Are you new to Canada and looking for a mortgage broker to help you navigate the home buying process? Look no further! Our team is here to help you every step of the way.
As a newcomer to Canada, you may have questions about how the mortgage process works and what options are available to you. We have the knowledge and expertise to help you understand the ins and outs of the Canadian mortgage market.
With access to a wide range of mortgage products and lenders, we can help you find the best mortgage solution to meet your needs.
We understand that the home buying process can be overwhelming, especially for those new to the country. That's why we are committed to providing personalized service and support to help make the process as smooth and stress-free as possible.
Don't let the challenges of being new to Canada hold you back from achieving your homeownership goals. Contact us today to speak with an experienced mortgage broker and learn more about your options. We are here to help you every step of the way.
Getting a Mortgage When You’re New to Canada Explained
If you're new to Canada, you'll need to follow several steps and provide supporting documentation to get a mortgage. The type of mortgage you qualify for will depend on your status as a permanent resident, your credit score, and your savings for a down payment.
Having a good credit score and being a permanent resident may make you eligible for a typical mortgage. Even if you don't meet all of the qualification criteria for a typical mortgage, there are still ways you may be able to qualify for a mortgage through a program such as the New to Canada Program offered by the Canada Mortgage and Housing Corporation (CMHC), Sagen, and Canada Guaranty.
New to Canada Program Details
The New to Canada Program is a mortgage program designed specifically for individuals who have recently immigrated to Canada or who are in the process of immigrating. This program offers flexible credit qualifying criteria and a lower minimum down payment than traditional mortgage programs, making it easier for new Canadians to become homeowners.
- Newcomers to Canada with permanent resident status have access to all CMHC homeowner mortgage loan insurance products, with a minimum down payment starting at 5% of the first $500,000 of lending value, and 10% of the remainder of the lending value.
- If there is limited Canadian credit history, CMHC may consider alternative sources of payment history.
- To be eligible for a mortgage, at least one borrower must have a minimum credit score of 600.
- CMHC may consider alternative methods of establishing creditworthiness for borrowers without a credit history, such as recent graduates or newly divorced borrowers.
- Non-permanent residents must have a work permit to work in Canada.
- Mortgage loan insurance is limited to the purchase of a 1-unit property, owner occupied with a minimum down payment of 10%.
- Establishing creditworthiness for U.S. country of origin: an international credit report will be obtained in the absence of a sufficient Canadian credit report.
- Establishing creditworthiness For all other countries: a letter of reference from the borrower's financial institution in their country of origin may be considered.
- With insured mortgages (less than 20% down payment) the maximum amortization period is 25 years.
- If the purchase price is above $1,000,000 the minimum down payment is 20%.
- If you are putting down more than 20% down, but have a weak credit history, you may still need to purchase mortgage default insurance.
- Mortgage default insurance costs between 2.80% and 4.00% of your mortgage loan, amount depending on your down payment percentage.
- The property must be located in Canada and be suitable and available for full-time, year-round occupancy. It must also have year-round access.
- Down payments can come from savings, the sale of a property, or a non-repayable gift from a family member.
Why You Should Work With Us for Your Mortgage Needs
Working with us as your mortgage broker is free, easy, and saves you time and money.
Brokers now originate 47% of mortgages in Canada, up from 23% in 2003. This means more and more Canadians are realizing the benefits and savings that come with using a broker.
A bank can only offer you their mortgage products, while we can check with all lenders to get you the best rate possible for your situation.
We work for you, not the bank. And, we save our clients money. Our service is FREE because we get paid a commission by the lender, after your mortgage funds.
You get unbiased advice from an experienced mortgage broker that is dedicated to you, and focused on giving you an amazing experience.
You do not need to open a new bank account or make any changes to your current banking procedures.
Mortgage decisions are some of the most important financial decisions you'll make, and getting professional, unbiased advice from an experienced mortgage broker makes sense.