New Immigrant Mortgages
We have very good options for new immigrant mortgages and non-residents who would like to buy a home in Canada. We have many years of experience with helping these clients and in our opinion the options are good and fit most clients very well, however the requirements imposed upon the lenders by the government or by the lenders themselves can be quite rigid.
Due to the fairly strict nature of the requirements we always try to work with our clients in advance to ensure we have all required items in place before they purchase their new home. By completing this addition due diligence in advance we ensure our clients an excellent and smooth new to Canada and new to Calgary mortgage.
With all of the below options, we are typically able to offer best rates and terms.
New immigrant mortgage programs with less than 20% down payment:
Minimum Down payment required:
The down payment for your new home will vary depending upon whether you have obtained your permanent residency or are residing in Canada with a work visa.
Permanent residency (PR): 5% down payment of your purchase price.
Work visa (WV): 10% down payment of purchase price is standard, 5% down payment on an exception basis
The first 5% of the down payment source must be from your own personal savings or investments, the remainder can often be from a family gift or corporate subsidy.
If you do not have established Canadian credit we are able to use the following documentation to demonstrate your credit strength. Please note that if you have moved to Canada within the past two or three years and have established strong Canadian credit we are able to use your Canadian credit instead.
*12 months of bank statements from a Canadian bank account showing regular rental payments and one other payment (utilities, phone, insurance) (PR) (5% down payment)
*6 months of bank statements from a Canadian bank account showing regular rental payments and one other payment (utilities, phone, insurance) (PR)(10% down payment)
*Credit bureau report from your country of origin (5% down payment PR) (10% down payment WV)
*Bank reference letter from your country of origin (5% down payment PR) (10% down payment WV)
An employment letter confirming your position is permanent and your income amount along with a recent pay stub.
New immigrant mortgage programs with more than 20% down payment:
There is a bit of a gap in the Canadian mortgage market for purchasers who are newer to Canada but do not have established Canadian credit. If you are new to Canada and do not have a foreign credit bureau or established Canadian credit, generally speaking lenders offer more flexible credit exceptions and programs with 35% down payment. If you have a foreign credit bureau or have established Canadian credit 20% down payment can be an option. The income requirements are generally similar to the 5% and 10% down payment programs.
Non residents who are obtaining a mortgage in Canada:
When we work with non- resident clients to purchase property in Canada, our clients usually purchase a home for one of the following reasons:
*Rental or investment property
*Recreational property or vacation home
*Home for a home for a family member who is attending school in Canada
The Canadian lender requirements for these purchases are:
Down payment of 35% required
Full disclosure of your income and assets held in your current country
Credit bureau from your current country, if this is not available we are able to use a bank reference letter
The lending options for people who are new to Canada, have not yet established Canadian credit, or are purchasing a property in Canada for investment are very strong and offer great rates and terms. The new immigrant mortgage options and requirements can be quite rigid and at the same time fit most clients very well, it is important that you have an excellent and knowledgeable person and resource to guide you. We are here to help, please feel free to contact us via phone, online contact form, or by clicking apply now.