When you’re looking at mortgage options, you’ll hear the words insured and insurable — and they sound almost the same, right?
But they’re actually two different things, and knowing the difference can help you get a better rate.
Let’s break it down in the easiest way possible.
✅ What Is an Insured Mortgage?
This is a mortgage where you put less than 20% down, so the lender requires default insurance.
Here’s what it means for you:
You pay a mortgage insurance premium (added to your mortgage).
The house price must be $1 million or under.
The amortization max is 25 years.
Because it’s insured, lenders offer the lowest rates.
Who this is good for:
First-time buyers
Anyone with a smaller down payment
Buyers who want the best rate possible
✅ What Is an Insurable Mortgage?
This is for people who put 20% or more down, BUT the mortgage still meets all the rules to be insured in the background.
The big difference: You don’t pay the insurance — the lender does.
What this means for you:
You still get better rates than an uninsured mortgage
The home price must still be $1 million or under
Max 25-year amortization
You don’t pay any insurance fee
Who this is good for:
Buyers with 20%+ down
Anyone looking for a lower rate without paying insurance
⭐ The Simple Difference
Think of it like this:
Insured Mortgage
➡ You put less than 20% down
➡ You pay the insurance
➡ Lowest rates
Insurable Mortgage
➡ You put 20% or more down
➡ Lender pays the insurance
➡ Low rates, but not as low as insured
✔️ Why This Matters
Choosing the right type can:
→ Save you money on interest
→ Help you qualify more easily
Make sure you’re getting the best rate for your situation
And don’t worry — you don’t have to figure this out alone. That’s what I’m here for.
From Loan to Home — Your Trusted Path to Ownership. 🏡