Buying Canadian property from abroad? Financing is available — if you buy where you legally can.
Non-residents and foreign nationals can finance eligible Canadian property, typically with 35% down. The catch is eligibility: we map the federal foreign-buyer ban exemptions and provincial taxes before you commit.
Typically 35% downBan exemptions mappedProvincial tax guidanceCanadian-account fundsWork-permit exemptionsCross-border coordination
Financing Canadian real estate as a non-resident isn’t the hard part — eligibility is. Since January 2023 the federal Prohibition on the Purchase of Residential Property by Non-Canadians Act has restricted who can buy residential property, and it’s currently extended through the end of 2026. But the ban is narrower than the headlines suggest: it has real exemptions (certain work-permit holders, specific property types, and properties outside the larger census areas), and it doesn’t touch most commercial property. On top of that, provinces layer their own non-resident taxes. We make sure you’re buying something you’re actually allowed to buy, then arrange the financing — which for non-residents typically means about 35% down.
What you get
Why Canadians choose Mortgage Squad Advisors.
Mortgage financing for non-residents and foreign nationals on eligible property
Typically up to 65% loan-to-value (about 35% down) for non-resident purchasers
We map the federal foreign-buyer ban exemptions to your exact situation before you offer
Guidance on provincial non-resident taxes (Ontario NRST, BC speculation/foreign-buyer tax)
Work-permit and certain temporary-resident exemptions assessed individually
Commercial and certain multi-unit properties generally fall outside the residential ban
Funds-source and reserve requirements explained up front — no surprises at the lawyer
Coordination with your accountant or immigration counsel where the file needs it
Path mapped to refinance on better terms once you establish Canadian residency or credit
All lender + broker fees disclosed in writing upfront
Instant check · no credit pull
Which newcomer program fits you?
Status drives the program, the down payment, and whether foreign-buyer rules apply.
Before anything else, we confirm whether you can legally purchase: your status (foreign national, work-permit holder, etc.), the property type, and its location relative to the ban’s defined areas. This step protects you from a void purchase and the penalties that come with breaching the Act. We’ll tell you plainly if a property is off-limits.
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Structure the financing
For eligible files we arrange non-resident financing — typically around 35% down, with documented source of funds (often required to be in a Canadian account ahead of closing) and reserves. We disclose rate, term, and fees in writing and pick the lender most comfortable with non-resident files in your situation.
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Close + plan ahead
Your lawyer closes the purchase and we set a review for the moment your circumstances change — establishing residency, building Canadian credit, or the ban sunsetting — so we can refinance you onto stronger terms when you qualify.
Am I a non-resident, a newcomer, or a permanent resident — and why does the difference matter?
These three labels carry very different lending and tax consequences, so it’s worth getting yours right before you shop. A non-resident is someone who lives outside Canada and doesn’t hold permanent residency — typically a foreign national buying from abroad or on a short-term visa. A newcomer has arrived to live here (often on a work or study permit, or as a recent landed immigrant) and is building a Canadian life and credit file. A permanent resident is, for most lending and ban purposes, treated like a citizen — PRs are not non-residents.
The distinction drives everything downstream: down-payment minimums, which lenders will look at your file, how your foreign income is verified, whether the federal foreign-buyer ban applies to you, and which provincial taxes you owe. Calling yourself the wrong category — or assuming a permit makes you exempt — is the single most common reason a non-resident purchase stalls at the lawyer’s office. If you live in Canada already, our New to Canada page is likely the better starting point.
Is there really a ban on foreigners buying property in Canada?
Yes. The federal Prohibition on the Purchase of Residential Property by Non-Canadians Act restricts non-Canadians from buying certain residential property, and the government has extended it beyond its original window. We deliberately don’t quote a hard expiry date here, because that timeline has already been moved once and can change again — what matters is the rule in force on your closing date.
The ban is narrower than the headlines imply. It carries real exemptions: permanent residents are generally not caught, certain work-permit holders and temporary residents who meet specific conditions can qualify, and the prohibition is aimed at residential property — much commercial real estate and many properties outside the larger census metropolitan and agglomeration areas fall outside it. The conditions attached to each exemption are precise and have been amended since the Act took effect. So we don’t assume — we assess your status, the property type, and its location against the current rules before you make an offer, and we tell you plainly if a property is off-limits. You should always confirm the exemptions that apply to your exact situation.
How much down payment do I need, and how do I prove foreign income?
If you’re eligible to buy, expect to put down more than a domestic buyer. Most non-resident programs cap financing at roughly 65% loan-to-value — about 35% down — and lenders generally want that down payment plus closing costs and reserves sitting in a Canadian account ahead of closing. The exact threshold varies by lender, property type, and your profile, so we confirm your number early rather than at the offer table.
Foreign income is verifiable, just more involved. Lenders typically ask for employment letters, pay records or business financials, and tax documents — often translated and sometimes notarized — alongside clear evidence of where your down payment came from. That source-of-funds piece is not optional: under FINTRAC anti-money-laundering rules, both we and the lender must document the origin of your funds, which means a clean paper trail from salary, sale of an asset, or gift through to your Canadian account. We package this carefully up front so the lender can say yes the first time instead of circling back for one more document.
What are NRST and the other provincial foreign-buyer taxes?
These are separate from the federal ban and from your mortgage — they’re provincial land-transfer surtaxes layered on top of what eligible non-residents pay. In Ontario, the Non-Resident Speculation Tax (NRST) applies at 25% and covers the whole province on residential purchases by foreign nationals, foreign corporations, and taxable trustees. In British Columbia, the additional property transfer tax — the foreign-buyer tax — runs at 20% in the designated regions, on top of BC’s separate speculation and vacancy tax.
These rates are large enough to change whether a deal makes sense, so they belong in your budget from day one, not as a closing surprise. Rebates and exemptions exist in some cases — for instance where a buyer later becomes a permanent resident within a set window — but the rules are detailed and change, so we flag which taxes apply to your purchase and direct you to confirm the current rate and any rebate eligibility with your real-estate lawyer or accountant before you commit.
Which lenders finance non-residents, and how do you handle my file?
Not every lender touches non-resident files — the national generalists are often weakest exactly here — but a meaningful subset of banks, credit unions, and specialist lenders actively lend to eligible non-residents on the right property. We don’t name lenders on a public page because appetites and programs shift, but as an FSRA-licensed brokerage (#13737) with access to 100+ lenders, we match your status, income source, and property to the institutions most comfortable saying yes.
Where we earn our keep is the file itself. Non-resident applications fail on documentation, not on creditworthiness — mismatched translations, an unexplained transfer, a missing reserve. We assemble the income evidence, handle FINTRAC source-of-funds documentation, and present a clean package the underwriter can approve without a back-and-forth. And because our clients buy from around the world, we work in 50+ languages, so nothing is lost between your documents and the lender’s requirements. Every lender and broker fee is disclosed in writing before you commit.
FAQ
Common questions, answered.
Don’t see yours? Ask Maya — instant answer, any time.
Can a non-resident even buy property in Canada right now?
It depends on three things: who you are, what the property is, and where it’s located. The federal ban (in effect since January 2023 and currently extended through the end of 2026) restricts non-Canadians from buying residential property — but it carves out exemptions for certain work-permit holders and temporary residents, and it doesn’t apply to many property types or to homes outside the larger census metropolitan and agglomeration areas. We assess your specific situation before you make an offer — this is exactly the step that protects you.
How much down payment do I need as a non-resident?
Most non-resident mortgage programs require about 35% down (roughly 65% loan-to-value). Lenders also typically want to see the down payment and closing funds in a Canadian account ahead of closing, plus reserves. The exact requirement varies by lender, property, and your profile — we’ll confirm your number early.
What about provincial foreign-buyer taxes?
Several provinces impose their own taxes on non-resident purchasers — for example Ontario’s Non-Resident Speculation Tax and British Columbia’s additional property transfer tax and speculation/vacancy tax. These are separate from the federal ban and from your mortgage. We flag the ones that apply to your purchase and recommend you confirm the current rate with your lawyer or accountant, since they change.
I hold a Canadian work permit — am I exempt from the ban?
Possibly. The Act exempts work-permit holders who meet specific conditions (such as having enough time remaining on the permit and meeting tax-filing requirements), among other categories. The conditions are precise and have changed since the Act came into force, so we assess your permit and status individually rather than assuming. If you’re a newcomer settling in Canada, our New to Canada page may also be a better fit.
Can I get financing for commercial or multi-unit property?
Generally yes — the residential ban is aimed at residential property, and commercial real estate and certain larger multi-unit buildings typically fall outside it. Non-resident commercial financing has its own structure and down-payment requirements, which we’re happy to walk through.
How do lenders verify my income from another country?
Non-resident lenders are used to foreign income. They’ll typically want employment or business documentation, often translated and sometimes notarized, plus evidence of the down-payment source. Because verification is more involved than a domestic file, we package it carefully so the lender can say yes the first time.
Will I pay a higher interest rate?
Non-resident files can carry a modest premium and stricter terms than a domestic A-lender mortgage, reflecting the added verification and risk. The gap is usually smaller than people expect on a well-documented file. We shop the lenders most comfortable with non-resident lending to keep your rate competitive.
What happens when the foreign-buyer ban expires?
The federal prohibition is currently legislated to run through the end of 2026. If it lapses as scheduled, the eligibility picture for non-residents opens up — but timelines like this can be extended or changed by the government, so we work with whatever rules are actually in force on your closing date, never an assumption about the future.
Can I refinance later once I move to Canada?
Yes — and it’s usually the goal. Once you establish Canadian residency and build domestic credit, you can refinance out of non-resident terms into mainstream A-lender pricing with a lower down-payment threshold. We set that review up front so you’re not stuck on non-resident terms longer than necessary.
