Can I get a Mortgage with Bad Credit in Canada?
Have you been turned away by your bank, because of poor or bad credit? Notably, many big banks consider borrowers who don’t have a good credit rating to be high-risk. Personal loans in Canada are all but extinct because lenders want collateral. While unsecured bad credit personal loan applications are at an all time high, approvals have dried up.
Moreover, the big brick and mortar lenders have all but stopped lending to clients who don’t have a great income and perfect credit. Fortunately, there are still lots of options when it comes to bad credit mortgages in Canada if you know where to look.
How to Get a Mortgage with Bad Credit in Canada?
Obviously, being turned away by your own bank for a mortgage with bad credit is devastating. That being said, there is still a large number of institutional & alternative lenders who don’t use credit or income to approve bad credit mortgage loans. For example, trust companies, credit unions, mortgage investment corporations and private lenders are approving an unprecedented number of mortgages.
In fact, there is a growing trend among bad credit lenders in Canada to review every deal case by case. Consequently, getting a mortgage with bad credit in Canada has become easier if you know where to go.
To explain, it’s important to note that equity is more important than credit is for many lenders outside the big bank world. That being said, the larger your down payment is, the more likely you are to get approved. Above all, when purchasing a home with poor credit you should aim to have 20% down, in addition to closing costs.
Accordingly, the same rules apply to homeowners looking for a bad credit home equity loan: the more equity you have, the better!
Essentially, bad credit mortgage lenders are willing to overlook a variety of credit issues. In addition to the obvious, bad credit mortgage lenders will often lend to clients with:
- An unpaid payday loan (s)
- debt problems
- Consumer proposal & bankruptcy (both past & present)
- Revenue Canada debt
- instalment loans, unsecured loans & credit cards in arrears
- property tax arrears
- mortgage arrears
In short, no matter what your credit score is, there is a mortgage lender for bad credit in Canada. By and large, all you need is equity or a large down payment and know where to go.
Getting a Bad Credit Mortgage Lender in Canada?
Surprisingly, it’s not that hard to find a bad credit mortgage lender in Canada if you know where to look. So, this is where hiring a mortgage broker who deals with bad credit mortgages can help.
Certainly, Turnedaway.ca, as the name suggests, specializes in hard to place mortgages such as bad credit mortgages and bad credit home equity loans. In fact, because we only deal with challenging mortgages we have more options than other mortgage brokers.
For this reason, we get approvals faster and with a preferred mortgage rate and more flexible terms. To put it another way, bad credit mortgage lenders want to work with Turnedaway.ca because we have 30 years experience and know how to underwrite a mortgage for clients who have poor credit.
Getting a Bad Credit Mortgage in Canada with Turnedaway.ca
To sum up, when you work with Turnedaway.ca you are getting expert advice from mortgage brokers who deal with bad credit mortgages almost exclusively. For this reason, whether you are looking at becoming debt free, purchasing your first home or converting your equity into cash, you need to make Turnedaway.ca your first choice.
In conclusion, don’t hesitate to give us a call for a free consultation 1-855-668-3074. Speak with a mortgage agent today and start planning your home purchase or debt solution mortgage today! In fact, you can apply online and let us start working on arranging your mortgage today!
We’ve helped a lot of people. See what they have to say!
Marilyn & Bob T
We can’t thank you enough for all your help with our mortgage. We were skeptical about filling out an online application but we had tried several banks and due to our credit, couldn’t find anyone to help us. Getting a call within 15 minutes of submitting our application to go over the application put my mind at ease but my husband and I were both shocked to receive a call the same day with an approval. We are still amazed at everything you did considering how difficult the banks made our situation sound. Again, from the bottom of our hearts thank you so much!
Marilyn & Bob T, Whitby Ontario.
Dave & Sharon S
My wife and I felt completely lost and didn’t know where to go after being declined by our bank of 18 years. We were so relieved once you advised us there are still lenders that value a mortgage based on merits other than just your credit rating. We had never missed a payment on our mortgage for 18 years and to hear our bank say they couldn’t help us even though we owed virtually nothing on our home was heartbreaking. I couldn’t be more grateful that you helped out two complete strangers when nobody else would.
Dave & Sharon S, Ottawa Ontario
I can’t put into words how greatful I am to you regarding coordinating all of the activities in seeing my new mortgage go through. There are several reasons for the appreciation from my side but most importantly it will allow my daughter to continue to grow up in a home and neighborhood that she has identified as being very important to her.
I owned a home for almost 15 years and faithfully renewed at my bank every 5 years. About 14 years into my mortgage my job was terminated and I was forced to rely on credit cards to keep things going. Fortunately I found work after 7 long months but by then my credit had deteriorated and my bank wouldn’t help. I called turnedaway.ca after hearing one of their radio ads and I am glad I did. They bailed me out of a bad financial situation, got rid of all my credit card debt and got me down to one manageable mortgage payment.
John C, Toronto Ontario.