The Short Answer
Yes, many newcomers can buy in Markham, and permanent residents can do so on largely the same terms as citizens. CMHC's newcomer program allows as little as 5% down on an owner-occupied home under $1.5 million, and lenders can accept alternatives to a Canadian credit history, such as an international credit report, twelve months of rent and utility payments, or a letter from your bank at home. Work permit holders can buy in many cases, subject to the federal foreign buyer rules and Ontario's 25% Non-Resident Speculation Tax. The most important documents are proof of status, proof of income, and a clear paper trail for every dollar of your down payment, including money moved from abroad.
Want this applied to your own property? Call the Kaizen Real Estate Team at (647) 370-8885.
Start With Your Status
Your immigration status, not how long you have been in Canada, decides most of the rules. Michael John Lau, a REALTORĀ® with the Kaizen Real Estate Team, one of the most active real estate teams in Markham and York Region, starts every newcomer consultation with the same question for that reason: before you look at homes, confirm which rules apply to you.
Status | Federal foreign buyer rules | Ontario 25% Non-Resident Speculation Tax |
|---|---|---|
Canadian citizen or permanent resident | Not affected | Does not apply |
Work permit holder | Exempt if the permit is valid for at least 183 days on the purchase date and you own no more than one residential property | Applies, unless another exemption fits (for example, an Ontario Immigrant Nominee Program nominee). A rebate may be available if you become a permanent resident within four years. |
International student | Exempt only in narrow cases, including five years of Canadian tax filings, a purchase price of $500,000 or less and one property | Applies |
Protected person or refugee claimant | Exempt | Protected persons are exempt |
The federal prohibition on non-Canadians buying residential property applies in Markham and is scheduled to expire on 1 January 2027. Penalties include fines of up to $10,000 and a possible court-ordered sale, so confirm the status of the rule, and your exemption, with a real estate lawyer before you sign.
Questions About Your Situation?
Every Markham property and every timeline is different. Call the Kaizen Real Estate Team at (647) 370-8885 and speak to a REALTORĀ® who works this market daily.
Down Payment: How Much You Need
Canada's minimum down payment rules are the same for newcomers and long-time residents on an insured, owner-occupied purchase:
Purchase price | Minimum down payment |
|---|---|
Up to $500,000 | 5% |
$500,000 to $1.5 million | 5% of the first $500,000 plus 10% of the rest |
$1.5 million or more | 20% |
At Markham's August 2026 average condo apartment price of about $638,332, the minimum is about $38,833. At the average detached price of about $1,611,773, it is 20%, or about $322,355. Remember to budget separately for land transfer tax, legal fees and moving costs.
Where the down payment can come from
- Your own savings, in Canada or abroad.
- A gift from immediate family, with a signed gift letter. Some newcomer programs do not accept gifted funds, so check before you rely on one.
- Not borrowed money, in most newcomer programs.
Credit: When You Have No Canadian History
A Canadian credit report is created the first time you borrow in Canada, so most newcomers arrive without one. Lenders and the mortgage insurers have ways around this:
- CMHC's newcomer program is open to permanent residents and to people legally authorized to work in Canada. It has no minimum time in Canada, allows 5% down under $1.5 million, and accepts an international credit report, a letter from your bank at home, or alternatives such as rent and utility payment history.
- Sagen and Canada Guaranty, the two private mortgage insurers, also have newcomer programs for permanent residents and work permit holders, with their own down payment and documentation requirements.
- Major banks run newcomer mortgage programs, typically for permanent residents who arrived within the last five years, and some for work permit holders. The five-year window is a bank program rule, not a CMHC rule.
Start building Canadian credit as soon as you arrive: open a bank account, get a credit card, pay the full balance every month, and keep your phone and utility bills in your name.
Neeraj Moolchandani on Moving Money From Abroad
Neeraj Moolchandani, REALTORĀ® at Kaizen Real Estate, tells newcomers to move down payment funds from abroad early and in a traceable way.
Lenders want to see where every dollar came from. Foreign account statements and wire records, kept together, make approval faster. Neeraj has seen a missing document delay a closing more often than a credit issue.
Documentation Checklist
Gather these before you speak to a lender:
- Proof of status: permanent resident card or confirmation of permanent residence, or your work permit, plus your passport.
- Social Insurance Number.
- Employment letter showing position, salary, start date and whether you are past probation.
- Recent pay stubs.
- Down payment history: bank statements, commonly covering the last 90 days, for every account the money passes through.
- Funds from abroad: foreign account statements and wire transfer records showing the money moving into your Canadian account.
- Gift letter, if family is helping, plus proof of the transfer.
- Credit alternatives: an international credit report, a reference letter from your bank at home, or twelve months of rent and utility receipts.
Move large sums from abroad early and in a traceable way. A clear trail makes approval faster and avoids questions a week before closing.
Programs Newcomers Can and Cannot Use
Program | Newcomer eligibility |
|---|---|
First Home Savings Account (FHSA) | Canadian residents aged 18 to 71 who are first-time buyers. Owning and living in a home abroad in the last four calendar years can disqualify you. |
RRSP Home Buyers' Plan | Needs RRSP savings, and RRSP room is based on Canadian earned income, so recent arrivals often have little to use. |
Ontario land transfer tax refund for first-time buyers | Up to $4,000 for a citizen or permanent resident who has never owned a home anywhere in the world. |
First-time buyer HST rebates on new homes | Citizens and permanent residents who qualify as first-time buyers. See how much HST a Markham first-time buyer can save. |
If you are weighing a new build against a resale home, the new versus resale cost comparison shows how the rebates change the numbers.
New to Canada and Ready to Buy?
Your status decides most of the rules. The Kaizen Real Estate Team helps you confirm which ones apply before you look at homes.
The Buying Process, Step by Step
- Confirm your status and which rules apply, including foreign buyer rules and the Non-Resident Speculation Tax if you are not a permanent resident.
- Get pre-approved with a lender or mortgage broker who works with newcomer programs.
- Choose a neighbourhood based on commute, schools and lifestyle, not only price.
- Engage a real estate lawyer early, especially if funds are coming from abroad.
- Make an offer with the right conditions, usually financing and inspection, where the market allows.
- Close with your down payment and closing costs in your Canadian account ahead of time.
Next Steps
- First-time buyer services ā a step-by-step plan for your first Canadian home.
- Run the mortgage calculator ā test your budget and down payment.
- Markham neighbourhood guide ā compare areas before you book showings.