PROOF OF DOWN PAYMENT

All lenders require proof that borrowers have sufficient funds to cover:
1) The down payment plus
2) The closing costs. (Closing costs include items such as Land Transfer Tax and Legal Fees and disbursements).
An amount of 1.5% of the purchase price is the amount required to cover closing costs.
Lenders require proof that the money for the Down payment can come from:

[] Chequeing accounts, savings accounts,
[] Cash [all cash must be deposited into a bank account no later than 15 days prior to closing]
[] Investments (such as) RRSP's, GIC's, Mutual Funds, Stocks, Bonds etc. or
[] A non repayable gift from a direct family member.

Proof has to be provided by way of the following:

[] Bank statements/Bank books, going back 90 days from closing date. The bank statements/Books must show the name and account number of the client. Any amount over $1,000 which has been deposited in this 90 day period needs to be explained.

[] If down payment includes a gift, a "gift letter" must be provided. Gift letter blanks are available on request. The proceeds from the gift must be deposited into your account no later than 15 days before closing.

[] If down payment is coming from more than one account, each account must meet the above requirements

[] Certificates or statements showing the value of all investments such as RRSP's, Stocks, Bonds, GIC's, Mutual Funds etc

WITHOUT PROOF OF DOWN PAYMENT
LENDERS WILL NOT FUND ANY MORTGAGE

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