Best US Loans for Canadian Home buyers
Get your new home, vacation spot or investment in thecountry next door quick and easy
Reasons for buying a property in the US
- Vacation home - 47%
- Vacation and rental - 24%
- Residential rental - 13%
- Primary residence - 12%
- Student use - 1%
Trends for Canadians buying homes in the US
- Nearly 9,000 Canadian citizens bought homes in the US last yea
- Canadian buyers spent $4.2 billion on home purchases in the US
- Housing shortage in Canada raises residential pricing
Why use a mortgage to buy a property in the US
- Many Canadian lenders also operate in the US
- Cross-border mortgages for Canadian citizens buying in the US
- Better foreign national interest rates for Canadians
- Get quicker loan approval with Canadian score credit
- No early repayment fees with select US lenders
- Reduce foreign exchange losses, pay when the rates are favorable
Use the HELOC programme to your advantage
- Lower your mortgage closing costs with HELOC
- Use a home equity loan to reduce your interest rates
- Borrow up to 80% of your home equity
- Take out as much as you need, when you need it
- Use a US-based equity to reduce foreign exchange costs
Considerations for new homeowners in the US
One time costs
US and Canadian property taxes have only one time costs
Recurring costs
Property utilities, security, maintenance and community costs
Optional costs
30% withholding tax on rental profits for non-residents
Conditions for mortgage approval
Income or home equity
Use your Canadian or US based income or home equity
Credit score
Use either your US or Canadian credit score
Down payment
Provide a minimum 20% down payment
Rate & term options
Choose your rate and mortgage term (up to 30 years)
Insurance Expense
Pay Home Owner's Insurance (0.35% of property value)
Documentation you might need for approval
| Non-residents living outside the US | |
Canadian documents
|
|
| Tax documents | T1 Income Tax and Benefit Return and Notice of Assessment |
| Investment income | Last two years of T3 and T5 slips |
| Salaried Employees | Last two years of T4 slips. Paystubs for the past 30 days of income |
| Self-employed individuals | Last two years of business returns (T2) for any entity where ownership is 25% or more, with all pages and schedules |
| Retired individuals | Most recent retirement awards letters |
| Proof of citizenship | Copy of passport or a US visa |
| Proof of identity | Social Insurance Number |
| Proof of assets | Account statements for most recent two months per each account you hold* |
| Insurance documents | Current property owners need to provide copies of property tax notice and home insurance premiums for each residential property owned |
| Permanent or temporary residents living and working in the US | |
US documents
|
|
| Tax documents | 1040 U.S. Individual Income Tax Return |
| Investment income | 1040 Schedule B Interest and Ordinary Dividends, and/or Schedule D Capital Gains and Losses |
| Salaried Employees | W2 Wage and Tax Statement of Income |
| Self-employed individuals | 1040 Schedule C Net Profit or Loss from Business, and/or 1065 K-1 Partner’s Share of Income, Deductions, Credits, etc. |
| Retired individuals | Social Security or Awards Pension letter |
| Proof of citizenship | Copy of passport, Green Card or a US visa |
| Proof of identity | Social Security Number |
| Proof of assets | Account statements for most recent two months per each account you hold* |
| Insurance documents | Current property owners need to provide copies of property tax notice and home insurance premiums for each residential property owned |
Mortgage process duration
| Typical process phase | Estimated duration |
|---|---|
| Registration and loan inquiry at Kredium | 5-10 minutes |
| Mortgage pre-approval through Kredium | up to 24 hours |
| Personalized offers from Kredium | up to 24 hours |
| Mortgage application with a lender | 1-5 days* |
| Mortgage processing by a lender | 30-45 days** |
| Mortgage closing with a lender | 1 day |
Contact us
Kredium USA
2020 Silver Creek Rd, Bullhead City, AZ 86442