As housing demand grows across Canada, new programs are emerging to support more affordable, accessible, and environmentally sustainable rental housing. One of the most talked-about initiatives is the CMHC’s MLI Select program.
This government-backed mortgage loan insurance program is designed to encourage the preservation and creation of housing that meets three key outcomes: affordability, accessibility, and energy efficiency.
Below, we provide a breakdown of how the program works, who is eligible, what types of properties are eligible, and the points system.
What is MLI Select?
MLI Select is a multi-unit mortgage loan insurance product offered by the Canada Mortgage and Housing Corporation (CMHC). It uses a points-based system: the more your project contributes to affordability, accessibility, or energy efficiency, the more benefits you receive.
Benefits may include:
- Higher loan-to-value ratios (up to 95%)
- Longer amortization periods (up to 50 years)
- Lower debt coverage requirements
- Reduced insurance premiums
In short, if your project helps create or maintain housing that’s more affordable, accessible, or climate-friendly, the financing becomes more flexible.
Who Can Apply?
MLI Select is open to developers, investors, and organizations that can demonstrate the financial and operational capacity to manage multi-unit residential properties. Applicants must:
- Show competence and experience managing similar properties (minimum of five years, or have a professional management contract in place).
- Have a minimum net worth equal to at least 25% of the loan amount requested (with a minimum of $100,000).
- Hold part of that net worth in liquid assets.
- Meet minimum debt coverage ratio requirements (typically 1.10 for standard rentals, 1.20 for supportive housing/retirement homes).
- Be considered a suitable borrower by CMHC and the lender
Eligible Properties
The program supports a wide range of residential housing types, including new builds and existing properties:
- Standard rental housing (minimum 5 units)
- Single room occupancy (SRO) housing
- Supportive housing models
- Retirement homes (minimum 50 units/beds)
- Student housing (only eligible under energy efficiency and accessibility criteria)
Mixed-use projects can qualify, provided the non-residential component does not exceed 30% of gross floor area or lending value
How the Points System Works
To qualify, projects must earn at least 50 points in one or more of the following categories: Affordability, Energy Efficiency, or Accessibility. The higher your score, the better the financing terms.
Here’s a simplified breakdown:
Key takeaway:
- 50 points: basic eligibility
- 70 points: unlocks up to 45-year amortization
- 100+ points: unlocks up to 50-year amortization, limited recourse options, and maximum flexibility
Why This Matters
Programs like MLI Select make it easier for developers and investors to move forward with projects that help address Canada’s housing challenges. By rewarding affordability, accessibility, and climate-conscious design, it aligns financial incentives with social outcomes.
We're Here to Help
Navigating MLI Select requires expert mortgage guidance. We work closely with trusted professionals who specialize in this program.
If you’re exploring multi-unit opportunities and want to see if MLI Select could work for your project. Reach out today, and we’ll connect you with the right experts who can walk you through the details and financing options.
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