100% Financing is no longer available through CMHC, Genworth or AIG. However, you can still do 100% financing using the follow methods:
1. CMHC
insured mortgages will
allow
5%
down
payment
to
come
from
Non
-traditional
sources:
a. Gift
from
family
member
b. Borrowed
funds
–
LOC,
loan,
but
payments
must
be
included
in
TDS
calculation
c. 5%
Cash
back
from
Lender
–
Currently
there are only
two
lenders
who
allow
a
lender
cash
back
to
be
used
as
down
payment.
Remember
the
rates
will
be
posted rate,
not
discounted.
2. Use a B lender (non-traditional banks) – much higher rate but allow 100% LTV
Purchase or Refinance. Client must be an employed individual using reported income fully debt serviced, credit >640 or higher. *This product has been discontinued effective July 30th 2009*
Filed under: FAQ, Zero Down Mortgages
