Facebook pixel Facebook pixel

Newcomers to Canada

The door is open. Make yourself at home.

You are a newcomer to Canada and buying property with a bank loan looks like an impossible dream? Don't fret - meet with a Multi-Prêts broker. We have experts that can find a solution for your situation. In the meantime, you can learn about the basic requirements for buying property in Canada below:

Qualifying for a mortgage

As a newcomer to Canada, the two main criteria before applying for a mortgage are:

Depending on your employment and credit history, mortgage application conditions will vary. 

Qualification criteria

Credit

For the newcomer to Canada, the main obstacle for getting a mortgage is lack of credit history. Lending institutions rarely have access to your credit information from your country of origin, which means they don’t have any information on which to evaluate your credit. If your bank account is well in the positive, you may have a case; but few newcomers have that luxury. The best solution? Build a credit history.

How do you build a credit history?

It’s pretty simple. Three steps:

The sooner you begin, the more quickly you will establish a record that willl indicate you can manage a debt.

Read more about building a solid credit rating.

Your credit rating

Your credit history is used to determine your credit rating. This rating is what lenders use to assess your credit risk. For more information on this topic, visit the Government of Canada web site.

You can read more about all the important factors to take into consideration here. 

Your work history

Job stability also has an impact on your credit rating. Lending institutions like it when you have a history of staying with the same employer for a long time. That said, lenders are obviously pleased when you’ve changed jobs to improve your quality of life. 

Get your maximum loan in 5 minutes

Before buying a property

Before looking or buying a property, it is important to carefully follow the process. Take the time to get your affairs in order and do things properly so that you will be happy once you move into your new home.

Establish your ability to pay

Buying a property within your means requires calculating your borrowing capacity and other factors before you start your search. Costs associated with purchasing property include one-time costs, recurrent costs and maintenance costs. 

One-time costs

Recurring costs

Utilities (electricity, heat, telephone, cable, internet etc.)

Maintenance costs

Keep your home in good condition to protect your investment

Get a mortgage pre-approval

Before starting on your property search, you can get a mortgage pre-approval.

This is an agreement between you and a lender for a specific amount with specific terms (interest rate, possibility to make additional payments, closing costs etc.)

This agreement does not commit you to anything and is usually valid for a period of 90 days. This gives you the opportunity to validate your ability to pay for a home of your own. A Multi-Prêts broker can help you obtain a mortgage pre-approval.

Narrow down your property search

Before you start house hunting, define the type of property and area where you want to live, based on your current and future needs.

Property type

Size of home

Number of bedrooms, one or two bathrooms, number of closets, amount of land, etc.c

Area and amenities

City, suburb, region or quiet community in the country, family proximity, friends, work, school, public transportation, parks, community or recreational centre, supermarket, restaurants, etc.

Special characteristics

Garage, air conditioning, terrace, fireplace, thermopump, pool, etc.

Get your perfect mortgage remotely

Newcomers to Canada

Julie Belhumeur

Mortgage Broker

Start your search here!