How much can I borrow to add a secondary suite?

The insured refinance for adding units: up to 90% of the value after the work, since January 15, 2025.

The lender's appraiser estimates this 'as complete' value.
Total insured mortgage, up to$740,00070.5% of the finished value · cap $945,000
Toward the suite
$220,000
Still to find
$0
Insurance premium (estimate)
Not insured (≤ 80%)
Conventional refinance instead (80%)
$320,000
ConditionsYou or a close relative must live in one of the units; new units can't be short-term rentals; at most 4 units; loans up to $2,000,000, amortized up to 30 years. The added amount can't exceed the cost of the work.

Estimate, not advice. Educational estimate only, not financial, mortgage, tax or legal advice. Lenders, insurers and governments set their own rules and can change them; confirm with a licensed professional before you decide.

Up to $740,000 in total; $220,000 toward the suite.

Assumptions & sources

Assumptions

  • SOR/2012-281 s. 6.1: a loan to add housing units may be insured up to 90% of the property's estimated value after completion; the added amount can't exceed the cost; applications received on or after January 15, 2025.
  • Premium: estimated with CMHC's standard premium table by loan-to-value; the insurer quotes the actual premium, and provincial sales tax may apply in ON, QC and SK.
  • Lenders also apply the stress test and their own policies.

Sources

  1. Justice Laws — Eligible Mortgage Loan Regulations (SOR/2012-281), s. 6.1: insured loans to add housing units (effective January 15, 2025). Checked .
  2. Department of Finance Canada — Mortgage insurance rule changes to help homeowners add secondary suites (effective January 15, 2025). Checked .
  3. Department of Finance Canada — Fall Economic Statement: refinancing up to 90% to build secondary suites (effective December 10, 2024). Checked .
  4. Justice Laws — Bank Act, s. 418: 80% limit on uninsured residential loans (including refinances) (effective September 1, 2026). Checked .
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