Mortgages for bad credit
Bad credit mortgage
For bad credit mortgages, we are the broker of choice in Canada. Turned down by the bank? We offer sensible solutions to meet your needs. We are a leading source for “bad credit home loans”. Moreover, we help people every day with straight answers about your options.
Bad credit mortgages in Canada – how to get a mortgage with bad credit
Poor credit mortgage has been our business since 2003. Therefore, if your credit score is below 650 we place your home loan with B lenders. Who are B lenders? B lenders are banks, trust companies or credit unions. Private lenders are also considered B lenders, all of them lending to people with low credit score. Moreover, institutional B lenders, and private lenders have more flexible approval guidelines than conventional banks. Likewise, bad credit mortgage lenders accept derogatory credit impediments and low credit scores. As a result, these not so good credit situations will not prevent an approval. The only downside is you will need at least a 20% down payment for purchases. For instance, we determine your qualification based on many factors. Finally, we understand how important it is to have the lowest rate possible. This is why we are 100% committed to providing you the lowest rate based on your circumstances. In conclusion, guarantee yourself to never to pay more than you have to. We are a bad credit mortgage broker in Canada providing institutional B and private B mortgage solutions.
Apply Now, or request a free NO Obligation consultation.
Getting an approved mortgage if your credit is good
Have great credit but still declined by your Bank? You could be declined by traditional banks despite have very good credit. There are few reasons why this might happen: You may be in business for yourself but not have the acceptable documentation banks need to confirm qualifying income. You may also fail the stress test if income is not sufficient based on qualifying rate of 2% above contract rate or 5.25% whichever is greater. We will qualify you at the lowest mortgage rate available for your situation.
Get Approved – pre qualifiers
Bad credit home loans in Canada
Lowest Rate even if you have bad credit. Financing for people with lousy credit is our specialty!
It is important to own your home. Likewise, to have the lowest rate possible is important too. We are 100% committed to providing you the best lowest rate in the market. Using our service, you guarantee yourself you will never pay more than you have to based on your circumstances. See all our rates here
Lowest Mortgage Refinancing Rates!
Already a homeowner? Refinance and lower your rate, consolidate, consumer debts or blend your 1st and 2nd mortgages.
Not happy with your current Lender? Let us transfer or switch your mortgage.
The lowest rate is not always the best choice. There are other options to consider. Options that may suit your situation better.
Pre approvals for good or bad credit
Before looking for your home it pays to talk to us first and allow us to qualify you. We will tell you how much you can afford, what your monthly payments is, and we start the process and work along your real estate agent to ensure your home buying experience is without stress and hassle free.
Pre approval? Qualify now with good or bad credit »Apply now
How to check your credit score for a mortgage in Canada
Looking for a mortgage but not sure what your credit score is? We encourage borrowers to find out what their credit score is before contacting us. There are several options available for you. Your own bank might have an online capability to do what is called as “soft pull”. This will give your credit score but will not be reported on your credit file.
You may also visit the one of the websites list below. Equifax and Transunion are the reporting agencies and you are able to obtain your consumer report. Creditkarma is a credit score service which is free of charge. It will provide you with an approximate credit score.
If you know your credit score and are able to tell us in advance, it would help us provide you with a more detailed and accurate evaluation of what mortgage options are available to you. However, when we proceed with your file, most mortgage brokers will use Equifax to full your credit. This report is more detailed and provided for complete history of your re payment status, and habits.
Getting a mortgage when you are self employed
Mr. and Mrs. Smith had a mortgage with an A side lender. Debts became significant so they were trying to get their bank to refinance their mortgage and consolidate debts.
Since obtaining their current mortgage, Mrs. Smith was working for herself. She worked as wedding planner and had yet to complete more than a few years of self employment. Their bank turned down their request because she was unable to provide continuous Notice of Assessments. They contacted us and requested how best we could qualify them for mortgage refinancing.
The Mortgage Solution:
We determined that qualifying for an A side mortgage was in fact not possible. We found out that she was using separate bank accounts to deposit her earnings. Using her bank statements we determine what her total deposits were and calculated and approximate cost of doing business and related expenses. We arrived at a net income amount based on her bank statements. We used a self employed income declaration or attestation to support her income.
Using their total income, we calculated the total mortgage their would qualify for based on a stress test of 2% over contract rate. Based on this, it was determined they would qualify for a new amount that would pay off her existing mortgage and 85% of consumer debts. We placed the mortgage with a B lender at 4.54% and 75% Ltv. Furthermore, they saved $1800 in monthly cash flow.
Their exit strategy:
The mortgage we placed for them was for 1 year term. It was enough time for Mrs. Smith to complete a couple of years of self employment and provide of notice of assessments, showing line 150 with the qualifying income. As long as a couple of years average is enough income, they would qualify mainstream and decrease their mortgage rate.
Alternative B when you have mortgage arrears
John has an institutional 1st mortgage. He had a low credit score, missed payments because he lost his job. His file went to their solicitor for collection.
He received a demand notice from the solicitor to pay out the 1st mortgage in full.
John has lost his job and it caused him to miss payments. Bank did give him some time to catch up but he was unable to because he could not find a replacement job.
John came to us to discuss what we could do to help him. We had a consultation with him helping us to understand the full story. We explained the solution making the most sense would be to payback the bank all the arrears.
To make this happen we discussed and requested the solicitor to talk with their client. The bank decided to accept the arrears. We arranged an equity take out 2nd for the amount of the total arrears, and to pay off few debts. John’s 1st bank mortgage would remain with the bank at a much lower rate.
John ended up with a new job, and we closed a $60,000 equity take out with a monthly payment of $ 650.00. We set John up to refinance his bank 1st mortgage and equity take out within 12 months, when his credit score improved. This would leave John with one mortgage are payout the more expensive 2nd mortgage.
Aldo helped us when the banks would not! Our bank that held our home loan for 10 years pre-approved us to buy a new property. I submitted the property MLS to the bank BEFORE I put my home on the market. I am the type of person that has to have a place to go BEFORE I buy. We submitted all our information and got approved for our new property. AFTER we sold our home the bank informed us that they would not lend for that property.
Finally, the bank suggested to go to a broker. I COULD NOT BELIEVE THIS WAS HAPPENING TO US!!! In addition, we had 10 people die within a six month period. Our daughter hit by a drunk driver and sustained a serious brain injury and we had lost my Dad. In conclusion, this added so much stress to our situation.
I found this company online. Aldo Mormile worked to help us get a home loan. He worked with us through 3 properties, worked with our Realtor and Notary and was so kind. He desires to help people. Aldo answered every call, every email and every text. Even after he found us the loan he kept working for us and at the last minute found us an even better rate. In conclusion, I will only work with Aldo on any future purchases. Call Aldo, you can’t go wrong.
“Aldo was an absolute gift sent to us by God. Therefore, we thank God for sending us the right person at the right time. Since we have tried almost a year with different banks, and brokers to get us a 1st home loan to cover our all our debts. In addition we always get disappointment answers from the bank and Lenders. …. First, he is a person who cares for you with all his heart and he never stops until he finds an answer for you. Secondly, because of your endless efforts, we actually have a future and new beginning again in our life again. Thank you very much for your caring and support during the entire time…….**** Jeya & Thasan”
– replaced an 8% first and 12% 2nd and provided 30 k for home renovations.
“ Above all, your attention to the details of this home loan has been superior. Therefore, I would like to say thank you from the bottom of my heart. This has been so stressful for me from the beginning and now we are close to a resolution. Therefore, this note is to show respect and voice our appreciation.” Lastly, This has put my heart at rest. Thank you. Tracy and Arthur
Thank you for helping in restoring my mortgage. In conclusion, you found a way to pay off the arrears, pay property taxes, and provide extra funds, despite our credit score. Therefore, I enjoyed working with you. Above all, your service is impeccable and professional. In conclusion, I do not hesitate to refer friends and family to you. Rebecca
– replaced an 8% first and 12% 2nd and provided 30k for home renovations.
First Time Home Buyer Program
Unlock the Door to Your Dream Home
First time home buyer program. Owning a home is a major milestone in life. It allows you to build equity, invest in your future, and make a space that reflects your style and needs. This article is written for the benefit of first time home buyer in Canada.
But we also know that buying a home can feel daunting, especially if you’re a first-time buyer. There are many important decisions to make, and the process can be complex and overwhelming.
At Canadian Mortgage Finder, we’re committed to helping you find the perfect home that fits your budget, lifestyle, and preferences.
Our team of experts has extensive knowledge of the Canadian real estate market, and we’re here to guide you every step of the way. We offer a range of mortgage options and resources to make the process as smooth and stress-free as possible.
So, whether you’re considering homeownership or getting ready to take the plunge, we’re here to support you.
Let’s work together to make your dream of owning a home a reality!
Our Promise to You
Choosing Canadian Mortgage Finder means selecting a partner who will help you achieve your homeownership goals with confidence and ease. Here’s our promise to you:
Low down payment
Low-interest rates (check out our rates here!)
Favorable repayment schedules
Why Owning a Home is a Smart Investment
Owning a home is more than just having a place to live – it’s a smart investment that pays off in numerous ways. Homeownership is a crucial step towards long-term financial stability and security, from building equity to potential appreciation and tax benefits.
Here are some of the perks of being a homeowner:
Potential for appreciation
Sense of stability and security
Creative freedom to customize your living space
Greater control over your living environment
Ability to establish roots in your community
Potential for rental income
Possibility for long-term financial stability
The pride of ownership and sense of accomplishment
Mortgage Options for First Time Home Buyer
We understand that first-time homebuyers may need additional support to achieve their homeownership goals. That’s why we offer a variety of mortgage options designed specifically for first-time buyers, including:
First time Home Buyer Plan
The Home Buyer’s Plan (HBP) program lets you withdraw up to $35,000 from your Registered Retirement Savings Plan (RRSP) to put toward purchasing your first home. You can use the money as a down payment or to cover home buying costs, and the repayment terms go up to 15 years.
To qualify for the First Time Home Buyer’s Plan, you need to meet the following requirements:
A first time home buyer or someone who hasn’t owned a home in the last four years.
A Canadian citizen or permanent resident.
Withdraw all the funds at once or in installments within a year.
You should only use the money to buy a home.
The money you withdraw should be in your RRSP account for 90 days before withdrawing them.
You need to live in the home you’re planning to purchase.
First Time Home Buyer Incentive
The First-Time Home Buyer Incentive (FTHBI) is a program offered by the Government of Canada that provides financial assistance to first-time homebuyers. The program offers a shared-equity mortgage, which means the federal government will contribute up to 10% of your home’s purchase price. This reduces your monthly mortgage payments and allows you to borrow less from the lender.
To qualify for the First Time Home Buyer Incentive, you need to meet the following requirements:
You need to be a first time home buyer.
Your household income should be less than $120,000.
Your mortgage amount is based on a cap of four times your household’s highest income ($120,000). This means the maximum mortgage you can qualify for is $480,000.
Grants and Programs
Certain provinces have programs for a first time home buyer like you. Here are some of the programs available in your area:
Prince Edward Island
Remember that your city may have its own program or assistance to first time home buyers. It’s best to contact your city hall for more information.
Tips for First Time Home Buyers
Get pre-approved for a mortgage before you start looking for a home.
Save up for a down payment to reduce your monthly mortgage payment.
Work with a trusted real estate agent. A good agent can help you find properties that meet your needs and negotiate on your behalf.
Research and compare mortgage options to find the best one for your needs.
Consider additional costs beyond the mortgage, such as property taxes and maintenance.
Take the time to inspect the property thoroughly before making an offer.
Don’t rush the process – finding the right home can take time. Be patient, and don’t settle for a property that doesn’t meet your needs.
Be prepared to negotiate and make compromises.
Stay within your budget to avoid overextending yourself financially.
Consider the property’s long-term potential as an investment, even if you’re not planning to sell anytime soon.
Additional Resources for First Time Home Buyers
We want to ensure that our first-time homebuyers have all the tools they need to make informed decisions about their mortgage. That’s why we offer a variety of online calculators and tools that can help you calculate your maximum mortgage amount and find the best mortgage rates in the country.
Maximum Mortgage Calculator
Our Maximum Mortgage Calculator allows you to input your monthly income amount, expenses, and other financial information to determine the maximum mortgage amount you can afford based on your unique financial situation.
Quick Access to Our Mortgage Rates
Our mortgage rates page gives you up-to-date information on the latest mortgage rates. It’s our goal to help first-time home buyers like you make sense of the mortgage market and find the best possible rates for your needs and budget.
Our pre-approval process can give you a better understanding of how much you can afford to spend on a home and what your monthly payments might look like. This can help you make a more informed decision when it comes to finding your dream home.
Our team of experienced mortgage specialists is here to help you every step of the way. Whether you have questions about the mortgage process or need help choosing the right option, we’re here to provide guidance and support.
These tools are just some resources available to you as a first-time homebuyer working with Canadian Mortgage Finder. We’re happy to provide you with all the information and support you need to make the best decisions for your financial future.
Call us today at 1-877 237-2601 or fill out our online contact form to learn more.
A Step-by-Step Guide to Getting a Mortgage for the First Time Home Buyer
Getting a mortgage for the first time may seem like a complex process, but it doesn’t have to be. We’ll guide you through every step of the way – from pre-approval to closing!
Here’s what you can expect when you buy your first home:
The first step in obtaining a mortgage is getting pre-approved. This involves applying to a lender, who will evaluate your creditworthiness and determine how much they will lend you.
2. Find Your Home
Once pre-approved, it’s time to start looking for your dream home. Be sure to keep your budget in mind as you search for properties that fit your needs and preferences.
Once you’ve found a home you love, you’ll need to submit a formal mortgage application to the lender. This will involve providing detailed information about your income, assets, debt, and the property you’re purchasing.
The lender will require a variety of documentation to verify your income and assets, including pay stubs, bank statements, and tax returns. Be prepared to provide this documentation promptly to keep the process moving forward.
In some cases, the lender may require an appraisal of the property to ensure it’s worth the amount you’re borrowing. This involves a professional appraiser evaluating the property and providing a written report.
6. Engage Your Solicitor
Once the lender has approved your mortgage, you’ll need to engage a solicitor to handle the legal aspects of the home purchase. Your solicitor will review the purchase agreement, ensure all necessary documentation is in order, and arrange to transfer funds.
7. Close Your Mortgage
Closing day is the day you take possession of your new home. You’ll need to pay the purchase price balance and any closing costs, such as legal fees, land transfer taxes, and insurance.
Get Started: Take the First Step to Homeownership Today!
Simply fill out our online contact form to speak with one of our mortgage specialists to get started. We’ll work with you to find the best mortgage option for your unique needs.
Use our Maximum Mortgage Qualifier to know how much you qualify for. Keep in mind that the following are some of the factors that affect the amount you can borrow:
Other debt payments
Buying your first home will definitely be an exciting and rewarding experience with Canadian Mortgage Finder.
Frequently Asked Questions
What is a first time buyer mortgage?
There is no special mortgage solution specifically tailored to a first time buyer. A first-time buyer would get the same mortgage as a repeat home buyer. However, as a first time buyer, there could be a land transfer tax advantage. Check with your lawyer if this may apply to you.
What is the most important step for a first time buyer?
As a first time buyer, you will need to be pre-qualified and pre-approved.
Pre-qualifying means we need to find out how much you can afford, given your income and debt load. Once pre-qualified, we’ll move on to pre-approval, which is a written commitment from the lender or financial institution stating the conditions of your approval.
When is the best time to get pre-approved for a mortgage?
The best time to get pre-approved for a mortgage is before you start looking for your dream home. Pre-approvals let you know how much you can afford and potential interest rates, and it also shows real estate professionals that you’re serious about buying a home.
How much is the required down payment?
The down payment required for first time home buyers is at least 5% of the purchase price of your home plus high-ratio mortgage insurance. But, if you want to qualify for a conventional mortgage and don’t want to pay mortgage insurance, it’s best to put down 20% of the home’s purchase price, assuming you have excellent credit. As of this moment we have an excellent option for you with one of our mortgage partner. If you have 5 to 10% down payment we an arrange for an additional down payment up to $250,000 or 20%. This will certainly improve your chances of approval.
When you make a larger down payment on your home, you’ll borrow less money, and as a result, you can enjoy lower monthly mortgage payments. In other words, the more money you can put down upfront, the less you’ll need to borrow, and the more you can save on your mortgage in the long run.
What is the required down payment if my credit is bad?
If credit is bad or challenged, you will need 20% down. But sometimes, we can find a mortgage solution with only a 15% down payment if the property is in a major city.
What happens if I don’t qualify?
Don’t worry if you didn’t qualify! We’ll help you find and apply for a mortgage opportunity that’s right for you under our Alternative mortgage option.
Ready to take the plunge and buy your first home?
Schedule a consultation with one of our experts today!
Congratulations on taking the first step toward homeownership! At Canadian Mortgage Finder, we’re dedicated to helping first-time homebuyers like you navigate the mortgage process with confidence and ease.
With our range of mortgage options and resources, you can feel confident and informed as you navigate the home buying journey.
Contact us today to learn more about how we can help you achieve your homeownership goals. Call us today at 1-877 237-2601 or complete our online contact form. Our team is standing by, ready to answer your questions and help you take the next steps toward owning your first home.