Mortgage Eligibility and Requirements

Eligible investments

• New purchases and refinances
• Applicable for first, second, and third mortgages

Lending requirements

• Up to 90% loan-to-value
• The lender sets the interest rate, which must be between 2% and 30% (subject to CRA guidelines)
• Borrower must be unrelated and at “arm’s length” as per Section 251/252 of the Income Tax Act

Eligible plan types

• Funds must be lent from a CWB Trust Services self-directed account holding a RRSP, RIF, TFSA, LIRA, or LIF

Appraisal requirements

• A current (within one year) AACI or CRA real estate appraisal, or
• A property tax assessment from the current year

Property requirements

• Mortgages permitted on real property only
• Can be used to purchase residential property (owner occupied, vacation home, or rentals), commercial property, and raw land
• Property must be located in Canada (excluding Quebec)
• Leased land and property is ineligible