Buy condo with no down payment?
Hi
Is there anyway for me as a new immigrant in Canada to buy a condo or house with no or minimum down payment? In Toronto area?
Hi
Is there anyway for me as a new immigrant in Canada to buy a condo or house with no or minimum down payment? In Toronto area?
Comments
No.
No one is going to lead money to a new immigrant. In order to qualify for a mortgage, you need to have a solid credit rating (in Canada) over many years, a stable job (going back years), notices of assessment from Canada Revenue Agency (going back years), etc. By federal law, you must make a 5% down payment in order for a bank to give you a mortgage (not that they would without the above) and obtain CMHC insurance on the property. About the only way to avoid this would be if the loan was secured by a major asset -- such as someone else's property, a business, etc.
Anyone wishing to purchase a condo in Canada must be approved by the condo association. Otherwise,
an offer to purchase would be disapproved.
You would first need an approval for a mortgage. That will be difficult with no previous credit history and
no employment history of at least a few years.
You can ask the seller to do a lease to own but will need some sort of down payment unless you just pay more monthly to build up a deposit that way - always a creative thinking way to handle things.
But it will not be in a high demand area you will find such a thing.
Sure -- find a place to buy, get the money from a lender and you're off to the races.
Same rule as everywhere else -- make the offer, and the seller can then decide to accept or otherwise.
Of course, getting a lender to finance you will be a bit difficult with no past history, plus few places will make a mortgage loan without you showing some real security assets, especially on a low or no deposit basis.