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Answers to high ratio financing.



引用:
原帖由 vicky_zhang 于 2007-1-31 01:24 PM 发表
For an international student who holds a valid working permit with good credit history, it is possible to pay only 5% down payment together with an amortization period of 40 years.
& ...


I think you are talking about high ratio financing..


 


The phrase high ratio refers normally to mortgages arranged through a chartered lending institution where the loan amount exceeds 75% of the purchase price or appraised lending value, whichever is the lesser. Until 1970, major financial institutions in Canada were prohibited from making such loans. However, federal legislation covering banks, insurance companies, loan, and trust companies permitted loans higher than 75% if they were insured. Insurance is provided by Canada Mortgage and Housing Corporation and GE Capital Mortgage Insurance Canada.


 


Means you have to buy a insurance if you put 5% downpayment. But if you are holding working permit, this insurance could not be approved by GE/CMHC.


 


So if you put  5%downpayment, it's very hard to get the mortgage.


 


Any question, Pls. feel free to call me, thanks


 


Fred Li 416-268-3020



 




[ 本帖最后由 Beyondforever 于 2007-2-1 12:29 PM 编辑 ]
 
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2007-02-01 00:12 |

Genworth "New to Canada" is designed specifically for New immigrants and students who hold valid working permits. The highest LTV ratio available is 95% for purchase.


Borrower qualification
- Must have immigrated or relocated to Canada within the last 24 months
- 3 months minimum full time employment in Canada (borrowers being transferred under a corporate relocation program are exempt)
- Must have a valid work visa or obtained landed immigrant status


An international student who wants to pay only 5% down payment must have a good credit history and a good annual income to support both GDS and TDS. For further information, please refer to www.genworth.ca.

 
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2007-02-01 10:57 | 只看楼主

Answers to high ratio financing.2



引用:
原帖由 vicky_zhang 于 2007-2-1 12:12 AM 发表

Genworth "New to Canada" is designed specifically for New immigrants and students who hold valid working permits. The highest LTV ratio available is 95% for purchase.


...

 


Answers:


1. I heard some financial company (not major banks in Canada) have this kind of program. The reason for this kind of program is just for attracting people's interest.


2. The Rate they provide is pretty high.8%to 9% is normal. Like a 2nd mortgage.


3. When you apply mortgage from them, they must require you to provide income tax record for the past two or three years. because if they give the mortgage, they take the risk.They are doing different way with major banks here. So, They have very strict procedure to qualify you. If your job is very very stable in the past two years, like working in the bank, or IBM, this kind of big company, annual income $50K or $60K up, enen you are holding a working permit visa, you will still get approved.


Thanks


Fred Li 416-268-3020



[ 本帖最后由 Beyondforever 于 2007-2-1 12:32 PM 编辑 ]
 
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2007-02-01 12:18 |