CMHC GUIDELINES
-CMHC will allow a full rental property to be registered in a company name for fully qualified deals only.
-CMHC BFS simplified program is not eligible.
-When submitting a rental application with a Corporate borrower, the corporation’s full legal name is entered in the guarantor field and the individuals providing their personal loan guarantees in the borrower and co-borrowerfields.
-The mortgagor on title may be listed in the “Borrower”, “Co-borrower” or “Guarantor” fields in the Emili system for CMHC.
GENWORTH GUIDELINES
-Genworth will only allow a full rental property to be registered in a company name for fully qualified deals only.
-Genworth BFS Alt A program is not eligible.
-When submitting a rental application with a Corporate borrower, the corporation’s full legal name is entered in the guarantorfield and the individuals providing their personal loan guarantees in the borrower and co-borrower fields.
LENDER GUIDELINE EXAMPLE
-Maximum of 2 guarantors only (both AA and AAA deals).
-The guarantor(s) must have signing authority with the company.
-The guarantor(s) must pledge a personal guarantee.
-Confirmation that the corporation is financially sound, with no liens against it.
-Personal guarantee(s) for 100% of the mortgage loan is required when the borrower is a corporate entity.
-All parties on the application will be responsible for 100% of the loan, irrespective of which party is on title as mortgagor.
Filed under: FAQ
