The number of landed immigrants in Canada who will be achieving permanent residency status in 2023 is expected to be significant, with many individuals and families moving to this great country. Canada has long been a destination of choice for people worldwide, and this year will be no exception.
Canada’s strong and stable economy is one of the main factors driving the influx of permanent residents. The country’s robust job market, high standard of living, and perceived excellent healthcare system make it an attractive destination for immigrants. In addition, Canada’s friendly and welcoming culture, along with its commitment to diversity and inclusion, also plays a role in attracting immigrants.
More and more people are moving to Canada each year. In 2019, the country welcomed over 341,000 new immigrants, which is expected to grow in the coming years. In specific numbers, it’s difficult to predict how many individuals and families will achieve permanent residency status in 2023, but some estimates over the next 12 months put the number at 180,000.
What opportunities are there for your first home in Canada if you have or are about to obtain your Permanent Resident Status?
Origin- Friedman Mortgage Advisors has access to various robust mortgage financing options targeted to new Canadians.
These programs could make the difference in potentially getting a home that barely meets your needs or getting a home that meets your needs for years to come.
The program above could substantially increase the amount you could borrow based on the qualifying guidelines. Below is an example of our client who recently used the program.
Mr. & Mrs. Tsang moved from Asia, had just received permanent residency status, had two children, and wanted to purchase a three-bedroom home. They both had a combined income that would only qualify them for a mortgage amount of $300,000[i] and, with their down payment, allowed them only to purchase a home of $525,000[ii] based on traditional qualifications.
The issue was in the area they wanted to live in; there were no suitable three bedrooms at or below $560,000.
However, they had additional savings of $13,000 above their downpayment.
Based on this specialized program and meeting the requirements, Mr. & Mrs. Tsang purchased a home for $750,000, allowing them to buy a home that suited their needs now and into the future.
A Real-Life Story
The Huang family immigrated from Singapore with some good savings. Both Mr. & Mrs.Huang had established new jobs in the high-tech industry but were not at the pay level related to their mortgage needs with their experience due to tenure in their new companies.
Mr. & Mrs. Huang also contemplated opening up their own business within a few years in their specialized industry. This potential business would require a substantial investment, and they did not want to allocate all of their savings toward a down payment.
The home they wished to purchase was $1,500,000, but based on their current incomes, they would only qualify for a home valued at $1,100,000.
This plan allowed them to qualify for the mortgage with a 35% down payment and retain their additional capital in savings for what will eventually be their new business in Canada.
If you would like to discuss the above, you can book an appointment at https://calendly.com/canadamortgageprofessional/15-min
Michael Friedman is a 33-year tenured mortgage professional ranked in the top 2% in Canada.
[i] Based on current rates and qualifications as of February 13, 2023.
[ii] Based on current rates and qualifications as of February 13, 2023.
**Programs available to landed immigrants who have received their permeant resident status within the last five years.