Non-Resident Mortgages

Living abroad, but want to buy a house in Canada?

Recent federal restrictions now combine with tighter eligibility requirements for a foreign buyer — but you may have options.

Foreign Buyers Ban amended, and now extended to 2027

Those with permission to work in Canada and a valid work permit can buy a primary residence (other details apply).
Ban exceptions include permanent residents, refugees, and temporary workers (though with eligibility requirements that apply to home buying).
Read more here. Have questions? Give us a call today.

Looking to own a home in the land of the North?

If you're a Canadian living abroad or considered a non-resident for tax purposes, buying a home in Canada comes with a different set of mortgage rules. Lenders weigh foreign income and credit differently, and recent restrictions on foreign buyers can make the process feel even more complex.

We can walk you through your details and identify options that could work for you. Our brokers understand the ins and outs of non-resident mortgage requirements and can show you what's available — and help guide you through a straightforward and stress-free process.

Here's what's involved if you want to buy a home in Canada as a non-resident.

Key Points:

Foreign (non-resident) home buyers face federal restrictions in Canada that vary by location.
Lenders have separate non-resident mortgage requirements; not all lenders offer this product.
Qualification uses foreign income and credit.
Higher down payments typically apply (20% for the U.S. and 35% for other countries)
Gifted funds aren’t allowed; proof of own resources required
Mortgage rates for non-resident mortgages are often higher, depending on the lender.

How is a non-resident defined?

A non-resident is not the same status as a non-permanent resident or a temporary worker, who live and often work (legally) in Canada.

A non-resident, by contrast:

Does not live in Canada, or does not live in Canada most of the year (often under 183 days)
Does not file taxes as a Canadian resident.
Does not hold a work permit.
Typically buys property from abroad.
Falls under foreign-income and foreign-credit rules with lenders.

Non-Resident vs Non-Permanent Resident Mortgage Differences

	Non-Resident	Non-Permanent Resident
Residence	Does not live in Canada, or lives in Canada under 183 days; considered a non-resident for tax and mortgage purposes	Lives in Canada on a valid temporary status such as a work permit, study permit, or other authorized stay
Purchase a home?	Yes, but limited to specific areas and subject to lender approval criteria.	Yes, depending on residency status and home purchase and financial details.
Income and credit	Uses foreign income and foreign credit history	May have Canadian income and Canadian credit history, depending on their permit and length of stay
Mortgage rules	Stricter qualification; separate lender policies; additional documentation	Often qualifies under more standard lending rules if income, credit, and down payment meet guidelines
Minimum down payment	Typically higher (often 35%+, lender dependent)	May access lower down payments, especially with insured mortgage options, depending on eligibility
Mortgage insurance eligibility	Not eligible for insured mortgages	May qualify for insured mortgages depending on details and program rules
Mortgage rates	May face higher rates or rate premiums, depending on lender policies and file details	Can often access lower insured rates if income, credit, and down payment meet guidelines

How does being a non-resident affect getting a mortgage?

Federal restrictions under the Foreign Home Buyer's Ban, now extended to 2027, mean non-resident buyers may be ineligible to purchase homes in many Canadian centres, though some areas remain excluded. On top of that, lenders have their own rules for non-resident mortgages — and not all lenders offer this type of financing.

But it doesn't mean a mortgage is entirely out of reach. Every situation is unique, and we'll help you understand your options and, where possible, identify the best fit and timing for your purchase.

Are mortgage rates higher for non-resident home buyers?

Yes, non-resident mortgage rates are typically higher than those offered to Canadian residents, depending on the lender.

A rate premium is added to account for increased risks associated with foreign income and credit, as well as tighter verification requirements (while other lenders may not offer this type of lending).

Rates can vary by lender, home location, mortgage application strength, and down payment size.

As a non-resident, do you need to pay a foreign buyer's tax?

In provinces that apply them, yes. Provincial foreign buyers' taxes (Non-Resident Speculation Tax, or NRST) typically apply to most non-resident buyers of residential property, unless they qualify for an exemption.

Some provinces that currently apply this tax are:

Ontario – 25% of the purchase price (province-wide)
British Columbia –20% in specified regions
Nova Scotia – 5% in some areas

Provincial rules are subject to change, and other provinces may enact these taxes.

You may be exempt if you’re a permanent resident, Canadian citizen, or non-permanent resident (i.e. work permit holder) who meets the province’s conditions (such as living and working there within a set timeframe).

As an eligible non-resident, your loan may require:

Larger Down Payment:

U.S. residents typically require a minimum 20% down payment from your own resources.
If you're living outside Canada or the U.S., you're typically required to provide a minimum 35% down payment from your own resources.
The intended down payment must be available in a Canadian Bank account before the mortgage funding date.
Your down payment cannot be a gift, and proof of funds for the 90 days before financing is also required.
If you already own property in Canada, you're typically required to provide a minimum 35% down payment for your next property.

Proof of Income: A recent paystub, along with a letter of employment from your current employer confirming the length of time at the company, your annual salary (including bonuses), and confirmation that you are not on probation.

Proof of Credit: If a Canadian Credit bureau is not available to you, then an international credit bureau or a letter of reference from your current bank is required.

Availability of Funds: Some lenders may require you to retain a year's worth of mortgage payments in a Canadian bank account before approval.

Our Preferred-Language Selector helps you find a great agent who speaks your language:

Click here: Find Your Agent
In the drop-down menu, select your friendly True North expert based on your preferred language
Give them a call, send them an email, or call our main line for help!

Need a realtor referral? We can provide that too through our trusted, long-standing industry relationships.

Across Canada, we help find solutions that work for you — at your best rates. We care about your mortgage needs, now and in the future.

Can a non-resident get a mortgage in Canada?

Yes, but eligibility is more limited. Not all lenders offer non-resident mortgages, and qualification rules, rates, and down payment requirements are typically stricter.

Is a non-resident the same as a non-permanent resident?

No, these terms carry different status designations. A non-resident usually lives outside Canada for most of the year and does not file Canadian tax returns, while a non-permanent resident lives in Canada on a temporary status, such as a work or study permit.

Can non-residents buy property anywhere in Canada?

No, they can't. Federal rules restrict non-resident purchases in many areas, though some regions (such as recreational centres) may be excluded. Eligibility depends on location, buyer status, and financial details.

Can a non-resident use gifted funds for a down payment?

Not typically. Down payments must come from the buyer’s own verified resources and be held in a Canadian bank account prior to funding.