Mortgage Agent Licensing Practice Exam · Question
Mortgage Agent David is advising Mark, a new immigrant to Canada, on financing the purchase of a $650,000 condo in Toronto. Mark has a down payment of $100,000 and has been approved for a mortgage with CMHC default insurance. What is the maximum insurable amortization period for Mark's mortgage?
For mortgages insured by CMHC, Sagen, or Canada Guaranty (high-ratio mortgages), the maximum amortization period allowed is 25 years, as per their respective un
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Question: Mortgage Agent David is advising Mark, a new immigrant to Canada, on financing the purchase of a $650,000 condo in Toronto. Mark has a down payment of $100,000 and has been approved for a mortgage with CMHC default insurance. What is the maximum insurable amortization period for Mark's mortgage?
Answer options:
- 20 years ✅ 25 years
- 30 years
- 35 years
Correct answer: 25 years
Explanation: For mortgages insured by CMHC, Sagen, or Canada Guaranty (high-ratio mortgages), the maximum amortization period allowed is 25 years, as per their respective underwriting guidelines.
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Question explanations
- Which of the following is NOT a primary provider of mortgage default insurance in Canada?
- When must a mortgage agent provide the borrower with certain disclosures regarding the proposed mortgage, part
- Michael and Jennifer are applying for a mortgage to purchase a home in Calgary for $700,000. Their combined gr
- Which of the following scenarios would typically lead to a higher mortgage interest rate for a borrower?
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