You must have a minimum of 3 months full time employment in Canada, have a valid work permit or obtained landed immigrant status. The property must not have more than 2 units and one of the two units must be owner-occupied.
For 95% LTV financing, the down payment of 5% must come from own resources. For LTV’s less than 95%, the remainder may be gifted from an immediate family member or from a corporate subsidy. Borrowers being transferred under a corporate relocation program are exempt.
Established Canadian credit rating is required. If none established, alternative sources of credit can be considered such as a letter from the landlord indicating name of tenant, monthly rent, length of tenancy, and payment history. Also, Bank statement must support the amount of rent and timeliness of payments outlined in the letter.
For financing above 80% of the purchase price or value of property (the lesser of the two), standard default insurance premiums are payable.
For further information, please contact a Homefund mortgage professional to help and guide you with this program.