CostYou've recently moved to Canada and want to buy a home, but you don't yet have the Canadian credit history most standard mortgage applications assume you'll have.
What usually happens
Several major Canadian lenders offer specific newcomer mortgage programs, recognizing that a lack of Canadian credit history doesn't reflect actual creditworthiness for someone who's simply new to the country. These programs typically substitute alternative documentation — proof of income, international credit history or references, employment verification, and sometimes a larger required down payment — in place of the standard Canadian credit score most applications rely on.
What lenders typically look for instead
- Proof of stable income — employment letters, pay stubs, or self-employment documentation, similar to standard requirements but sometimes with extra verification.
- International credit history or bank references — some lenders will consider credit history from your previous country, particularly if it's from a country with comparable credit reporting.
- A larger down payment — newcomer programs sometimes require a higher minimum down payment than the standard tiered rule, offsetting the lender's reduced ability to assess risk through a Canadian credit history.
- Time limits — many newcomer programs are specifically available only within a set window after arrival (commonly up to 5 years), so eligibility can change over time.
Who to ask
A mortgage broker experienced with newcomer programs can identify which specific lenders offer them and what documentation each requires, since this varies meaningfully between lenders and isn't always obvious from a standard application. Building Canadian credit in parallel (a secured credit card, a Canadian bank account with regular activity) is also worth starting immediately after arrival, both for a smoother mortgage application and for general financial life in Canada.
Check your affordability picture with newcomer program assumptions on the affordability calculator.