At Canada Guaranty, our goal is to make it easier for you to find the right solutions for your borrowers. To view suggested products and applicable underwriting guidelines, simply locate the appropriate type and category of product that most accurately meets your borrower's needs. At Canada Guaranty, we're taking mortgage insurance and making it better.
Low Down Payment
- Downpayment Advantage™
Borrowers who have at least 5% down payment can take advantage of Canada Guaranty's low mortgage insurance premium rates.
- Flex 95 Advantage™
Borrowers with a strong credit history can use alternative forms of down payment, including lender cash-back programs.
New to Canada
- Maple Leaf Advantage™
Provides new immigrants with an opportunity to purchase a home with as little as 5% down.
Home Improvement / New Construction
- Purchase Advantage Plus™
Borrowers purchasing a home with the intention of making value-added improvements to the property can now include those costs in their first mortgage.
- Progress Draw Advantage™
Borrowers who are constructing a new home or making major renovations to an existing property will benefit from this program. Both contractor-built and self-built projects are eligible under the insured Progress Draw Advantage.
- Downpayment Advantage™
Self-employed borrowers can utilize the Downpayment Advantage when providing supporting income documentation for a minimum 5% down payment. Canada Guaranty guidelines for self-employed borrowers allow for a 15% gross-up of the last two-year average from Line 150 on the Notice of Assessment.
- Low Doc Advantage™
This product is designed for borrowers who are self-employed. The Low Doc Advantage allows borrowers to obtain mortgage insurance with limited documentation.
Investment (non-owner-occupied) / Second Home Properties
- Rental Advantage™
The Rental Advantage allows borrowers to purchase investment properties in a fast, efficient and cost-effective manner.
- Lifestyle Advantage™
Buying a second home or vacation property just got easier with the Lifestyle Advantage. Borrowers with a strong credit history can now purchase a second home with as little as 5% down.
- Portable Advantage™
Canada Guaranty helps take the worry out of moving with the Portable Advantage. Borrowers with a Canada Guaranty-insured mortgage are eligible to transfer their mortgage insurance anywhere in Canada.
- Energy-Efficient Advantage Program
The Canada Guaranty Energy-Efficient Advantage program rewards borrowers who purchase an energy-efficient home or choose to renovate for energy efficiency purposes to save on their energy bills, all the while contributing to the betterment of the environment.
IMPORANT UNDERWRITING GUIDELINE CRITERIA
i) Gifted Down Payments
- A gift from an immediate family member is acceptable, provided it is non-repayable. Canada Guaranty requires a gift letter that states the gift amount, date the gift will be given, donor's name and address, relationship to borrower, and confirmation that no repayment is expected.
- In general, gifts from an immediate family member are an acceptable form of down payment for borrowers with 620+ credit scores. For credit scores less than 620, partially gifted down payments are eligible, provided the borrower has a minimum of 5% equity from their own resources.
ii) Self-employed Borrowers: Gross-up of Income
Any borrower with 25% or more interest in a business is considered self-employed. Income may be confirmed with the following documentation:
- Personal income tax returns for the past two years with supporting Notices of Assessment. An average of the last 2-years is required to qualify.
- A 15% gross-up of the last two-year average, from Line 150 on the Notice of Assessment for self-employed applicants, will be permitted.
- As an alternative to the use of the 15% gross-up, non-cash expenses, such as capital cost allowance, depreciation and business use of home, can be added back to the net business income of self-employed applicants.