Newcomer Homeownership Guide
Your First Home
In Canada
Starts Here.
A complete guide for newcomers — from credit and down payments to getting your keys. No jargon. No guesswork. Just a clear path forward.
Your TMG Mortgage Professional
Jenna Hall
Buying a home in a new country can feel overwhelming — but that's exactly why I'm here. I'm Jenna, a licensed mortgage professional with TMG The Mortgage Group. My goal is to make your journey to homeownership in Canada simple, transparent, and stress-free.
I work with a wide range of lenders to find the best mortgage options for your unique story — because you deserve a home and a plan that truly fit you, not the other way around.
My clients become part of the #TMGfamily — and that means support long after you get the keys.
Journey
Every mortgage story is different — what worked for someone else might not work for you. Here's exactly how I make the process clear, simple, and stress-free from first call to keys in hand.
We'll start with a scheduled discovery call — set for a time that works best for everyone involved. We'll talk through your goals, timeline, and what you're hoping to achieve with your first home in Canada. From there, I'll guide you through a secure online application so I can assess your eligibility and start mapping out the best mortgage options for your situation.
30 Min Strategy CallOnce your application is received, I'll set you up on my secure online portal called Hurricane to collect all the documents needed for your pre-approval. Your file won't be reviewed until all required documents are uploaded.
I typically recommend 24–48 business hours for your pre-approval to be reviewed and finalized. At that point, we'll secure a rate hold for 120 days with a specific lender — giving you time to shop confidently.
24–48hr From Document ReceiptOnce your pre-approval is complete, you'll have a clear budget and rate hold in place. At this stage, I'll need to know who your realtor is so we can all stay connected. If you don't have a realtor, I'll connect you with one of my trusted partners. When you find a property you love, I'll review all lender options again to make sure you're still getting the best fit.
Buying a home is always easier when your mortgage professional and realtor work as a team — it keeps things efficient, accurate, and stress-free for you.
120 Day Rate HoldDuring the condition period, my goal is to have your file broker complete — all required documents, lender conditions, and verifications finalized before the condition removal date. I'll also gather lawyer quotes on your behalf and coordinate directly with them and the lender — so nothing gets missed and your timeline stays on track.
Condition PeriodCongratulations — you're officially a homeowner in Canada! Your realtor provides your keys on possession day. We recommend scheduling possession for the afternoon, giving your lawyer time in the morning to organize the transfer of funds and confirm everything with the lender.
My support doesn't end there — I'll continue to be your go-to mortgage professional for renewals, refinances, and future moves.
The Best DayHear A Lot
The mortgage process has its own language. Here are the terms that matter most — explained clearly, so nothing catches you off guard.
Condition Period
The time (usually 10 business days) after your offer is accepted to finalize financing and meet all lender conditions before removing conditions.
Possession Date
The day you officially get your keys. Your realtor provides them — usually in the afternoon — so your lawyer has time in the morning to complete funding.
Amendment
A form used to make official changes to your purchase agreement — such as adjusting the possession date, condition removal date, or other key terms.
Solicitor Fees
Budget approximately 1.5% of the purchase price for legal fees and disbursements in Saskatchewan. I gather lawyer quotes once everything is approved.
Default Insurance
Required when your down payment is less than 20%. Protects the lender and allows buyers to purchase sooner with a smaller down payment while still accessing competitive rates.
Broker Consent
A document authorizing me, your licensed mortgage professional, to represent you and negotiate with lenders on your behalf.
The Most Expensive Mortgage.
Many newcomers arrive focused on finding the best rate — and that makes sense. But the rate is only one part of the picture. The mortgage that saves you the most money over time is rarely the one with the lowest advertised number.
Penalty to Break Early
Life changes — job transfers, illness, a growing family. If you need to exit your mortgage before the term ends, the penalty can be massive. Some lenders calculate penalties using an Interest Rate Differential (IRD) formula that can cost tens of thousands of dollars. The rate difference between two mortgages is often far smaller than this penalty.
Portability
Can you take your mortgage with you if you move? Not all lenders allow it. If your mortgage isn't portable, you may have to break it and pay a full penalty — even if you're just buying a new home. This is one of the most overlooked features when shopping for a mortgage.
Prepayment Privileges
How much extra can you put toward your mortgage each year without penalty? Some lenders allow 10%, others 20%, and some restrict you completely. If you ever come into extra money — a bonus, an inheritance, a tax refund — the ability to put it against your mortgage can save you years of interest.
Fixed vs. Variable — Not Just About Today
A lower variable rate feels great when rates drop — but if rates rise and you're locked into a fixed term you can't afford to break, the rate you started with stops mattering. The right product isn't always the one with the best number on the screen today. It's the one that fits your life over the full term.
My Job Is to Find You the Right Mortgage — Not Just the Lowest Rate
I will always give you my honest, transparent opinion on what makes the most sense for your situation — your risk tolerance, your timeline, your plans for the future. The rate is part of the conversation. It's never the whole story. Knowledge is power, and the final decision is always yours.
Default Insurance
When you make a down payment between 5% and 20%, your mortgage must be default insured. This allows buyers — especially newcomers — to purchase a home sooner, even without a full 20% down payment.
As your mortgage professional, I'll walk you through whether an insured or uninsured mortgage best fits your situation — balancing affordability, qualification, and long-term goals.
Uninsured
Understanding the difference helps you make the right decision for your down payment strategy — not just your rate.
| Feature | Insured Mortgage | Uninsured Mortgage |
|---|---|---|
| Down Payment | 5%–19.99% | 20% or more |
| Default Insurance | Required — premium added to mortgage | Not required |
| Max Purchase Price | Up to $1.5 million | No maximum (qualification-dependent) |
| Amortization | 25 years (30 for first-time buyers on new builds) | Up to 30 years |
| Interest Rates | Slightly lower — risk is insured | Slightly higher — risk is not insured |
| Equity Growth | Slower — smaller upfront equity | Faster — larger upfront equity |
| Best For | First-time or newcomer buyers with smaller down payments | Buyers with established savings or existing equity |
Decisions
The type of mortgage you choose matters more than most people realize. Here's what you need to understand before you commit.
Fixed vs. Variable Rate
Fixed-rate mortgages offer the security of a locked-in rate and payment for the full term. Variable-rate mortgages move with the Bank of Canada's prime rate — you benefit when rates drop, but your payment rises when they do. The best choice depends on your risk tolerance, timeline, and financial flexibility.
Penalties
Think about the cost to exit your mortgage early — life can change. The penalty to break a variable mortgage is typically lower than fixed. If you think you may move before the term ends, look for the ability to port your mortgage to a new property — not all lenders allow it.
Payment Frequency
Monthly, bi-weekly, or weekly — the choice is yours. For faster payoff and thousands in interest savings, consider accelerated bi-weekly or weekly payments — you'll make roughly one extra payment per year without much budget pressure.
Purchase Plus Improvements
Add renovation costs directly into your mortgage instead of running up credit cards. This covers the sale price plus renovations that increase the property's value. Quotes must be gathered within your condition removal deadline. An appraisal is typically required.
Amortization
Most insured mortgages require a 25-year amortization, but first-time buyers can now choose a 30-year amortization on newly built homes with less than 20% down. A 30-year option lowers monthly payments and gives more room in your budget. With 20% or more down, a 30-year amortization is available on any property type.
Car Loans
Two of the most common ways newcomers unknowingly hurt their mortgage approval — before they even realize it.
| Scenario | Estimated Approval |
|---|---|
| ✔ Without a Car Loan | $400,000 – $425,000 |
| ✘ With a $430–$500/mo Loan | $300,000 – $325,000 |
A single car payment can reduce your mortgage pre-approval by $75,000–$125,000+.
Lenders aren't just checking whether you have credit — they're looking at how you manage it. Even with limited history, strong credit behaviour makes a big difference.
- No missed payments — even one late payment can lower your score quickly.
- No over-limit balances — going over your credit limit is viewed as high-risk.
- No signs of overspending — consistently high balances signal instability.
- Steady, responsible usage — keeping balances under 30% of your limit shows control.
& Eligibility
Canada currently has a federal foreign-buyer ban that restricts some non-Canadians from purchasing residential property. Here's what you need to know before moving forward.
Valid Work Permit
You can purchase if your work permit has at least 183 days of validity remaining at possession, and you have not previously purchased under the ban.
Permanent Resident (PR)
Permanent residents are not restricted by the ban and are treated the same as Canadian citizens for property purchases.
Credit Requirements to Proceed
To move forward you must either have Canadian credit established, or have been in Canada for at least 12 months and qualify under the alternative credit program.
Requirements
Every dollar of your down payment must be fully verified — a complete paper trail confirming the funds are legitimate, traceable, and truly yours. This is one of the most important parts of the approval process for New to Canada clients.
Already in a Canadian Account
Show three full months of bank statements confirming the money was gradually saved or already held. Keep your down payment in a separate savings account — not a day-to-day spending account. Unnecessary transfers create additional paperwork and slow the approval process.
From RRSPs or FHSA
Provide the quarterly statement, proof of redemption or withdrawal, proof the funds were deposited into your Canadian bank account, and the complete paper trail showing where the funds originated.
Coming From Outside Canada
Provide 90 days of statements from the foreign account, proof of the wire transfer into Canada, and proof of deposit in your Canadian account. Lenders must see the full movement of funds from source, through the transfer, and into Canada.
A Gift (Canadian or Overseas)
Requires a lender-specific gift letter (which I prepare), the giftor's full contact details, a 90-day history of the giftor's account, proof of transfer, and proof of receipt in your account. Gifted funds must be in your Canadian account at least 15 business days prior to possession.
Does What.
One of the most common sources of confusion for newcomers is not knowing which professional handles which part of the process. Clear expectations help everything run smoothly — and avoid costly delays.
- Review your full financial picture and structure the right mortgage for your life.
- Access 50+ lenders to find the best fit for your situation, timeline, and goals.
- Provide your pre-approval letter with a rate hold of up to 120 days.
- Handle all lender communication, conditions, and documentation on your behalf.
- Set up your Hurricane portal for secure document collection.
- Coordinate directly with your realtor and lawyer throughout.
- Work through final approval once your offer is accepted.
- Search MLS and private networks for properties matching your needs and budget.
- Schedule showings and evaluate each property with you.
- Analyze market value and comparable sales so you don't overpay.
- Draft, negotiate, and submit your purchase offer.
- Manage your condition period and coordinate all inspections.
- Send me the accepted offer package once your deal is firm.
- Communicate key dates such as condition deadlines and possession.
- Review the purchase agreement, title, and all legal documentation.
- Conduct a title search to confirm the property is free of liens or issues.
- Prepare all legal mortgage documents for you to sign.
- Handle the transfer of funds for closing.
- Register the property in your name with the provincial land registry.
- Communicate with the seller's lawyer to finalize possession.
- Confirm when keys are released to your realtor on possession day.
Let's connect and walk through the next steps toward buying your first home in Canada. I'll guide you through the process so everything is set up properly from the start.