With interest rates going up in Canada for the first time in 7 years last week, the Canadian dollar has been inching up. This makes buying properties in the Caribbean more affordable for Canadians, something which has been holding them back for years now. Is a 5% increase in dollar (compared to the US dollar), enough to get those sitting on the fence to make that leap?
Canadians Buying Caribbean Property
Next to Americans, Canadians may be the country who snap up the most Caribbean properties. Obviously proximity is one big reason for this, as well as the cold winter months. One thing that has been holding them back from buying in some markets over the past few years has been the low Canadian dollar. Many Caribbean countries are on the US dollar or tie their currency to the US dollar, making them pricey for Canadian buyers.
As the dollar moves from 73 cents (US) closer to 80 cents, property in the some of our more popular destinations (for financing) become more feasible. This should add more buyers into the market, and get more Caribbean markets back on track.
Can Canadians Get Mortgages in the Caribbean?
Canadians are eligible for mortgages in the Caribbean. We can get Canadians, prime, non prime and private financing. Obviously with the difference in the dollar and the general difficulty in getting a prime mortgage mean it’s even tougher for Canadians but non prime and private mortgages are great options.
Depending on which loan you are looking to qualify for, the criteria will vary. Some lenders will want to see your income tax while most private lenders will not.
If you are Canadian, looking to buy a vacation property in the Caribbean, contact us today. We will talk to you about your mortgage options and help you in buying your piece of paradise sooner!
