USBuying a Second Property
What you need to know if you’re looking to finance a vacation home or purchase a residential investment property.
Why get a second property?
You may be looking to finance a vacation home or purchase a residential investment property. Both of these home ownership goals can be achieved through a variety of financing options.
- You can apply for a new mortgage loan secured by the second property.
- You could refinance your existing mortgage loan to access the equity that you have built in your primary home.
- You may want to consider a TD Home Equity FlexLine which offers the flexibility of a line of credit with the stability of a term portion.
Mortgage Payment Calculator
Budget for a second property.
See what your mortgage payments could be and discover ways you can save money.
Your second property: what you need to know
- A high ratio mortgage is available if you or family members plan to live in the home, on a rent-free basis.
- Investment properties are not eligible for high ratio default insurance-a down payment of at least 20% is required.
- There may be unit limitations of up to 4 units on a rental property.
- The Canadian Home Buyers Plan for using RRSP's is not eligible on a second property.
- Some costs are much the same as your first purchase: valuation fees, legal fees, and a title search.
If a buyer’s deposit is less than 20% of the purchase price (or value of the property, whichever is lower) the mortgage must be insured against payment default by a Mortgage Insurer, such as CMHC.
Other useful information
Choosing a Home
House, condo, or pre-build. Tips to help you choose a home that's right for you.
Let’s connect
Get pre-approved
Get an immediate response to your online application.
Found your dream home?
If you've made an offer, complete your mortgage application online now!
Book an appointment
Visit a branch at a time that’s convenient for you.
Too busy to visit a branch?
Meet with a Mortgage Specialist at your home, workplace, coffee shop, or other convenient location.