« Back to Glossary Index
A low-ratio mortgage, also known as conventional mortgage, is a mortgage loan of up to 80% the property’s appraised value, meaning a down payment of 20% or more is required. Mortgage default insurance is not required by law for conventional mortgages.
By comparison, mortgages with less than a 20% down payment are called high-ratio mortgages.
« Back to Glossary Index