Deal Analyzer
Core methodology
Net operating income equals effective income less operating expenses before debt service. Cap rate equals annual NOI divided by purchase price. Cash-on-cash return equals annual pre-tax cash flow divided by estimated cash invested. DSCR equals annual NOI divided by annual debt service.
Projected IRR uses annual cash flows, estimated value growth, remaining loan balance and estimated selling costs at the selected exit year. Future values are hypothetical and depend entirely on the inputs.
MLI Select Pre-Screen
Rules and estimates
The pre-screen applies public CMHC point tiers, affordability percentages, maximum leverage, maximum amortization and minimum DCR by shelter type. Affordable rent is estimated as 30% of entered median renter income divided by 12.
Premium estimates use the public standard-rental premium schedule, applicable point discount and extended-amortization surcharge. Taxes, credits, special conditions and lender-specific costs are not comprehensively modeled.
Important limitations
Educational information only
Results are not an investment recommendation, appraisal, loan quote, commitment, insurance approval, legal opinion, accounting advice or tax advice. The tools do not verify market rents, leases, expenses, building condition, zoning, title, borrower strength, eligible project costs, remaining economic life or documentation.
Source of truth
Confirm current CMHC requirements
MLI Select rules can change. The calculator’s rules were reviewed on August 19, 2026. Before relying on any estimate, confirm the current requirements with an approved lender and CMHC.
CMHC MLI Select information →