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CMHC will be charged a "risk fee" by the federal government beginning Januay 1, 2014, which will be 3.25% of premiums written and 10 basis points on all new portfolio insurance (low-ratio bulk insurance) written.

CMHC is a federal Crown agency which insures against default on mortgages offered by lenders to home buyers who have less than a 20% downpayment.

The fee is not expected to have a significant impact on the availability or cost of mortgages according to BCREA but it is likely to be passed on to home buyers.

CMHC estimates the fee will result in a payment to the federal government of about $50 million in 2014.

During the past five years Minister Flaherty has tightened mortgage rules five times.

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