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CMHC releases 2016 Annual Report Innovating for Better Housing Outcomes

Canada Mortgage and Housing Corporation (CMHC) today released its 2016 Annual Report titled “Innovating for Better Housing Outcomes”.


In 2016, CMHC supported over 500,000 Canadian households through long-term social housing commitments and provided mortgage loan insurance for more than 350,000 homes. The report captures how CMHC, as Canada’s authority on housing, contributes to the stability of the housing market and financial system while providing support for Canadians in housing need.

Contributing to stability of the housing market and financial system

  • Mortgage loan insurance facilitates access to housing finance for qualified Canadian homebuyers, supporting the stability of our financial system and economic growth. In 2016, CMHC provided $64 billion of mortgage loan insurance for more than 350,000 homes. Of our approved homeowner applications, 14.1% were in rural areas and 64.3% supported first time home buyers. As at 31 December 2016, total insurance-in-force stood at $512 billion.
  • CMHC’s securitization programs facilitate access to funds for residential mortgage lending. This contributes to the stability of Canada’s financial system and supports competition in the mortgage market. In 2016, CMHC provided $144.4 billion in guarantees through its securitization programs.
  • CMHC’s mortgage loan insurance and securitization activities operate on a commercial basis without the need for funding from the Government. As a result of these activities, CMHC generated a net income of $1.4 billion for the year ended 31 December 2016. At year end, total mortgage insurance capital available was $18.6 billion, representing 384% of CMHC’s minimum capital target. On the continued strength of our performance, CMHC will be implementing a dividend framework and will begin paying a dividend to the Government of Canada in 2017.
  • CMHC is focussed on becoming a world leader in housing risk management. In 2016, CMHC worked with the Department of Finance to strengthen our housing system through changes to the rules for mortgage loan insurance and supported the development of a lender risk sharing proposal that aims to rebalance risk in the housing finance system.
  • CMHC is committed to transparency and aims to lead through information and insight. In 2016, CMHC expanded its research and analysis activities to provide decision-makers with timely and relevant data about housing in Canada. Information diffusion is a key tactic in developing better ideas; gathering and sharing data and analysis remains a priority for the future.  

Providing support for Canadians in housing need

  • CMHC provides federal funding in support of housing programs so that Canadians in need have access to affordable and suitable housing, including on-reserve. In 2016, in addition to the $2 billion the Government already invests in housing each year, CMHC was entrusted with delivering more than $4 billion in new investments to improve access to affordable housing. CMHC supported over 500,000 Canadian households in housing need through these investments.
  • In 2016, CMHC led consultations with Canadians to inform Canada’s first National Housing Strategy. A summary report of Canadians’ views, ideas and insights was released in November 2016 and identified affordability, sustainability, inclusivity, and improving quality of life as among the most important housing outcomes to address in the Strategy. Reducing core housing need by supporting the development and implementation of the National Housing Strategy in one of CMHC’s main priorities for 2017.

“In 2016, CMHC truly re-emerged as Canada’s authority on housing. We significantly increased our support for Canadians in housing need through renewed investments in affordable housing; we led a national consultation to inform Canada’ first National Housing Strategy all while supporting Canadian’s access to housing finance through our ongoing mortgage loan insurance and securitization activities.” 
Evan Siddall, President and CEO

“The overall quality of our mortgage loan insurance portfolio continued to improve. Combined with our securitization operations, CMHC generated $1.4 billion in net income for the year.”
Wojo Zielonka, Chief Financial Officer and Senior Vice-President, Capital Markets

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