Topics: Home Buying Tips, Credit Management
Yes, you can get a mortgage. Your required down payment will depend on where you want to buy, how long since your bankruptcy (or OPD) discharge, and how much you have re-established your credit.
Generally, banks ("A" lenders) will consider previous bankrupts (one instance, not multiples) after 2 years of discharge for owner-occupied purchases provided the client can satisfy all of the following conditions:
>Private and "B" Lenders will consider discharged applicants with larger down payments (at least 20% or more) at higher/private mortgage rates and fees.
>You might hear about a strategy called Rent-to-Own which allows you to live in a property while working on your credit with the right to buy it when you can mortgage qualify. BUT you must be absolutely SQUEAKY clean with your credit or you risk not getting approved for the mortgage you are aiming for. Better to just rent and work on your credit and down payment savings.
> https://www.richardsmortgagegroup.ca/credit-challenged
Important - In addition to the considerations on this page, please make sure you are on the path to ultimately mortgage-qualify for regular bank lending under the new rules else you will be stuck with high rates!
Topics: Home Buying Tips, Credit Management