First National Financial LP Drops Flex Down Borrowed Program

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We received an email this morning from First National Financial LP stating that: Effective Thursday March 14th, First National Financial LP has discontinued the "Flex Down Program".



Although the Flex-Down program has been canceled with First National, there are still several other lenders we have access to that are offering similar programs. I thought this would be a great opportunity to outline how programs like the flex-down work. 5% is the minimum downpayment for a home purchase in Canada, however, where that downpayment comes from can be flexible given the strength of the entire application.

Flex Down Program

Following standard insurance guidelines, lender programs like the flex-down are designed to allow Canadians who are interested in purchasing a home, to get into the housing market before actually saving a full 5% down payment. To be qualified for the program that allows you to borrow your downpayment, you must have immaculate credit and extremely stable employment. The Flex-Down program allows buyers to purchase a home having borrowed the down payment from a family member, a line or credit or even a credit card. Home buyers are however required to debt-service the payment from the borrowed downpayment amount in their TDS Ratio.

Program Particulars

Here is a short list that explains how the program works and how it is a little different than a standard home purchase

  • Only available on purchases at a 95% Loan to Value
  • Increased insurance premium from 2.75% to 2.9%
  • Minimum 650 Beacon Score for all applicants
  • Not available to clients who are "New to Canada" or with limited credit history
  • Not available on recreational properties


If you or someone you know is looking to purchase a property but might not have the full 5% downpayment saved up...

Please Contact Us Anytime, we would love to discuss all options >>


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