I read from somewhere that this is the government's "solution" to foreclosures and bankruptcy from mortgages. I don't know about you, but maybe they do have a point preventing homeowners investing in extravagant houses if they can't afford it.

If the down payment was bumped up to 20% instead of 10% there would be no need for cmhc.

I heard about that news. It sets you up so you won't be abe to purchase a property you can't really afford and possibly, fall into deep mortgage debts.

http://www.financialpost.com/news-sectors/story.html?id=2716066