VantageVantage

Downpayment Advantage

Low Down Payment Options | 95% LTV and Less

Downpayment Advantage™

The Downpayment Advantage program is designed for borrowers who can make a down payment of at least 5% toward the purchase of a home.

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Transaction Types

  • Purchase transactions.
  • Purchase Advantage Plus™ eligible.
  • Portable eligible.

Amortization

  • Maximum 25 years; or
  • Maximum 30 years for first-time homebuyers purchasing a newly constructed home.

Loan-to-Value Criteria

  • 95% for Purchase: 1-2 units
    • Purchase Price ≤ $500,000: Minimum 5% down payment required.
    • Purchase Price > $500,000 and < $1,000,000: Minimum 5% down payment required on the first $500,000 of the purchase price, plus an additional 10% down payment required on the portion of the purchase price above $500,000.
  • 90% for Purchase: 3-4 units

NOTE: Maximum LTV is subject to adjustments based on local housing market conditions.

Interest Rate Types

  • Fixed, standard variable, capped variable and adjustable rate mortgages permitted.
  • Borrower(s) must qualify at an interest rate that is the greater of the contract mortgage rate plus 2%, or 5.25%.

Property Types

  • Maximum property value must be less than $1,000,000.
  • Maximum 4 units, with 1 unit owner-occupied.
  • Resale or new construction (single advance).

Borrower Qualifications

  • Down payment must be from borrower’s own resources or gifted from a close family member.
  • Standard underwriting guidelines apply.
  • Maximum debt service ratios: GDS 39% / TDS 44%

Documentation Requirements

  • Standard documentation.

Applicable Premiums

Loan-to-Value Ratio Single Premium  Top-up Premium  > 25 Year Amort. Single Premium  > 25 Year Amort. Top-up Premium
< 65% 0.60% 0.60%
65.01% – 75% 1.70% 5.90%
75.01% – 80% 2.40% 6.05%
80.01% – 85% 2.80% 6.20% 3.00% 6.40%
85.01% – 90% 3.10% 6.25% 3.30% 6.45%
90.01% – 95% 4.00% 6.30% 4.20% 6.50%

NOTE: Mortgage insurance premiums are non-refundable.

Last Updated: 08/2024