Bad Credit Mortgages

True North Mortgage is known for offering the lowest mortgage rates in Canada. But many people think we only help good credit clients. Not true! We can help you with challenged credit if you have some equity in your home.

We're experts in finding creative mortgage options.

The cost of a mortgage for an individual with bad credit will inevitably be higher than the same loan for a good credit individual. But that doesn’t mean poor credit clients have zero options.

A True North Mortgage broker can help make sure that you have the best offer for your situation, and take you through all the ins and outs of securing the right mortgage product.

While we won't be able to offer the ultra-low rates advertised on our homepage, we can likely save you thousands of dollars over the lifetime of the mortgage, plus help you rebuild your credit.

Rebuilding your credit

Getting a mortgage and consistently making the payments is a great way to rebuild credit. As it starts to improve, we can reassess and determine the best time to move into a more typical, lower rate mortgage.

Dealing with bankruptcy? Read our blog post How Bankruptcy Can Affect a New Mortgage for advice on getting back on the credit track.

What constitutes bad credit?

Credit scores ranges from 300-900. If your credit score is below 600, finding a lender is more challenging. Lenders will need assurances that they will get repaid and you may face higher rates and additional fees. You may also need a larger down payment.

Tips for getting the best mortgage when you have poor credit:

  • Be able to show a steady income
  • Have a larger down payment
  • Have substantial equity in the home when refinancing
  • Prepare your home for a full appraisal