How can I get a 100%, 0 money down mortgage loan without an extensive credit history? We're in Montreal.?

We make $60,000/yr, have about $2000 in credit card debt, and a loan for a used car. We don't have money saved (or anyone that can loan us) except enough to cover closing costs, but we always pay everything on time and already consistently pay $950/mo. in rent. My credit score is 637 and my wife's is 680 due to not having an extensive credit history. The bank keeps turning us down for 100% financing saying we need either a co-signor (w/ awesome credit) or 5% down. We are looking for a $167,000 loan so we ould need $8,350.00 which we don't have. We know we can afford the payments, but what else can we do? Are there better lenders out there? Is there a way to borrow the money for the down payment without the bank holding it against us?

P.S. We've only tried Banque Laurentienne, where we do our banking.

Talk with a mortgage company not a bank.. My credit score is in the mid-600s and I've been approved for a 100% financed loan at about 6% interest. Check other companies! Also... I'm not considered a sub-prime borrower either., so I don't see why you would be considered one either.

sorry can't help but we are going through the same thing at the moment,it is so frustrating if we can afford to pay rent of $850 a month surely we would be able to afford a mortgage for a lot less.hope you find something.

Fantasy land mortgate corp.


Seriously, have you been watching the news. Mortgage lenders are getting killed with high risk loans like that and are really tightening their belts. Not to mention the fact its really not smart to go into a home with zero equity. Wait till you can get a 10% downpayment and build a little credit history.. you will be alot happier.

I'm a mortgage broker from Edmonton, Alberta. You have a few options either try and borrow the down payment from a lender and apply for a flex down mortgage, this requires a lower beacon score (680 for 100% loan with "A" lender). Go to a "B" lender and get 100% financing @ a rate of 6.9% for a 3yr term. This one is my favourite you go to your bank and ask for a RRSP loan, place the RRSP in a very low risk investment. The RRSP has to be in place for 90 days, then you can withdraw the money and use for your down payment as long as you are a first time buyer. You can either ask your bank for a loan or line of credit it all depends on your debt service. Another bonus is that when you file your taxes next year you will have the added bonus of claiming the RRSP on your tax claim. You can then use your tax rebate to help pay down your loan.