How can I buy a house with zero down payment?

March 20, 2009 · 8 comments

0 down payment for mortgage

Lately, I’ve been getting some inquiries regarding the option of buying a house with no down payment. In reality, there are no more ‘zero down’ mortgage programs available. However, there is a program that exists that is very similar and that can help you purchase a property with no money as a down payment.

It’s called a free down payment mortgage, and essentially the bank offers to pay your 5% down payment on your behalf when you qualify for a 5 or 7 fixed year mortgage. What will you need to qualify?

An employment record of at least 1 year at your current job
A credit score of at least 640

The current rate for a 5 year fixed zero down payment mortgage is 5.50%.

If you’d like more information on this program or would like to apply for a pre-approval, you’re welcome to contact me here.

This post has 8 comments

lang
Hi Janette, Please check your email. Thanks! Lang

janette
Hi lang, I have been renting since i arrived in canada less tha 2 years ago, since i started to work 3 months ago im seriously thingking of purchasing a house but my annuall income is only 26,000 unfortunately my childtax benifits (about 19,000) cannot be included when applying for a mortgage, i have a pretty good credit i believe, but does this mean i cannot buy a home until i get paid at least 20 per hour?

{ 8 comments… read them below or add one }

1 Virna April 3, 2009 at 3:31 pm: Hey Lang, I have a question, is this program for real or is it a get the client through the door and then tell them to go for something else?
i have not heard about it from anywhere else and it just feels like there is more to it?
i hope you don’t mind me asking?
2 lang April 5, 2009 at 3:36 pm: Hey Virna

This program is absolutely for real. It’s a great alternative for people who are looking to purchase a property with no payment but excellent credit. It’s being offered by Scotia Bank. Details of the program are right here:

http://scotiabank.com/cda/content/0,1608,CID10969_LIDen,00.html

Lang
3 niinii October 14, 2009 at 1:18 pm: hi im lookin to buy a 3 bedroom home without down payment plus i have a bad creit score. What should i do?
4 Meg Rigden October 17, 2009 at 6:36 pm: I just wanted to say thanks for the link… I don’t know if my husband and I will be eligible, but it’s nice to know we can try! THANK YOU!
5 lang October 19, 2009 at 1:45 pm: You’re most welcome, Meg. Glad the article was helpful.
6 lang October 19, 2009 at 1:49 pm: Hi Niinii

Unfortunately, there really isn’t much you can do unless you can find someone to co-sign on the deed that has good credit. Lending institutions are looking for either a large down payment, or an employment record with a good credit score. An individual who has no down payment and bad credit history is unlikely to find any lender that will take a chance on a mortgage.

Lang
7 janette September 2, 2010 at 2:42 pm: Hi lang,

I have been renting since i arrived in canada less tha 2 years ago, since i started to work 3 months ago im seriously thingking of purchasing a house but my annuall income is only 26,000 unfortunately my childtax benifits (about 19,000) cannot be included when applying for a mortgage, i have a pretty good credit i believe, but does this mean i cannot buy a home until i get paid at least 20 per hour?
8 lang September 2, 2010 at 9:09 pm: Hi Janette,

Please check your email. Thanks!

Lang