Can I Get a Private Mortgage in Ontario as a New Immigrant to Canada?

Yes: Stonefield Capital offers private mortgages in Ontario to newcomers to Canada, approving on property equity and exit strategy rather than Canadian credit history.

What Is a Newcomer Private Mortgage?

A newcomer private mortgage is a short-term, interest-only loan secured against Ontario real estate, designed for borrowers whose Canadian credit and income history is too short for a bank. A conventional bank mortgage qualifies on Canadian credit score, employment history, and tax filings. A private first mortgage from Stonefield Capital qualifies on the equity in the property and a clear exit plan instead. Terms run from 1 to 12 months, giving borrowers time to build the Canadian history a bank will eventually require.

Why Do Banks Decline Newcomers?

Canadian lenders rely on bureau scores built from Canadian credit accounts and Notice of Assessments (NOAs) filed with the CRA. A newcomer may have an excellent financial record abroad but arrive with no Canadian credit file and no NOA on record. Most banks' automated systems decline the file before an underwriter reviews a single asset. The property's value and the borrower's ability to repay or refinance play almost no role in that decision.

How Does Stonefield Capital Underwrite a Newcomer File?

Stonefield Capital starts with the property: how much equity exists, and what is the realistic exit within the term. Where a Canadian NOA exists, it is always requested, primarily to confirm there are no large CRA arrears that could threaten the property. Foreign income history, overseas bank statements, and employment letters from a Canadian employer may also be requested to provide context for the file. Missing Canadian income documents do not automatically decline a deal; the underwriting weight stays on equity and exit.

What Documents Help a Newcomer's Application?

• Most recent Canadian NOA, if one has been filed
• Foreign tax returns or income statements from the prior country of residence
• Canadian or international bank statements (3–6 months)
• Canadian employment letter or contract, if applicable
• Proof of down payment source or existing equity (title search, purchase agreement)

Gaps in any of these documents are common on newcomer files and are noted in the file, not treated as automatic declines.

Is an Appraisal Required?

In most cases, no. Stonefield Capital runs its own comparable-sales analysis on the subject property, which saves the borrower a fee and several days of wait time. When the property type or location warrants a formal appraisal, that is flagged at the initial response stage, never at commitment or the last minute. You can read more about how this works in the article Can You Get a Private Mortgage in Ontario Without an Appraisal?

How Quickly Can a File Close?

Stonefield Capital can typically issue a same-day commitment once a complete submission is received. Funding is possible in as little as 48 hours when legal counsel is ready to proceed. The bottleneck on speed is almost always legal preparation, not underwriting. Legal fees are typically approximately $3,000 per transaction.

What Is the Exit Strategy for a Newcomer?

The most common exit is a bank refinance once the borrower has accumulated sufficient Canadian credit history and one or more filed NOAs. A 1 to 12 month private term, with renewal options where the exit plan warrants it, is often enough runway to reach conventional qualification. Some borrowers sell the property within the term; others refinance into a B lender as an intermediate step. The exit must be realistic and documented before a commitment is issued.

What Does Stonefield Capital Charge?

Pricing is based on loan-to-value and position in the mortgage stack. Rates are not fixed numbers; they reflect the specific property, equity position, and file strength. Current indicative rates are published at stonefieldcapital.ca/private-mortgage-rates. During the term, payments are interest-only, which keeps carrying costs manageable while the borrower builds Canadian history.

Does This Work for Purchases or Refinances Only?

Both. Newcomers purchasing a first Ontario home with a down payment — but without the Canadian credit file a bank requires — can use a private first mortgage to close the purchase. Newcomers who already own Ontario real estate and need to access equity or bridge a gap can use a private refinance or private second mortgage in the same way. The qualifying logic is identical in either scenario: equity and exit drive the decision.

Is Stonefield Capital Available Across All of Ontario?

Stonefield Capital lends on residential and eligible mixed-use properties across Ontario only. Deals outside Ontario are not accepted. Properties must be located in Ontario for a file to be submitted.

How Does a Newcomer Borrow Through Stonefield Capital?

Stonefield Capital works through licensed Ontario mortgage brokers. Newcomers who do not already have a broker can complete the connect form on the Stonefield Capital website to be matched with a Stonefield-approved broker. That broker submits the file, manages the commitment process, and is present through closing. Stonefield Capital (FSRA brokerage licence #13722) and Stonefield Mortgage Administration Inc. (FSRA administrator licence #13636) are the licensed entities behind the transaction.

Frequently Asked Questions

Can I get a private mortgage in Ontario if I just arrived in Canada and have no Canadian credit score?

Yes. Stonefield Capital approves private mortgages in Ontario based on property equity and a clear exit strategy, not on Canadian credit score or bureau history. A newcomer with no Canadian credit file can still qualify if sufficient equity exists in the property and a realistic refinance or sale exit is in place within the 1 to 12 month term.

Will my foreign income history count toward a private mortgage application?

Foreign income documents (such as overseas tax returns, international bank statements, or an employment letter from a Canadian employer) may be requested for context. Gaps or a short Canadian employment history do not automatically decline the file. Stonefield Capital places underwriting weight on the property's equity and the borrower's exit plan, not on the source or length of income history.

Do I need a Notice of Assessment to get a private mortgage as a newcomer?

Where a Canadian NOA exists, Stonefield Capital always requests it, primarily to check for large CRA arrears that could affect the property. If no NOA has been filed yet because you are new to Canada, that alone does not decline the file. The NOA request is about confirming no outstanding tax liens, not about verifying income level.

How long is a newcomer private mortgage, and what happens when it ends?

Terms run from 1 to 12 months, with renewal options where the exit plan warrants it. Payments are interest-only during the term. The most common exit for newcomers is refinancing into a conventional bank mortgage once enough Canadian credit history and filed NOAs are in place. The exit plan is reviewed before a commitment is issued, not after.

How do I apply for a private mortgage through Stonefield Capital as a newcomer?

Stonefield Capital works through licensed Ontario mortgage brokers. Newcomers who do not have a broker can use the connect form on the Stonefield Capital website to be matched with a Stonefield-approved broker. That broker submits the file directly to Stonefield Capital for underwriting. Same-day commitments are typical on complete submissions, with funding possible in as little as 48 hours when legal counsel is ready.