Where to Begin
There are many great lenders in Canada that will help you through the door of home ownership with the minimal down. The only lenders that require you to wait beyond 6 years are the bigger banks. The monoline (lenders who focus on mortgages only, have many products for the discharged bankrupt client. There rates are often better than the banks rates. (All good for the client)
The down payment has a little less flexibility. The down payment must come from own resources, rrsp, tfsa, family gift, savings, employer benefits, sale of goods and a few other areas - each is unique it is difficult to cover all options in a paragraph. The important thing to note regarding the down payment is it cannot be borrowed, no debt can be acquired to accommodate the down payment.
You will require a credit score of 600 and greater, if using a 5% down payment product. Should you wish to use the 20% and more then there will be flexibility in the credit score.
You must have a minimum of 2 pieces of credit with at least 12 months reporting. Please note that no late payments will be acceptable from any of the lenders.
You will be required to provide all our bankruptcy paperwork including a list of creditors and the discharge certificate. If you do not have this please contact your trustee to acquire it.
Other Real Estate:
If there was real estate included in the bankruptcy then you will default to 20% requirement as the lenders will not be able to use the insurers (Cmch Genworth Canadian Guarantee).
Bankruptcy is not personal. We measure bankruptcy as a snap shot of where someone was financially at a period in their lives. Lenders understand and have created flexible policies.
Please reach out to us should you have any questions. We will do a complete review for you and ensure you are ready to move forward with your mortgage requirements.