If you’re looking for a trusted, experienced, and knowledgeable Regina mortgage broker to help a first-time home buyer, I am here to help. No matter what stage you are in the mortgage process, I can assist you in securing financing to get the home of your dreams. I also understand that all those mortgage rules and regulations surrounding the process can be confusing. My team and I are here to answer all your mortgage questions and take you to home ownership. In my latest article I share what you need to know about buying a property as if you are on a temporary resident or Student visa.
New to Canada? Here’s What You Need to Know About Buying a Home as a Temporary Resident or Student
If you’re new to Canada and here on a temporary resident visa or study permit, you may be wondering whether buying a home is even an option. The short answer? YES, in many cases, it’s possible. But the process is more complex than it is for permanent residents, and there are some important rules and restrictions to understand, especially when it comes to the federal foreign buyer ban.
Here’s what you need to know:
The Foreign Buyers Ban – What It Means for You
As of January 1, 2023, Canada introduced a law that prohibits most non-Canadians from purchasing residential property in many urban areas. This ban was recently extended to 2027. Unfortunately, temporary residents are not automatically exempt. However, there are exceptions that may apply if:
- You have a valid work permit and have filed Canadian tax returns for at least three of the last four years.
- You are a full-time student enrolled at an authorized institution and have been physically present in Canada for 244 days or more in each of the past five calendar years.
Even with these exceptions, the property you wish to buy must meet certain criteria, such as being under $500,000 in value and not located in a larger census metropolitan area unless further exemptions apply. You’ll also need to provide documentation to prove your eligibility.
Financing Options for Temporary Residents
If you do qualify to purchase a home, securing a mortgage as a temporary resident is possible but can be more challenging. Lenders typically require:
- A valid work permit with at least 183 days remaining as of the closing date of the purchase
- A valid study permit – generally its more difficult to purchase a home on a study permit unless you are a secondary applicant, and the primary applicant meets the qualifying criteria
- Proof of income and employment
- A Canadian bank account and, ideally, some established credit history in Canada
Buying While Studying in Canada
Students on a valid study permit who meet the foreign buyer exemption criteria may be able to purchase a home while completing their education; however this is generally when you are not the primary mortgage applicant. If you’re a parent or family member looking to help a student purchase a home, keep in mind that the rules may vary depending on your own residency status and financing structure.
Be Prepared and Informed
The key to buying a home as a temporary resident is to start early, gather the right documentation, and work with professionals who understand the complexities of the process. You’ll also want to consider your long-term plans — are you intending to apply for permanent residency? Will the property be your primary residence or an investment?
Work with a Mortgage Broker Who Understands Your Situation
As a mortgage broker, I’ve worked with newcomers at every stage of their Canadian journey. Whether you’re on a study permit, a work permit, or considering applying for permanent residency, I’ll walk you through your options, clarify the rules, and help you make a confident, informed decision about your next steps.
Get in touch today, and let’s talk about what’s possible.
Choosing the right mortgage broker can save you time, money, and stress. With my expertise, personalized approach, and dedication to securing the best mortgage solutions, I am here to make your home financing journey smooth and successful.
If you’re looking for a trusted mortgage broker in Regina, reach out to me today to explore your options and start your mortgage journey with confidence.
PLEASE NOTE:
Mortgage rules and lender policies change all the time. Because Ryan has access to many lenders and have specialized expertise in structuring mortgage applications, he can determine the optimal way to structure your application to maximize the utilization of things like employment income, self employment income, Canada Child Benefit income, disability income, maternity leave, down payment sources, credit issues, debt ratios , etc. Choice in lenders, combined with his experience, can make the difference in qualifying and/or qualifying for the amount you want. It’s not just about the best rate, it’s about flexibility and choices.
