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2026 Federal Support for Secondary Suites in Saskatoon

​Last Updated: February 26, 2026.
Homeowners in Saskatoon can access federal support for secondary suites through the CMHC 90% LTV Refinance program. Effective January 2025 and continuing through 2026, this program allows you to refinance up to 90% of your home's value after the basement suite is built, providing the capital needed for professional construction. At Streetscape Homes, we provide the technical expertise and fixed price contracts required for both paths.

Its now easier to afford construction of a basement suite

The 90 Percent Mortgage Refinance

The official name for this initiative is the Insured Mortgage Refinance for Secondary Suites. It is best for homeowners who want to maximize their cash flow by keeping monthly payments as low as possible.
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  • Loan Amount: Up to 90 percent of your home value after the basement suite is built (up to a $2 million property value).
  • Interest Rate: Standard market insured mortgage rates.
  • Repayment: Up to 30 year amortization.
  • Official Link: Department of Finance - Mortgage Insurance Rule Changes
  • Strategy: By spreading the cost over 30 years, the rental income from your new basement suite often completely covers the increase in your mortgage payment. We provide the Bank Ready fixed price contracts your lender requires for this appraisal.

Saskatoon's Legal Basement Suite Specialist Contractors

As your dedicated design-build basement suite contractors, we do not just advise on the process; we execute every stage of your development. We manage the structural requirements, coordinate with City of Saskatoon inspectors, and deliver the National Building Code 2020 compliance needed to unlock your funding. We solve the technical hurdles of legal suite construction so you can reclaim your home's equity with a fixed price contract and a guaranteed outcome.

Pro Tip: Combine with the $35,000 Saskatchewan SSI Grant

Regardless of which federal path you choose, you can still apply for the Saskatchewan SSI Grant to receive up to $35,000 back once Streetscape Homes completes your project. Note: This program was recently extended; eligible construction costs can now be incurred until March 31, 2027. This rebate is often used to pay down the principal of the initial loan immediately.

2026 Canada Secondary Suite Loan Program Status Update

$80K (CSSLP) Loan Program Cancelled - 90% Refinance Program Remains

Many homeowners in Saskatoon planned their projects around the promised $80,000 federal loan program. Unfortunately, the federal government pivoted away from direct lending. If you are seeing information mentioning an early 2025 launch, that information is now obsolete. ​

​At Streetscape Homes, we do our best to monitor these legislative shifts to ensure our clients do not miss out on available programs. While the loan is not available, the other current 2026 incentives are actually more flexible for many homeowners. These programs allow for higher property values and longer repayment terms which can often result in better monthly cash flow.

View our full report on the Cancelled Canada Secondary Suite Loan Program for more details on why this shift occurred.

Common Questions on Saskatoon Basement Suite Financing

Can I combine federal financing with the Saskatchewan SSI Grant?
Yes. You can use the 90 percent mortgage refinance to fund the construction and then apply for the Saskatchewan SSI Grant once Streetscape Homes completes construction of your basement suite. This allows you to receive up to $35,000 back which many homeowners use to immediately pay down their mortgage principal.
What Was the Canada Secondary Suite Loan Program?
This was a proposed federal program intended to offer $40,000 to $80,000 low interest loans for suite construction. It was officially discontinued in the 2025/2026 budget cycle and replaced by the more flexible 90 percent mortgage refinance rules.​
How does the 90 percent mortgage refinance work for basement suites?
Traditional refinancing is usually capped at 80 percent of your current home value. Under these new federal rules, lenders can now go up to 90 percent of the "as improved" value. This means the bank considers what the home will be worth once our team finishes your legal suite.​
When do these federal basement suite programs expire?
The 90 percent refinance program is currently part of the active federal mortgage insurance framework for 2026. The Saskatchewan SSI Grant has a two phased deadline following its recent extension:
  • Phase 1: All eligible construction costs must be incurred by March 31, 2027.

  • Phase 2: Construction must be fully completed, and your application must be received by the Ministry of Finance on or before December 31, 2027.
Do I need to requalify for my mortgage to use these programs?
Yes. Because you are increasing your total mortgage amount and adjusting to a 30 year amortization, your lender will perform a full credit and income qualification. We provide the professional documentation they need to verify the project scope.
​​Does the home need to be my primary residence?
Yes. To qualify for the 90 percent refinance and the provincial SSI grant, the owner or a close relative must occupy one of the units on the property. These incentives are designed to support housing for families and long term renters rather than commercial developers. Additionally, the basement suite must be intended for long term rental use and cannot be used as a short term rental like Airbnb.

Professional Financial Disclaimer

Streetscape Homes is a professional builder and general contractor, not a financial advisor. The scenarios provided are for illustrative purposes. We strongly recommend consulting with a certified mortgage broker or financial professional before making investment decisions. Please see our full Financial Information Notice for details.
​​Enhance your home’s value with a mortgage helper. View our Legal Basement Suite solutions.
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