[OnlineHarvest]

Any thoughts on whether CMHC will lower the amount requirement for a downpayment before mortgage insurance is required?

I believe right now it is 20% - why not go to 15% as housing prices have dropped....

Look forward to some thoughts

Well, I don't see why they will. The Gov't lowered it from 25% to 20% not because house prices were falling.

And since this is based on percentage, it doesn't really matter if prices are falling. If you buy a house for $500,000, you need a $100,000 down payment to avoid the insurance. Similarly, if you plan to buy the same house that is now in the market for $400,000, you now only require $80,000. Since this is based on a percent (20%), what you need goes down if prices are going down.