Overview
Terms
- Fixed terms of 1 – 5 years
Eligible properties
- Owner-occupied and non owner-occupied
- 1 - 2 units
- New construction or existing properties
Payment frequencies
- Monthly, weekly, bi-weekly, accelerated weekly, accelerated bi-weekly
Pre-payment privileges
- Increase payments by up to 15% once per calendar year1
- Pre-pay up to 15% of original principal once per calendar year
Maximum amortization
- Up to 35 years
- BFS Stated < 600: up to 25 years
Loan amounts
- $50,000 up to $750,000
- BFS stated < 600: $50,000 up to $500,000
- Maximum equity withdrawal:
≥ 600 – up to $100,000
540-579 – up to $25,000
580-599 – up to $50,000
Documentation requirements
- Verifiable Income
- Letter of Attestation of Income
- Secondary income documentation varies depending on deal specifics
- The maximum amount of secondary income that can be used for debt servicing purposes is the lesser of:
- 20% of the primary applicant's full time income, and
- the actual secondary income declared in the Letter of Attestation of Income
- The following income types may be considered as secondary income:
- Part time employment less than two years but greater than six months
- Overtime income less than two years but greater than six months
- Confirmable amount of bonus (less than 2 years) earned in the previous year
- Self-employed income from a non-registered business (e.g., daycare, hairdresser)
- Employed tradesman with occasional side jobs
- Other non-traditional sources of income that are deemed reasonable
Supporting documentation may include but is not limited to:
- YTD or year-end pay stubs
- T4s
- Copy of most recent bank statements
- Letter of employment confirming income from the employer
- Copy of contracts or invoices
Note: documentation requirements are assessed on a case by case basis and required when the application is submitted.