How Long After Bankruptcy Can I Get A Mortgage In Canada?

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How long after bankruptcy can I get a mortgage? In Canada, the waiting period for getting a mortgage after bankruptcy varies on the type of bankruptcy and the lender you are working with. Generally, you may be able to get a mortgage after your bankruptcy has been discharged and you have rebuilt your credit.

Lenders sometimes need two years of clean credit after bankruptcy discharge. Typically, this entails reporting two trade lines totaling $2,500-3000 over the course of 24 months without any negative data. But then again, it is on a case-to-case basis.

Here are some things you can do to boost the chances of lending companies approving your application after bankruptcy:

Keep Rebuilding Your Credit Score

As soon as you get your discharge, start working to restore your credit. Make the most out of this chance.

A credit card is a good way to start working on your credit again after bankruptcy. Make timely monthly payments and settle your credit card balance in full each month. Bills paid on time will not immediately improve your credit score. But, they will signal lenders that you are responsible with your money. This will help you restore your credit score so that mortgage lenders would consider you again in the future.

Get The Right Mortgage

Two years still may not be enough time to guarantee an easy mortgage approval. Some lenders can still be reluctant to lend, and high interest rates might make it difficult to get a mortgage at a reasonable cost.

So, make sure to look around for the right mortgage and lender to prevent you from getting turned down for a loan or paying exorbitant interest rates. In fact, there are mortgage lenders that are willing to work with borrowers who have bruised credit.

Work With A Mortgage Broker

It can be tricky to know where you stand with lenders, banks, and mortgages in the aftermath of bankruptcy and the years that follow.

Getting a mortgage after bankruptcy is not impossible. But, the bankruptcy procedure and ability to bounce back are not easy.

Using a bankruptcy mortgage broker can greatly improve your chances of securing a mortgage post-bankruptcy. They give you access to a wider range of financing options.

Niche mortgage brokers like Premiere Mortgage Centre have extensive industry contacts. We also have access to resources not readily available to the general public.

Working with a broker who is familiar with the necessary paperwork and procedures may simplify the process overall.

family getting a mortgage after bankruptcy

Move forward with Premiere Mortgage Centre

Don’t let your past financial struggles get in the way of owning your future home. It may take a bit of time, but it’s well worth it in the end.

Premiere Mortgage Centre can help you get back on your feet. We’re partnered with leading lenders with programs to assist borrowers like you. If you need assistance rebuilding your credit or taking charge of your finances, your Premiere Mortgage agent can tell you about the options available. Get started by clicking here.