Canada Guaranty may just have removed another reason for lenders and brokers to send deals to its competitors, with the introduction of a rebate for energy-efficient homes.
Now qualified borrowers who purchase an energy-efficient home or obtain mortgage financing to make energy-efficient improvements will be rewarded with a 10 per cent rebate on Guaranty’s mortgage insurance premium. For the default insurer, it better positions it to square off against Genworth
and CMHC with an offering similar their own.
“We are just meeting market demand,” says Mary Putnam, vice president of sales and marketing with Canada Guaranty Mortgage. “We are completing our product suite.”
The rebate will be available on all mortgage insurance products, new construction and existing homes and for purchase or refinance with improvements for energy-efficiency purposes.
“We’ve seen listings for houses that are eligible for this product, and this product has been available for a while,” Putnam told MortgageBrokerNews.ca. “This just allows us to round out our product package.”
To be eligible, borrowers should have mortgage financing insured by Canada Guaranty on or after May 1, with all partial premium refund requests submitted within one year of the mortgage advance. All insurance premiums and applicable fees must be paid before refunds are granted.