Welcome to Canada - we are so glad to have you here. I also thought I would take this opportunity to provide you with some information regarding getting a mortgage as a new Canadian to help you on your future journey.
If you are already a Permanent Resident or have received confirmation of Permanent Resident Status, you are eligible for a typical mortgage with a 5% down payment - assuming you have good credit.
If you have limited credit, or have not yet qualified for Permanent Residency, there are still options! In fact, there are several ‘New to Canada’ mortgage programs through CMHC, Sagen and Canada Guaranty Mortgage Insurance. These mortgage programs provide mortgage solutions specifically designed to help new residents to Canada realize their dream of home ownership.
To qualify for these New to Canada programs, you must have immigrated or relocated to Canada within the last 60 months and have had three months minimum full-time employment in Canada.
For 90% loan-to-value or less, a letter of reference from a recognized financial institution OR six (6) months of bank statements from a primary account will be required.
If you are seeking credit of 90.01% to 95% need to produce a Canadian or international credit report (Equifax or Transunion) demonstrating a strong credit profile OR two alternative sources of credit demonstrating timely payments (no arrears) for the past 12 months. The alternative sources must include rental payment history and another alternative, such as hydro/utilities, telephone, cable, cell phone or auto insurance.
Another option, depending on your residency status and credit history, are alternative lenders.
If you are unsure of your options or want to make sure you get the best mortgage product possible, please don't hesitate to contact me. As a dedicated mortgage professional, I have access to 90+ lenders, which will allow me to find you the best options. I would love to set up a virtual appointment to discuss your financial history, goals and the mortgage process.
Buying a house is an exciting step for anyone, but it is especially for those who are new to the country! As daunting as it may seem, purchasing a home is completely possible with a little knowledge and preparation.