Non-resident purchasing guidelines.

Clients that are on work permits or student permits and have been in Canada longer than 5 years have very limited lender options. Genworth and Canada Guaranty will not insure the mortgage when an applicant has been in the country longer than 5 years and has not yet obtained their permanent residency status. If the applicants are putting down less than 20% that leaves us with CMHC, and we all know their qualifying guidelines (e.g., debt service ratios) are more stringent than the other two insurers. Even though CMHC is okay with this scenario, the majority of lending institutions will still not lend to clients who have been in Canada longer than 5 years that do not have their PR. Also note that most lenders will want the applicants to have at least 6 months remaining on their work permits following the possession date. I do have several lenders that will look at the file even if the clients have been here longer than 5 years, but they need to be strong on paper. If you have clients on work/student permits, I will gladly review their documents with them and let you both know their options.