First let me be the first to say welcome to Canada. We are pretty darn proud of this amazing country and we know you will love it too. Now that you have successfully navigated the immigration process, your thoughts have likely turned to owning your own home.  The mortgage lenders and insurers have come up with a few way to help you do this as soon as possible.  That being said, it is a special program so there are a few things you should know. Borrower qualifications for all New to Canada programs · You must have immigrated or relocated to Canada within the last 60 months.  · 3 months minimum full time employment in Canada · You must have a valid work permit or obtained landed immigrant status · A full 5% of the down payment must come from your own resources · All your debts outside of Canada will be included in your affordability ratios.  Including any mortgages · We cannot use a guarantor · You must pay Canadian taxes Documentation requirements for all New to Canada applications · Valid work permit or verification of landed immigrant status · Income verification · Down payment verification · Purchase and sale agreement With 10% or more down · Letter of reference from a recognized financial institution  OR · Or 6 months of bank statements from your primary account With less than 10% down · International credit report demonstrating a strong history · 2 alternative sources of credit demonstrating timely payments, such as: · A letter from your landlord after 12 months stating you have never been late · 12 month history of another alternative source such as your insurance, utilities or cell phone. Mortgage Insurance and other costs 1. Here in Canada, our mortgage lenders are willing to proceed with mortgage financing to people who have less than 20% down.  All of these mortgages must be insured through the insurers and this is a cost that you will have to pay.  It is added onto your mortgage loan so it is not an upfront expense. 2. Legal Fees –  Up to $2000 3. Title Insurance – $249+taxes 4. Appraisal Fees- $350 5. Property Taxes owing to the current owner – will be calculated by your lawyer Given the more stringent guidelines for the New to Canada borrower, I would highly recommend that you start the process well in advance.  A letter from a bank in another country can take up to 3 weeks to arrive if their regulations do not allow it to be faxed or emailed.  Or maybe you are here ahead of your spouse?  In that case we may be required to obtain spousal consent which is legally prepared.  Again the delay can be lengthy.    The CMHC website offers information in a variety of languages on all of this information to help you understand your rights and obligations and as always a qualified mortgage professional is invaluable to help you navigate the tricky world of Canadian mortgages.

Dominion Lending Centres Chief Economist Dr. Sherry Cooper Cautiously Optimistic After Bank of Canada’s April Rate Policy Announcement April 15th 2015 Vancouver, BC – Following today’s Bank of Canada’s announcement that it will hold overnight rates steady at 0.75%, Dominion Lending Centres’ Chief Economist, Dr. Sherry Cooper, says the outlook is unclear for the Canadian economy and the […]

There is a constant bombardment by the media about all things financial.  The sky is either falling or everything is hunky dory.   You want to be a savvy consumer when it comes to your finances but it can be challenging to decipher all of the terms and conditions.  This week I am going to present […]

So if you are considering building a home this year you may want to familiarize yourself with the differences between a draw mortgage and a completion mortgage.  You will discover very quickly once you start discussing terms with our area’s talented home builders that you need to understand what you are getting yourself into. Let’s […]

I wanted to share a little video which shares some more information about Dominion Lending Centres and explains how I can help you with your mortgage questions as a Mortgage Broker for Lloydminster, Alberta and Saskatchewan areas. I hope you enjoy the video! Val Thibault