# What are the key qualification criteria for a CMHC-insured refinance?

> To qualify for a CMHC-insured refinance loan, you need to meet specific creditworthiness and debt service requirements.

Category: Refinance
Last verified: 2026-02-18
Source: https://ratellow.com/faqs/refinance/what-are-the-key-qualification-criteria-for-a-cmhc-insured-refinance

## Answer
| Criteria                   | Requirement                                                                                              |
|----------------------------|----------------------------------------------------------------------------------------------------------|
| **Minimum Credit Score**   | 600 for at least one borrower or guarantor.                                                               |
| **GDS Threshold**          | Maximum 39%.                                                                                             |
| **TDS Threshold**          | Maximum 44%.                                                                                             |
| **Interest Rate Calculation**| Contract rate + 2% or 5.25%, whichever is greater, for GDS/TDS calculations.                             |
| **Alternative Credit History** | CMHC may consider alternative methods for borrowers without a credit history.                               |
| **Valuation expectations**  | FRFIs should have clear and transparent property valuation policies and procedures including a framework for critically reviewing and, where appropriate, effectively challenging the assumptions and methodologies underlying valuations and property appraisals. |

## Institutional highlights
- You'll need a credit score of at least 600 to qualify.
- Your mortgage payments and other debts can't be more than 39% (GDS) or 44% (TDS) of your income.
- When calculating if you qualify, lenders use either your mortgage interest rate plus 2%, or 5.25%, whichever is higher.
- If you don't have a credit history, there may be other ways to prove you can handle a mortgage.
- The lender will carefully review the value of your home to make sure it supports your refinance.

## Related guide
- https://ratellow.com/guides/refinancing-for-renovations

## Sources
- Page 3 — https://assets.cmhc-schl.gc.ca/sf/project/cmhc/pdfs/factsheets/new/cmhc-quick-reference.pdf#page=3
- Page 2 — https://assets.cmhc-schl.gc.ca/sf/project/cmhc/pdfs/factsheets/new/cmhc-quick-reference.pdf#page=2
- Footnotes — https://www.osfi-bsif.gc.ca/en/guidance/guidance-library/capital-adequacy-requirements-car-guideline-2026
- LTV Ratio Frameworks — https://www.osfi-bsif.gc.ca/en/guidance/guidance-library/residential-mortgage-underwriting-practices-procedures-guideline-2017#2.4.3