Challenged credit doesn't mean you can't own a home. Discover alternative mortgage solutions and proven strategies to rebuild your credit and qualify for better rates.
Different mortgage solutions for different credit situations
Traditional lending with strictest requirements
More flexible qualification criteria
Short-term bridge to better credit
| Criteria | A-Lenders | B-Lenders | Private |
|---|---|---|---|
| Interest Rate | 5-7% | 7-10% | 8-15%+ |
| Credit Score Min. | 680+ | 550-680 | Any |
| Down Payment | 5-20% | 15-20% | 20-35% |
| Income Verification | Full Docs | Alt Docs OK | Flexible |
| Lender Fees | None | 1-2% | 2-5% |
| Typical Term | 1-5 years | 1-3 years | 6-24 months |
Even with credit issues, homeownership is possible
Discharged bankruptcy or completed consumer proposal can make traditional lending difficult.
Solution:
B-lenders available 2+ years after discharge. Private lenders can help immediately with 25%+ down payment.
Recent late payments on credit cards, loans, or previous mortgages.
Solution:
Letter of explanation + 6 months clean payment history can qualify you with B-lenders. Private lending always available.
Outstanding collections, tax debts, or legal judgments on your credit report.
Solution:
Pay off or negotiate settlements. Some B-lenders accept with repayment plans. Private lenders look at equity, not collections.
Credit cards maxed out or carrying balances over 30% of limits.
Solution:
Pay down balances below 30% before applying. Consider debt consolidation through refinancing. B-lenders more forgiving.
New to Canada, young borrower, or never had credit before.
Solution:
Newcomer programs accept international credit. Alternative docs for income. Larger down payment helps. Co-signer option.
Difficult to prove steady income through traditional documentation.
Solution:
Stated income programs with B-lenders. Bank statement mortgages. Private lenders focus on equity not income.
I understand that life happens - job loss, medical issues, divorce, or simply past mistakes. My role is to find you a mortgage solution today and create a plan to improve your credit for better rates tomorrow. Every situation is unique, and I'm here to help navigate yours.
Your roadmap from alternative lending to prime rates
Start with a B-lender or private mortgage based on your current credit situation.
Perfect payment history is the #1 factor in rebuilding credit.
Actively work to improve your credit profile.
With improved credit, switch to A-lender at renewal.
35% of your credit score. Never miss a payment.
30% of score. Keep balances below 30% of limits.
15% of score. Keep old accounts open.
10% of score. Limit new credit applications.
Let's find you a mortgage solution today and create your credit improvement plan.