by Multi-Prêts Mortgages
What you’ll learn
There are many ways to reduce insurance costs when it comes to your home. Here’s how an eco-friendly home could help you save.
The government requires lenders to insure all loans with down payments of less than 20%. The loan can be insured by the Canada Mortgage and Housing Corporation, Genworth or Canada Guaranty. The premium is determined by a percentage that varies according to the value of the loan in regards to the purchase price. Read our article to find out more.
The CMHC offers a Green Home program. Thanks to this initiative, “purchasing an energy-efficient home or purchasing an existing home and making energy-efficient improvements can help you save considerably”.
For new purchases, eligibility requirements are as follows:
If you’re renovating your home, the requirements are as follows:
Genworth offers a similar program. In both cases, you’re looking at considerable savings on your premium (15% to 25%).
A Multi-Prêts broker can refer you to an insurance expert to guide you.
Many home insurers offer 15% discounts or cash back for eco-friendly certified homes.
In most cases, the property must be LEED (Leadership in Energy and Environmental Design) certified. This certification accounts for: water consumption efficiency, energy efficiency, heating efficiency, use of locally sourced materials and reuse of surpluses.
A Multi-Prêts broker can refer you to a home insurance expert to guide you. If you are thinking about renovating your house, read our article on programs and tax credits offered in Quebec.