Fortunately, there are many options for non resident buyers in Ottawa. A non resident can purchase a family home, recreational property and an investment property.
Typically as a non resident buyer you need to have 35% down payment. Some alternative lenders may allow less down, such as 25% as well as for US residents. Some traditional lenders will allow 20% down.
The down payment can be from savings and some lenders will allow a family gift. If buying a rental however, a lender will not allow a family gift for the down payment and it will have to come from savings.
The down payment must be in a Canadian bank account and be in the account at least 30 days before the closing date.
You typically need to be in Canada to sign with your real estate lawyer. However, a lender may make an exception to this.
A lender will include all debts, including the costs from your principal residence, in the application.
A lender will require a credit report from your home country.
For those outside the US you may need to provide one of the following:
In addition, some lenders will require a reference letter from a bank in your country.
Furthermore, lenders will require:
All documents must be provided in English or French. Any translation required must be completed by an professional translation service and the cost of this is a client’s responsibility.
In addition, some lenders require that borrowers must have liquid assets of the equivalent of 12 months of principal, interest and tax payments.
If you are a non resident and are thinking of buying a property in Ottawa, I invite you to contact me today to review your mortgage options.