Mortgages For New Canadians
Many lenders have programs for new Canadians-usually defined as Permanent Residents who landed less than 5 years prior to applying. The rationale is that new Canadians have not yet had time to build a career and credit score.
- Down Payment: 35% down payment is required.
- Income: Income requirements are waived. This means that the lender does ask for income confirmation.
- Financial Asset Requirement: instead of needing to confirm income, the lender requires liquid financial assets equal to the sum of 12-18 months mortgage payments. This requirement increases for properties over $1,500,000.
- Rentals: Rental properties are eligible but with higher financial asset requirements.
- Properties Over $1,500,000: The down payment requirement increases slightly for properties valued at more than $1,500,000.