Buying a New Home in Canada
The good news is that buying your first home is not as difficult as you may think. Here are three things that will help you get started on your journey to homeownership.
Expert Real Estate & Mortgage Advice
One of the biggest challenges new Canadians may face comes from confusion about the homeownership process. Get your homebuying and financing questions answered by experts such as a REALTOR®, real estate agent, bank representative, mortgage broker or a mortgage specialist at your local bank.Down Payment & Other Fees
Down Payment & Other Fees
Homebuying costs typically do not differ much between newcomers and other Canadians. Traditionally, homebuyers make a down payment on the purchase of their home. Qualified new immigrants can purchase with as little as five per cent down under New to Canada program – just like any other Canadian.
Likewise, you will need to pay closing costs (legal fees, disbursements, land transfer taxes, an appraisal fee and title insurance) when you purchase a home. The more you save toward your down payment and closing costs, the sooner you can buy your own home.
Proof Of Employment & Credit History
To be approved for a mortgage under the NTC program, you will need proof of stable employment (collect your pay stubs or ask your employer for a letter).
Given that your established credit history in Canada may be limited, you will also need to provide either a satisfactory international credit report or demonstrate timely payments (no arrears) for the past 12 months on rental payments and one other alternative source such as utility payments. (If you are unable to provide these two requirements, you may still be able to purchase a home with a larger down payment.)