The MIC focuses on residential mortgage loans primarily in Eastern and Southern Ontario with a focus on the Ottawa Valley and surrounding urban centres. Commercial loans are also included in the portfolio where beneficial to the MIC. The majority of mortgage receivables are comprised of 1st mortgages with the balance being made up of 2nd mortgages. Almost all mortgages in the MIC have a one or two year term and are renewable at the borrower’s discretion. The MIC usually earns 3 months interest penalties on mortgages paid out before the end of the term.