What Credit Score Do You Need to Buy a House in Canada?

There’s no single magic number, but in Canada most mainstream lenders want to see at least a “good” credit score before approving a mortgage.

Roughly:

• Many “A” lenders are more comfortable once you’re in the mid-600s or higher, especially for the best rates

• Some alternative lenders may work with lower scores, but usually at higher rates or with stricter conditions

• Your income, debt, down payment, and job stability matter just as much as the score itself

So instead of chasing one exact number, think in terms of: “Is my overall profile strong enough that a lender would trust me with a big loan?”

Build Credit With KOHO Essential

While you’re saving and getting your credit into shape, a clean everyday money setup helps a lot, with KOHO Essential:

• It has a low monthly plan fee that can be waived when you set up direct deposit or add +$1,000.

• Use a prepaid Mastercard® for groceries, bills, subscriptions, and travel.

• Grow your savings with a 2% interest savings rate on your entire balance.

• Earn 1% cash back on groceries, eating & drinking, and transportation.

• You can subscribe to Credit Building for $10/month, it's an affordable way to build your credit history.

• Enjoy unlimited transactions and free e-transfers (never worry about fees when sending money to someone again).

What Lenders Really Look At

When deciding if you’re ready to buy, lenders typically look at:

• Your credit score and history – on time payments and low utilization matter

• Your down payment size – bigger down payments can sometimes offset a weaker score

• Your income and job stability – they want to know you can handle payments long term

• Your debt ratios – how much of your income already goes to other loans and credit

Improving any one of these areas helps, but improving several at once makes you a much stronger mortgage applicant.