Canada’s housing finance system. CMHC’s mortgage insurance products support access to home ownership and the creation and maintenance of rental supply. CMHC research and data help inform housing policy. By facilitating co-operation between all levels of government, private and non-profit sectors, CMHC contributes to advancing housing affordability, equity, and climate compatibility. CMHC actively supports the Government of Canada in delivering on its commitment to make housing more affordable.
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For more information contact:
CMHC Media Relations
media@cmhc-schl.gc.ca
