You can buy a house in Canada using a bank mortgage at the very beginning of the immigration process.
General Requirements:
• Confirmation of the application for permanent residence in Canada;
• It is possible to finance up to 65% of the purchase price (with minimum 35% down payment) for a single-family house, duplex, triplex or quadruplex.
• Further residence in the real estate to be purchased is obligatory.
• Mortgage term is from 6 month to 10 years.
• The maximum mortgage amortization period is 25 years.
• The down payment can NOT be made by a credit card, by using a line of credit or gifted by a close relative.
• Credit history and employment in Canada are obligatory.
Upon purchase, you have to show the availability of the following amounts:
1. Availability of 35% of the down payment and confirmation that the money came from legal sources (confirmation of a property sale or an account record confirming that the money was on your bank account for the past 30 days or simply a bank transfer by another bank to your account in Canada, or a customs declaration upon arrival to Canada);
2. Availability of 1.5% of the purchase price as the bank should see that you have money to cover the purchase expenses (paying for notary services, taxes and other expenses);
3. Availability of the amount required for the mortgage payment for the first six months.
Documents Required for Getting the Mortgage:
• Confirmation of the application for permanent residence in Canada or received approval for the permanent residence;
• A reference letter from a foreign bank confirming your reliability as a client;
• Confirmation of the down payment and additional amounts.