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Small Rental Program (non-owner occupied)

Get financing for rental properties, including condo, single family, duplex, triplex and fourplex rentals.

Small Rental Program Details
Purpose
  • Purchase
  • Refinance
  • Equity take-out
  • Purchase Plus Improvements
  • Transfer
Property Type
  • Non-owner occupied condo, single family, duplex, triplex and fourplex rentals
  • Maximum 4 rental properties per borrower
  • Contact MCAP for details on fire code requirements (retrofit), applicable in Ontario only
  • Located within 30 kms from markets with populations exceeding 25,000
  • Excludes:
    • Condo Conversions
    • Properties in Chatham and Brampton ON
    • Condo that is part of any type of condo hotel and/or legally tied to a rental pool agreement
    • Manufactured/mobile homes
    • Zoned Agricultural or Land reserve
  • Restrictions: Quebec restricted to the following areas:
    • Greater Montreal Metropolitan Area
    • Greater Quebec City
    • Greater Sherbrooke
    • Greater Hull-Gatineau Area
    • Greater Trois-Rivieres Area
    • Greater Saguenay Area
Rate 120 day rate hold with Fixed Rate 5 Year Closed (no pre-approval). Refinances are subject to a surcharge in rate. See rate sheet for details
Loan Amount $50,000 to $500,000; $200,000 maximum for equity take-out
Maximum loan size to the value of your home (LTV)
  • 80%
  • Borrower pays for insurance premium if LTV > 70% ≤ 80%
Down Payment From own resources (no gifts)
Amortization*
  • Minimum 5 years
  • Maximum 30 years
  • A surcharge in rate applies to amortizations greater than 25 years, See rate sheet for details
  • Refinances are subject to a maximum 25 year amortization
Payment Options
  • Monthly, semi-monthly, bi-weekly, weekly (accelerated)
  • Flexible payments and payment day
Early Payout
  • Early Payout Premium
    • Greater of 3 months interest or IRD for Fixed Rate 5 Year Closed
    • 3 months interest for VIP M-Power
  • Reinvestment Fee: $500 in Yr 1, $400 in Yr 2 and $300 in Yr 3 of your term
20% + 20% Prepayment Privilege
  • Lump sum up to 20% of the original principal amount (minimum $100)
  • 20% increase in payment, incremental fixed amount can be added to principal and interest payment
Other
  • Maximum 2 rental properties with MCAP per borrower, some exceptions may apply
  • Maximum 4 rental properties (including those held at other financial institutions) per borrower
  • Available with Home Mortgage Protection (mortgage life insurance)
  • Portable, assumable and transferable upon approval
Subject to change without notice.
Find a mortgage broker near you to learn more about this product.