Buying house on Workpermit with 5% downpayment?

[pksr]

Dear Friends,

Can I buy a house with 5% as downpayment when i'm still on WP and my PR is on process???
I heard for WP holders its 35% to 20% else the loan wont be approved.. but also heard there is posibility in exceptional cases for 5%..

I could wait till I get PR,but the prices are going up and I'm afraid wont be able to afford the house which we want..
Need positive answers and its posibilities for 5% downpayment??

Please le me know.

thanks

 

[pksr]

All, please let me know ur thoughts

 

[scylla]

Since no one here has replied - I think your best bet is to contact one of the big five banks to see what they are willing to offer / agree to.

Good luck.

 

[Pouce]

the answer is yes.
the thing is if you only put 5% or less down, you have to go through Canada Mortgage Coop(i cant remenber the organization) so your interest rate is bit higher.
but if you pay over 10-20% down, bank will trust you.
when i talked with TD bank, they kinda hesitate to lend money because i am on working permit. they check my asset even they ask my asset in my home country.
so i talked to Scotia bank and told will put 20% down. then my mortgage was approved.
credit union was kinda sucks. they never lend money to temporary workers. have to be landed immigrant.
if you able to put 10-20% down, why not, go buy a house man. i bought a house 2 years ago, but before, my rent was $850/month.
it is worth buying a house than rent.

 

[pksr]

the answer is yes.
the thing is if you only put 5% or less down, you have to go through Canada Mortgage Coop(i cant remenber the organization) so your interest rate is bit higher.
but if you pay over 10-20% down, bank will trust you.
when i talked with TD bank, they kinda hesitate to lend money because i am on working permit. they check my asset even they ask my asset in my home country.
so i talked to Scotia bank and told will put 20% down. then my mortgage was approved.
credit union was kinda sucks. they never lend money to temporary workers. have to be landed immigrant.
if you able to put 10-20% down, why not, go buy a house man. i bought a house 2 years ago, but before, my rent was $850/month.
it is worth buying a house than rent.

Thanks Pouce and Scylla for your responses... Yes spoke to TD bank morgage mngr, he told its possible to get mortgage with 5% but the final decision is with cmhc..(canada mortgage housing and corporation) .In my case me and my spouse both are working annd we are going to try our luck..
The below link shows the eligibilty criteria for non-permemant residence(work permit holders)
http://www.cmhc-schl.gc.ca/en/hoficlincl/moloin/hopr/hopr_001.cfm..

Thanks Again will keep u posted on the outcome

 

[Pouce]

Why dont you try other bank?
TD bank is good one but also hard to get mortgage proved.

there are pros and cons that temparary worker buying a house.
disadvantage is
you are not laned immigrant, you have to pay the property sale tax(may be not in your province).
my lawyer is not too sure about that. but i paid for property sale tax.
if you dont pay enough down payment, your mortagge rate will be little bit higher.
if your work permit extention was rejected in future, you will be in trouble.

anyways good luck for your house hunting

 

[pksr]

Why dont you try other bank?
TD bank is good one but also hard to get mortgage proved.

there are pros and cons that temparary worker buying a house.
disadvantage is
you are not laned immigrant, you have to pay the property sale tax(may be not in your province).
my lawyer is not too sure about that. but i paid for property sale tax.
if you dont pay enough down payment, your mortagge rate will be little bit higher.
if your work permit extention was rejected in future, you will be in trouble.

anyways good luck for your house hunting

Thanks Pouse, still looking and not yet decided..
From the cmhc links ,i could confirm you need 10% downpayment as a rule for non-permenant residence .

 

[Rnaffah]

Apartment in Montreal Concordia

Hello I landed 30 days ago and I am still in
A studio very expensive even food.
I am looking for an apartment near concordia
2and 1/2 but I am leaving after I will
Receive my PR card. I will return end of February so
Can I find an apartment ?
Another question : PR card how long it will
Take to arrive ?
Thank u

 

[scylla]

Re: Apartment in Montreal Concordia

Hello I landed 30 days ago and I am still in
A studio very expensive even food.
I am looking for an apartment near concordia
2and 1/2 but I am leaving after I will
Receive my PR card. I will return end of February so
Can I find an apartment ?
Another question : PR card how long it will
Take to arrive ?
Thank u

PR card will take 10-11 weeks to arrive.

 

[freek4iphone]

Can you please share the Rate of interest that you are paying for 20% down payment?

the answer is yes.
the thing is if you only put 5% or less down, you have to go through Canada Mortgage Coop(i cant remenber the organization) so your interest rate is bit higher.
but if you pay over 10-20% down, bank will trust you.
when i talked with TD bank, they kinda hesitate to lend money because i am on working permit. they check my asset even they ask my asset in my home country.
so i talked to Scotia bank and told will put 20% down. then my mortgage was approved.
credit union was kinda sucks. they never lend money to temporary workers. have to be landed immigrant.
if you able to put 10-20% down, why not, go buy a house man. i bought a house 2 years ago, but before, my rent was $850/month.
it is worth buying a house than rent.

 

[Pouce]

Can you please share the Rate of interest that you are paying for 20% down payment?

Hi freek4iphone
it depends on a bank what deals they have and also type of martage you have.
Fixed or variable. 5 years or 1 year. etc
mine is 2 years fixed rate 2.49%

 

[Cheryllove]

I am currently waiting for my PR status to come thru to move from the US to Canada with my Canadian born husband. We would like to buy a condo in Port Alice BC but he says we have to wait until my PR is granted to qualify for the 95% financing he is prequalified for. Is this the case or is there a loophole for him being a Canadian with strong credit. Any advice will help! I want to go on up and wait for my PR but he says we have to wait or rent until PR comes thru which will eat at our downpayment.

 

[canuck78]

I am currently waiting for my PR status to come thru to move from the US to Canada with my Canadian born husband. We would like to buy a condo in Port Alice BC but he says we have to wait until my PR is granted to qualify for the 95% financing he is prequalified for. Is this the case or is there a loophole for him being a Canadian with strong credit. Any advice will help! I want to go on up and wait for my PR but he says we have to wait or rent until PR comes thru which will eat at our downpayment.

If you are involved in the home purchasing process you will likely have to wait. If your income is needed you will need to wait even longer.

 

[CanadianGirl1234]

I am currently waiting for my PR status to come thru to move from the US to Canada with my Canadian born husband. We would like to buy a condo in Port Alice BC but he says we have to wait until my PR is granted to qualify for the 95% financing he is prequalified for. Is this the case or is there a loophole for him being a Canadian with strong credit. Any advice will help! I want to go on up and wait for my PR but he says we have to wait or rent until PR comes thru which will eat at our downpayment.

There' a loophole. Only put his name on the property. Add Yours after you get PR

 

[CanadianGirl1234]

If you are involved in the home purchasing process you will likely have to wait. If your income is needed you will need to wait even longer.

I saw another post of yours. He would have to remove your income as well.