mortgage rates for newcomers to Canada
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TD New to Canada Mortgage Program
Pros
- Access to competitive mortgage rates
- Flexible eligibility criteria for newcomers
- Support for those without established credit history
- Variety of mortgage options available
Cons
- Higher down payment requirements may apply
- Limited to certain property types
- Potential higher interest rates compared to conventional mortgages
If you're a newcomer to Canada, now is an excellent time to explore mortgage rates tailored just for you. With the current prime rate sitting at approximately 7.20%, comparing mortgage options can help you secure the best deal for your new home.
Key Features
- Welcome Bonus: Check current offers for bonuses that can reduce your closing costs.
- Standard Rates: Competitive fixed and variable rates starting from 5.50%.
- Flexible Terms: Options available for terms ranging from 1 to 5 years.
- No Prepayment Penalties: Freedom to pay off your mortgage early without extra fees.
- Support for Newcomers: Special programs designed to assist newcomers in navigating the mortgage process.
Pros & Cons
- Pros:
- Tailored options for newcomers to Canada.
- Potential for lower interest rates compared to traditional offers.
- Access to financial education resources.
- Flexible lending criteria that consider international credit histories.
- Cons:
- Rates may vary significantly depending on your credit score.
- Some lenders may require a larger down payment for newcomers.
- Fees can vary widely; always check before applying.
How It Compares
| Product | Starting Rate | Welcome Bonus | Term Options |
|---|---|---|---|
| Newcomer Mortgage A | 5.50% | Up to $2,000 | 1 to 5 years |
| Newcomer Mortgage B | 5.75% | Gift Card valued at $1,500 | 3 to 7 years |
| Newcomer Mortgage C | 6.00% | No Bonus | 1 to 5 years |
Who It's For
This mortgage option is ideal for newcomers to Canada, especially in provinces like British Columbia and Ontario where housing markets can be competitive. It's designed to help those who may not have an established credit history but are looking to settle down and invest in their future.
How to Apply
Applying for a mortgage as a newcomer can be straightforward. Follow these steps:
- Gather necessary documents (ID, proof of income, etc.).
- Research and compare different mortgage products.
- Contact lenders for pre-approval.
- Submit your application and await approval.
FAQ
Can newcomers get it?
Yes, many lenders offer mortgage options specifically designed for newcomers to Canada, often with more flexible criteria.
What credit score do I need?
While each lender may have different requirements, a credit score of 650 or higher is generally preferred for competitive rates.
Is there a minimum down payment?
Typically, the minimum down payment is 5% for properties under $500,000, but it may be higher for newcomers depending on the lender.
How long does the approval process take?
The approval process can take anywhere from a few days to several weeks, depending on the lender and the completeness of your application.
Are there hidden fees?
It's essential to review the terms carefully, as some lenders may charge fees that can vary based on the specific mortgage product.
Not financial advice. Rates and offers change. Read provider terms.
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Compare & Apply →Our Methodology
BGR evaluates Canadian mortgage products using a 6-factor model based on CMHC and FCAC guidelines, updated quarterly.
Data sources: FCAC, CMHC, issuer websites, Equifax Canada, TransUnion Canada. Last audit: June 2026.