Canadian Permanent Resident Status
A Canadian Permanent Resident also referred as a Landed Immigrant is someone who has established themselves in Canada and thus has a number of financial mortgage options and rates available to them.
As a Canadian Permanent Resident you must have verifiable Canadian employment/income, a minimum down payment of 5%, and a satisfactory credit rating in Canada to meet the approval of both the lender and insurer. If you are putting more than 35% towards the purchase as your down payment, then some lending institutions may wave the requirement to confirm employment or income (i.e. income could be earned offshore).
Prior to obtaining a mortgage, you must open a Canadian bank account which requires you to present yourself to a Canadian bank with two pieces of identification.
Work Permit
If you have a valid Canadian work permit you are also be eligible for a mortgage. Some financial institutions may even lend up to 90% of the purchase price (value of the property) to an applicant with a valid work permit and is working in Canada, verification of Canadian employment/income, a letter from a recognized financial institution, verification of payment from own resources, and in some cases six months of bank statements from your primary account.
The property you purchase must be one unit and owner occupied.
Non-Residents
Non-Residents are those who live outside of Canada and who wishes to apply for a mortgage in Canada (i.e. purchase a property in Canada). This can even apply to Canadian citizens who have been living aboard, who do not earn income in Canada, and who does not pay income taxes in Canada.
Financial institutions see Non-Resident applicants as a greater risk. They require a minimum down payment of 35% from the applicants own resources. Institutions will also require an international credit report or reference from your current financial institution.
To discuss your personal situation, contact one of our Mortgage Agents today!
