Joel DyckReal Broker SK Ltd.
Saskatoon · From the topic map

How do I finance a two-family?

Financing a Saskatoon house with a secondary suite starts with the same minimum down payment rules as any home, 5 percent on the first $500,000 of the price and 10 percent on the balance above that, but the suite's legal status changes what a lender will count toward your qualifying income.

CMHC, Sagen and Canada Guaranty all require documentation before crediting rental income: a City of Saskatoon permit, and often a lease, before that money offsets your housing costs under the standard 39 percent and 44 percent guidelines. Skip the paperwork and the lender qualifies you as if the rent does not exist.

A minimum credit score of 600 applies on an insured mortgage regardless of the property type, and a $400 to $600 home inspection should specifically confirm the suite meets code, since a lender's own conditions can unwind late in the process if it does not.

The financing works the same as any home purchase; it is the suite's paperwork that determines whether the rent actually counts. Get your hand-reviewed valuation from Joel Dyck.

Get your hand-reviewed valuation from Joel Dyck.

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