When buying a home in Canada, the house deposit is usually between 5-10% of the purchase price of the property. Considering the current housing market, this is a significant amount of money. So, what happens if you can’t access the cash in time? Can you borrow the money for a deposit?
While some people may decide to take out a loan or borrow money from friends and family, these routes aren’t for everyone. A deposit bond can help resolve this issue! Canadians now have the option of using a Deposit Rocket Guarantee, also known as a deposit bond, as a cash equivalent alternative to a house deposit.
House deposit bonds can be significantly cheaper than traditional loans, credit cards, or asset liquidation, making it an increasingly popular option for house hunting Canadians.
Although deposit bonds have been widely used in Australia, US, and European real estate for decades, it’s only recently been introduced to the Canadian market via Deposit Rocket.
So, am I borrowing the money from Deposit Rocket?
No, our Deposit Rocket Guarantee isn’t a loan, it’s a promise that you are going to pay the deposit upon closing. If you can verify that you have sufficient home equity or liquid investment, we are willing to guarantee that you will provide the deposit amount at closing.
Deposit Rocket is inserted into your offer instead of a cash deposit and finally at closing simply pay the full purchase price.
How much will a Deposit Rocket Guarantee cover?
Deposit Rocket Guarantees are available from $10,000 to $100,000 for up to 9 months - and up to 10% of the home purchase price.
Sounds great, how do I apply for a Deposit Rocket Guarantee?
Click here to apply at Deposit Rocket, your guarantee will be issued instantly online and delivered to you and your licensed realtor.
Click here to use our Fee Calculator which can provide you with a cost estimate instantly.
Do you have any questions?
Check out our FAQ or we would be happy to answer any questions or queries you may have about deposit bonds via chat, phone, or email!.