Credit Score Needed for a Mortgage in Canada: Minimums by Lender Type

Your credit score is one of the first things a mortgage lender checks. It affects which lenders will work with you, the rate you are offered and whether you can get an insured mortgage. This page covers the rules that are set in writing (CMHC’s minimum for insured mortgages) and how lenders generally treat different scores; each lender’s own cut-offs vary and change, so a mortgage broker or lender can tell you where you stand.

The minimum for an insured mortgage

With less than 20% down, a mortgage must carry default insurance, and it can only be insured on a home priced under $1.5 million. For a CMHC-insured purchase, at least one borrower or guarantor needs a credit score of 600 or more; CMHC may use other ways to judge creditworthiness for a borrower with no credit history. (CMHC) Lenders can, and many do, set a higher minimum of their own.

With 20% or more down, the mortgage doesn’t need insurance, and the minimum score is set by the lender. See insured vs uninsured mortgages and the minimum down payment.

How lenders treat different scores

Lender type	Who they are	How they treat your score
A lenders	Banks, monoline lenders, most credit unions	Want a strong score and clean history; offer the lowest rates
Credit unions	Provincially regulated cooperatives	Often more flexible, with manual underwriting
B (alternative) lenders	Trust companies and alternative lenders	Accept lower scores or unusual income, at higher rates and often a lender fee
Private lenders and MICs	Individuals and mortgage investment corporations	Lend mainly on the property’s equity, at the highest rates, usually for short terms

A higher score generally means more lenders competing for you and a lower rate; a lower score narrows your choices and raises the cost. The difference a score makes to your rate, and how to weigh waiting against buying now, is covered in how your credit score affects your mortgage rate. For the lender types, see types of mortgage lenders, B lender mortgages and alternative lenders.

Co-borrowers

CMHC’s minimum applies to at least one borrower, so a couple can qualify for an insured mortgage when only one partner meets it. Each lender decides how it weighs the second borrower’s score, and a weak score can still raise the rate or rule out some lenders. If one partner’s score is much lower, ask a broker whether applying with the stronger partner alone (if their income qualifies) or adding a guarantor works better.

What lenders look at beyond the score

Lenders read the credit report behind the score: late payments, collections, how much of your available credit you use, how long your accounts have been open, recent credit applications, and any bankruptcy or consumer proposal. How long each item stays on your report is covered in how long a bankruptcy stays on your credit and how long a hard inquiry stays on your credit. Your income and debts matter as much as the score; see debt service ratios.

How to check your credit score before applying

You can get your credit report free from both bureaus, Equifax and TransUnion, and several free apps and many banks show a score. Check both bureaus: lenders may use either, and the scores can differ. See Equifax vs TransUnion and how to dispute an error on your report.

Special situations

Newcomers without a Canadian credit history: CMHC has an insurance option for new residents that can use other evidence of creditworthiness; lenders may also accept foreign credit reports or a larger down payment.
Self-employed borrowers: income is harder to prove, so a strong score helps; CMHC has a self-employed program.
After a bankruptcy or consumer proposal: most lenders want to see re-established credit and time since discharge or completion; see rebuilding credit after bankruptcy.

If your score is below the threshold

The right strategy depends on how far below the threshold you sit and how much time you have.

Just under a lender’s cut-off: lowering the share of your credit limits you use and paying every bill on time are the quickest ways to raise a score; a few months can make a difference. See how to improve your credit score fast and improving your credit score for a mortgage.
Below CMHC’s 600: a CMHC-insured mortgage isn’t available unless a co-borrower or guarantor meets it (other insurers set their own minimums), so you would need 20% down with an alternative lender, or time to rebuild.
Using a B or private lender: borrowers often take a short term and aim to move to a regular lender at renewal once their credit improves; compare the extra interest and fees against waiting.
Collections: deal with them before you apply; an unpaid collection on your report counts against you.

Sources

The figures and rules on this page come from these sources, last checked against them between September 25, 2026 and September 29, 2026. How we check facts.

CMHC: CMHC Purchase
Department of Finance Canada: Boldest mortgage reforms in decades come into force today
Financial Consumer Agency of Canada: How much you need for a down payment