Consumer Proposal
Mortgage after a consumer proposal? Yes — sooner than you think.
Active or discharged. Specialty B-lenders fund active files. Discharged files open up to wider B and eventually A-lender pricing in 2-3 years.
Active OK (B/private)Discharged → B-lender5-10% down post-disc2-3 yr to A-lenderRe-establish credit100% confidential
5-star rated| FSRA #13737| 5-min pre-qualification
In or past a consumer proposal?
There is a real path back. No judgment.
Whether you're still making payments or already discharged, we work with lenders who'll help you rebuild — and we show you exactly how to get back to a Big-6 bank.
Path · liveActive
ActiveDischarged+12 mo clean+24-36 mo clean
Specialty B + private
20-35%
Down (active)
5-10%
Down (discharged)
2-3 yrs
To A-lender (post-disc)
Private
100% confidential
Maya · AI · 24/7
I have a consumer proposal — when can I get a mortgage?
5-star rated| FSRA #13737| 50+ langs
Most Canadians in or post-consumer-proposal are told by their bank that they need to wait 6-7 years before they’ll be considered for a mortgage — which simply isn’t true. Active proposals can be financed today via specialty B-lenders and private capital. Discharged proposals open up B-lender options immediately, and A-lender pricing typically becomes available 24-36 months post-discharge with clean re-established credit. The path back is real, and starting it sooner is always better than waiting.
What you get
Why Canadians choose Mortgage Squad Advisors.
Active consumer proposal financing via specialty B-lenders (yes — even mid-proposal)
Discharged proposal: refinance, purchase, or HELOC all available at B-lenders
Minimum 2 active reporting trade lines (12+ months clean) helps re-establishment
Private mortgage option for equity-based files at any proposal stage
Up to 80% LTV on alt-A; 65-75% on private
5-10% down possible at certain B-lenders post-discharge with insurer approval
Plan to refinance back to A-pricing once 24-36 months post-discharge clean
No judgment — proposal is a financial recovery tool, not a moral failing
Discreet — your file is private and stays that way
All lender + broker fees disclosed in writing upfront
How it works
Three steps. No jargon. No pressure.
1
File snapshot
Date of filing, expected or actual discharge date, current re-established credit (trade lines reporting, monthly payment history). We map your full options in 24 hours — no bureau pull required to begin.
2
Match the lender
Active proposal: specialty B-lender (Haventree, certain RFA programs) or private. Discharged: wider B-lender pool, plus potential A-lender if 24+ months post-discharge with 2+ trade lines reporting clean. We pick the cheapest path that fits.
3
Plan the path forward
Set a refinance trigger date (typically 24 months post-discharge for A-lender eligibility). We monitor your credit recovery and re-shop when you cross each milestone — most clients move from B to A within 24-30 months of discharge.
Active vs discharged — what’s the difference for lenders?
Active = much narrower lender list (specialty B-lenders + private). Discharged = options widen significantly. After 2-3 years post-discharge with clean re-established credit (2+ trade lines reporting 12+ months clean), A-lenders open up. Discharge alone isn’t enough — re-establishment is what moves lenders from no to yes.
How much down payment do I need?
Active proposal: 20-35% down typical (B-lender or private). Recently discharged: 10-20% down at B-lenders. 2-3 years post-discharge with clean re-established credit: 5-10% possible at certain B-lenders with insurer approval (Sagen and Canada Guaranty have proposal-friendly programs). Private: 25-35% down at any stage based on equity.
How do I re-establish credit during and after a proposal?
Open a secured credit card immediately (most banks offer them — Capital One Guaranteed, Home Trust Secured Visa, Plastk). Use it monthly. Pay it in full every month. After 6-12 months of clean reporting, add a second card. After 24 months of consistent clean reporting, you’re a substantially more financeable borrower. We coach this process on every file.
Can I refinance to pay out my proposal early?
Sometimes — if you have sufficient home equity and can find a lender comfortable with the active proposal. This can shorten your proposal term significantly (often from 60 months down to 24-36 months) and put you on the path to A-lender pricing faster. We model the math — sometimes the refinance saves more than the proposal premium costs you.
Will the proposal stay on my credit report after discharge?
Equifax: 3 years post-completion. TransUnion: 3 years post-completion (or 6 years from filing date, whichever is earlier). A-lenders typically want the proposal off the report OR at least 24-36 months past discharge with clean re-established credit. The aging is what matters most — time + clean trade lines = lender confidence.
Does my spouse’s proposal affect me?
Only if you co-borrow. Joint mortgages will pull both bureaus, so your spouse’s proposal will affect a joint qualifying. We can structure single-borrower deals (one name on title, one name on mortgage) where it makes sense — this requires the qualifying borrower to carry the file on their own income alone.
Will my employer or family find out?
No. Consumer proposals are private — only credit bureaus and creditors are notified. Your employer is not informed, your file is not in the newspaper, and your conversations with us are 100% confidential. There is no public record of a consumer proposal in Canada.
What’s the cost premium on a post-proposal mortgage?
B-lender: typically +75-150 bps over A-lender rate. Private: +200-500 bps + lender + broker fee. Refinancing back to A-lender post-discharge typically saves more in interest over a 5-year term than the alt premium you pay during recovery. We model the full lifecycle so you can see the actual cost.
Can I buy a home with an active consumer proposal?
Yes — though it requires specialty financing. Down payment will be 20-35% typically, rate premium 100-200 bps over A, and the lender will require evidence you’re current on your proposal payments. We’ve placed dozens of active-proposal purchase files. The catch: most files do better waiting until 12 months post-discharge if there’s no immediate purchase pressure.
What if I had a bankruptcy that became a proposal, or vice versa?
Common scenario. Lenders look at the most recent insolvency event for timing. A bankruptcy converted to a proposal still has the proposal as the active event. A discharged bankruptcy followed by a discharged proposal stacks the recovery timeline — but with strong re-establishment, both eventually fall off and A-lender pricing returns. We map the exact path on every file.