CMHC Insurance Savings Opportunity

Individuals who have purchased a house recently with less than 25% down are aware of the insurance fee they had to pay to the CMHC. The less one puts down, the larger the insurance fee is. What few people are aware of is the 10% insurance refund offered by the CMHC to owners of energy efficient homes.
To get an idea whether or not your home might qualify, these are the requirements:
* Your house is deemed energy efficient by a professional advisor. This assessment needs to be done by a Natural Resources Canada (NRCan) qualified energy advisor and your house has to receive a rating of 80 or above. Determining your rating is complicated, and takes into account a number of factors
* Your house was, or will be built under a CMHC-eligible energy-efficient building program. These programs use sustainable building practices and have been pre-approved for the refund. It is best to check with your builder to see if your home falls under one of these programs
* Your condominium building is 25% more energy efficient than the requirements of the Model National Energy Code for Buildings
…and these are some ways to get your home certified:
* Pay for an energy assessment
* Get a CMHC declaration from your builder that your home was built under a CMHC-eligible energy-efficient building program
* For condominium units, get a letter from Natural Resources Canada or the project engineer
While the cost of getting your home certified might cost a few hundred dollars (or more if you need to make some upgrades to comply with the requirements), the CMHC refund will likely be larger and should be thought of as a way to fund upgrades that will lower your energy costs down the road. Of course, in order to save as much money as possible before you purchase your home, speak to a qualified mortgage broker.