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New Immigrant - Buying with no loan.

Discussion in 'Housing' started by CSHA, Dec 9, 2018.

  1. I am a FOREX trader and intend to set up my own business and live on my trading income, I would work from home. As a new immigrant, is it wise to purchase a residential property (pay in full) with funds brought into Canada after landing?
  2. It's neither a good nor a bad decision. It's entirely your choice.
    canuck_in_uk likes this.
  3. #3 steaky, Dec 9, 2018 at 10:18 PM
    Last edited: Dec 9, 2018
    It depends.

    Let say you bought a house - live on the main floor while renting out the basement. you can deduct certain expenses (such as mortgage interest) from your annual income tax. But if you pay in full, you won't have the mortgage interest expense.
  4. Thank you for the reply. With no credit history for a new immigrant, obtaining a mortgage loan might be difficult and hence I was thinking of buying outright. Is it possible to get mortgage loans without a job in Canada, if I make a huge down payment?
  5. Unlikely if so the terms will not be great. Self-employed individuals usually have to have a longer employment history to qualiu=y for a mortgage at the best rates.
  6. Employed overseas is fine.
  7. Hi CSHA,

    As a new immigrant you can get mortgage easily under new Immigrant programs by certain banks. Mostly, Banks requires you to put 35% Downpayment and then you can get mortgage without credit history and without job. I have arranged mortgage from major banks, for my clients who arrived here as new immigrants within a week time.

    Coming to the first part of your question, In Canada, you are all set if you have a house and have a Job. It is always better to pay mortgage and build equity instead of paying rent to someone. It is a good idea to buy a house whenever you are ready (have down payment etc), specially in the current market when the prices are not crazy high.
  8. Hi Zia,

    I'm moving to Canada in a couple of months. We are looking to buy a home. We can put down 35% down payment. I won't have a job in Canada but I will be continuing my employment with my employer in my home country (working from home). Is it possible to get a mortgage in my case?

  9. Hi Ctr,

    There is no problem at all. I had meeting today with RBC for my client and the good thing is, the bank is actively promoting 35% dp mortgage product. Just make sure additional you can show one year PI in Bank account. Hope this will help.
  10. Thanks Zia. One more question is it possible to get a conventional mortgage with 20% down payment showing my foreign employment income and credit history from my home country? I can get reference letters from my employer, bank etc.
  11. Unlikely.
    Zia Rizvi Realtor likes this.
  12. Hi Ctr,
    Sorry for late reply. Highly unlikely.
    In this scenario, only good option is 35% dp. But keep all your current and past pay stubs and employment letter with you. This will help you even in 35% dp. Hope this will be helpful. Feel free to contact.

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