It’s a great time to buy a condo in Toronto. The market has started to shift a little in favor of buyers. The Economist just ranked Toronto as one of the world’s top 5 most livable cities. Statistics Canada consistently notes that Toronto has the lowest crime rate of any Canadian city with a population greater than 500,000, which makes Toronto one of North America’s safest cities. And, Toronto continues to uphold its reputation as the “City Within a Park,” close to nature and full of leisure opportunities.
At the same time, changes in the Canadian lending environment have made it harder than ever to get a traditional mortgage. Many would-be condo owners are finding themselves turned down by banks, even if they would have sailed through the approval process a few years ago. Additionally, the rise of “orphaned mortgages” means that some sub-prime borrowers who thought their homes were safe now find themselves kicked to the curb by their lenders.
It’s a fact of life: being approved for a mortgage is a wonderful moment, but being denied can be devastating. For homeowners who face foreclosure or Power of Sale due to changes in the market or unfortunate life events, the problem is just as serious if not more. Where can you find the financing you desperately need?
Homeowners have been taught that the only two places to look for a mortgage are credit unions and banks. If these turn you down, there is very little opportunity for appeal. But where else can you go?
Enter Home Owner Soon. We specialize in taking you from “denied” today to “approved” soon. If you are facing foreclosure we can find you financing now, regardless of your credit, and let you keep your home. Then, over the next few years we will help you restore your good credit so that you can move back into a traditional lender — and enjoy all the benefits of a healthy credit score.
The program that allows you to do this is our Rent to Own Condos Toronto program, and here is a brief summary.
Our Lease Purchase Program starts with a down payment as little as $ 10,000 down if you are Purchasing a New Home. If you are a current Home Owner and are facing Power of sale/Foreclosure…we can use the existing equity in your home. You should be prepared for additional closing costs such as Independent Legal Advice (ILA), appraisal and home inspection and possibly a broker fee if you are being referred in through a Mortgage Agent.
In Purchase situations these costs are out of Pocket, in Refinance situations, these costs may be able to come from the existing equity in your home.
If you are transitioning from a renter, consider our Purchase Program as Home ownership Boot camp helping you easily transition from renting to owning. As a home owner, you have to consider additional cost such as property tax, house insurance and other cost in your budget you might not be accustomed to when you are renting.
Home Owner Soon’s program helps you budget and prepare for the extra cost so you are best prepared moving forward. Also if your credit is damaged, our Compass Credit Management program will give you the guidance needed to correct any credit issues, build a new credit rating and put you in a position to qualify for a future mortgage.
Please note, Lease Purchase Payments are higher than normal rental payments as up to 20% of the monthly cost is added to your initial down payment to put you in a prime qualifying position with your Bank and CMHC. Our underwriting guidelines mirror all the major banks so you are confident to exit at the end of the term.
If you are an existing Home Owner facing Power of Sale/Foreclosure, your transition process will be from an owner to a tenant and back to an owner at the end of the Lease Purchase Program. As with the Purchase program, our Buy Back program will enroll you in our Credit Compass program to resolve any credit challenges you are currently facing.
Our Lease Purchase Buy Back program allows you and your family to escape Power of Sale/Foreclosure, press the reset button and get a fresh start!
In other words, the Rent to Own Condos Toronto program gives you financing now and allows you to put a portion of your monthly rent towards a future down payment and a traditional mortgage. At the same the program is designed so you will exit with good credit, no matter where you currently stand.
The benefit is simple: if you are self-employed, have damaged credit, are a new immigrant, or some other reason, banks may not be willing to write you a mortgage. However, we are, and we know how to help you arrange your finances so you will qualify for a mortgage soon.
Am I Eligible For The Rent to Own Condo Toronto Program?
Your credit score does not matter with Home Owner Soon. We accept people regardless of their credit history. However, we do not believe in taking on people whom we cannot help in the long term. Simply finding you short-term financing would do you no good if we could not also help you transition to a traditional long-term mortgage at the end of the program.
Therefore, we have a 9 step system that ensures you will not only be able to move into or keep your condo now — it ensures you will also be able to “exit” the program successfully later.
If you are looking for a new condo, the process begins when you choose one using your own Realtor or, if you prefer, one of our associate Realtors. (We will never force you to choose from a “menu” of properties.)
After you are approved by the Underwriting Department and various administrative processes have completed, you will take the paperwork to your own lawyer for an independent opinion. This is not optional; we require you get Independent Legal Advice in order to make sure your interests are protected and you fully understand how the program works.
Finally, after all is said and done you move into your condo (or exit the foreclosure process) and we begin the process of helping you prepare to get a traditional mortgage.
The bottom line is simple: no matter how bad your credit may be, we can help! Call one of our professionals now.
Or, if you prefer, you can also apply online below.