I recently hosted a webinar titled “Step-by-Step Guide to Building Your Real Estate Empire in the US from Canada.” Joined by industry experts Kelly from MoneyCorp and Erwin from Share (SFR), we provided actionable insights for Canadians looking to expand into the US market. Drawing from our collective experience—spanning cross-border financing, currency exchange, and hands-off property management—this session demystified the process and highlighted opportunities that simply aren’t available domestically.
If you’re frustrated by Canada’s high entry costs, restrictive lending, and tenant protections, the US offers compelling alternatives: robust cash flow, scalable financing, and landlord-friendly states. In this article, I’ll recap the key takeaways, including real-world examples and audience questions. Whether you’re a first-time investor or scaling an existing portfolio, this blueprint can help you get started efficiently.
Financing Your US Investment: Accessible and Flexible Options
At LendCity, we specialize in US and Canadian mortgages for residential, commercial, land, and construction deals. As a dual-citizen broker, I coordinate transactions across borders to streamline your experience. A common question we hear is, “How challenging is US financing for Canadians?” The answer: It’s straightforward and far more accommodating than in Canada.
Key requirements and benefits include:
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No Income Verification or Credit Score Needed Initially: Approvals are based on the property’s cash flow via cash-flow-based lending for foreign nationals. While a US credit score (built over time) can lower rates by 0.25-0.5%, it’s not required to begin.
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Down Payments and Purchase Limits: Start with 25% down. There’s no cap on rental properties, unlike Canada’s debt ratio restrictions—lenders support unlimited scaling.
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Application Essentials: Provide your passport (to confirm citizenship and avoid sanctions lists), entity documents (LLCs are used in 95% of cases for tax efficiency), and two months of bank statements for down payment verification. We scrutinize large deposits for source-of-funds compliance, though select lenders offer flexibility.
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Closing Costs: Budget 4% of the purchase price, covering title services (equivalent to Canadian lawyers), broker fees (which can be rolled into the rate or paid upfront—recommended for long-term holds), underwriting, and origination. Fees are proportionally lower for larger loans ($1M+).
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Current Rates and Structures: Expect 6.5-8% as of early 2026, with lower rates available for larger multifamily properties via buydowns. Opt for interest-only payments or 40-year amortizations to optimize cash flow. A major advantage: Loans become penalty-free after five years, unlike Canada’s fixed terms.
Search US mortgage records to research existing financing and ownership details on any property before submitting an offer.
Before you start shopping for properties, use our free DSCR Loan Calculator to estimate how much rental income you’ll need to qualify for specific loan amounts.
Our process is efficient: Schedule a complimentary strategy call via the link below to discuss your goals. Submit property details for personalized leverage and rate quotes—property-specific factors, like flood zones, can influence terms. Next, establish a US entity and bank account, partner with a trusted realtor (such as Share), and close seamlessly.
As investors ourselves, our team processes everything in-house to minimize fees and maximize options. We reward loyalty with reduced costs as your portfolio grows, and unlike many US brokers, we exclusively partner with foreign-buyer-friendly lenders.
Navigating Currency Exchange: Maximize Value with Expert Guidance
Currency fluctuations can erode profits, but Kelly from MoneyCorp—a global leader with $90 billion traded annually across 120 pairs—showed how to sidestep bank pitfalls. With offices in 11 countries and decades of regulatory compliance, MoneyCorp provides institutional-grade service tailored to real estate transactions.
Why choose a specialist over your bank?
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Superior Exchange Rates: Banks add 2-5% margins to the interbank rate; MoneyCorp operates at under 1%. For a $400,000 US property, this could save thousands on your deal.
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Fee Elimination: No international transfer charges. Use their Canadian accounts for domestic wires, then seamless USD delivery to title companies or your US bank.
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Strategic Timing: Dedicated specialists monitor markets to target your ideal rate, using forward contracts (up to two years, 10% deposit) or pre-purchasing USD to hold. Repatriate rental income efficiently—starting at just $250 per transfer.
Account setup requires only ID and address proof. For Europe-bound investors, similar savings apply (e.g., CAD to EUR). Visit moneycorp.com for market updates and property guides. Contact Kelly directly for a consultation.
With DSCR loans starting at 25% down and no income verification required, the barrier to entry is lower than most Canadians expect — book a free strategy call with LendCity and we’ll walk you through the cross-border process.
Hands-Off Ownership: Streamlining Acquisition and Management with Share
Irwin from Share (SFR) demonstrated how technology and expertise can make US investing as simple as stock ownership. SFR’s “done-for-you” platform handles everything remotely, ideal for busy Canadians. Backed by a team with billions in managed assets—including CEO Andrew’s $10,000 monthly cash flow from 20 unseen properties—SFR focuses on single-family rentals (SFRs) for superior tenant stability and liquidity.
Why SFRs? They attract middle-income families seeking suburban quality, with potential yields varying by market in landlord-friendly red states (Texas, Arizona, Carolinas, Georgia, Missouri, Ohio). US markets dwarf Canada’s: The $2.4 trillion SFR sector exceeds our entire economy, drawing institutional capital like CPP’s $700 million Atlanta commitment.
DIY investing involves lengthy steps and risks; SFR streamlines:
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Investor Profiling: Define your “buy box” for cash flow, Appreciation, or strategies like subject-to (assuming sellers’ low-rate mortgages with them as tenants).
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Off-Market Sourcing: 90% of deals from wholesalers and builders; AI scrapes listings for matches.
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Full-Service Execution: Entity/tax setup (via SHR’s cross-border accountant or LendCity), inspections, and closings—all coordinated. Learn more about Corporate Structure for Real Estate Investors in Canada. See all Mortgage Financing for Canadians in the U.S.A..
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Ongoing Management: Institutional property managers (3,000+ homes each) via SHR’s portal. Digital bookkeeping included. Fees: $7,500 or 3% acquisition (higher of the two); 4-6% of rent monthly (tiered by portfolio size).
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Past performance does not guarantee future results. Always consult qualified professionals before making investment decisions.
Illustrative Case Studies:
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Shane (Montreal Real Estate: Quebec’s Metropolis Investment Opportunities Investor): Started with $100,000; acquired a $90,000 Memphis SFR (strong yield post-$9,000 reno). Refinanced at $157,000 Appraisal, extracting $84,000 for a Kansas City property (9% yield), netting $10,000 cash back.
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Derek (Ontario Resident): New-build in Little Rock, AR, for $176,000; rents at $1,425 (10% yield, 6% cap rate).
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Terrace (Toronto Investor): Houston subject-to deal at $244,000; 3.9% assumed rate, $2,200 rent (5.1% cap), $12,000 prepaid.
Explore off-market listings and free resources at sharesfr.com, including a comprehensive US investment guide.
Insights from Audience Questions
Our Q&A addressed practical concerns:
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Multifamily Financing: Available with no unit limits; start under 20 units experience-free. Loan-to-value improves with scale (doubling effect).
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Proof of Funds: Accepts bank statements, investments, lines of credit, or even post-tax RRSPs.
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Cash Flow Optimization: Use interest-only/40-year terms; conservative underwriting ensures viability.
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Refinance Penalties: 5-4-3-2-1% step-down, open after five years; customizable open periods (slight rate premium).
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Pre-Approvals: LendCity provides detailed letters and verbal confirmations for US realtors.
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Canadian Mortgage Impact: Minimal with select lenders; we guide you to compliant options.
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Flips: 75-80% purchase + 100% rehab financing on first deals; terms improve with experience.
For existing portfolios, SHR offers seamless onboarding.
Whether you’re eyeing a Memphis single-family rental or a multifamily in Cleveland, book a free strategy call with us to get a personalized rate quote and understand the full closing cost breakdown.
Take the Next Step Toward Your US Portfolio
The US market’s cash flow potential, combined with LendCity’s financing expertise, MoneyCorp’s exchange efficiency, and SHR’s management platform, creates a powerful ecosystem for Canadian investors. As your host and broker, I’m committed to guiding you through every stage—remotely and without the headaches.
Review the full webinar recording via the link sent to attendees, or book a strategy call today. Let’s discuss how to turn these insights into your first (or next) US acquisition. Contact me directly at LendCity for personalized advice.
Frequently Asked Questions
Can Canadians get mortgages for US investment properties?
What is a DSCR loan and how does it work for foreign buyers?
Where are the best US markets for Canadian real estate investors?
How much money do I need to start investing in US real estate?
What are the tax implications for Canadians owning US rental property?
Should I buy single-family homes or multifamily properties in the US?
How do I handle currency exchange when buying US property?
Can I manage US rental properties from Canada?
Disclaimer: LendCity Mortgages is a licensed mortgage brokerage, and our team includes experienced real estate investors. While we are qualified to provide mortgage-related guidance, the broader financial, tax, and legal information in this article is provided for educational purposes only and does not constitute financial planning, tax, or legal advice. For matters outside mortgage financing, we recommend consulting a Chartered Professional Accountant (CPA), licensed financial planner, or qualified legal advisor.
Written by
LendCity
Published
December 17, 2025
Reading Time
8 min read
Appraisal
A professional assessment of a property's market value, required by lenders to ensure the property is worth the loan amount.
Appreciation
The increase in a property's value over time, which builds equity and wealth for the owner through market growth or forced improvements.
Cap Rate
Capitalization Rate - the ratio of a property's net operating income (NOI) to its current market value or purchase price. A 6% cap rate means the property generates $60,000 NOI annually on a $1,000,000 value. Used to compare investment properties regardless of financing.
Cash Flow
The money left over after collecting rent and paying all expenses including mortgage, taxes, insurance, maintenance, and property management.
Closing Costs
Fees paid when completing a real estate transaction, including legal fees, land transfer tax, title insurance, appraisals, and adjustments.
Credit Score
A numerical rating (300-900 in Canada) that represents your creditworthiness, affecting mortgage rates and approval. 680+ is typically needed for best rates.
DSCR
Debt Service Coverage Ratio - a metric that compares a property's net operating income to its mortgage payments. A DSCR of 1.25 means the property generates 25% more income than needed to cover the debt. Lenders typically require a minimum DSCR of 1.0 to 1.25 for investment property loans.
DSCR Loan
A loan qualified based on the property's Debt Service Coverage Ratio rather than the borrower's personal income, popular for US investment properties.
FIRPTA
Foreign Investment in Real Property Tax Act - a US tax law requiring buyers to withhold taxes when purchasing real estate from foreign sellers. Important for Canadians selling US properties.
Property Management
The operation, control, and oversight of real estate by a third party. Property managers handle tenant screening, rent collection, maintenance, and day-to-day operations.
Down Payment
The upfront cash payment when purchasing a property. For 1-4 unit investment properties, minimum 20% down is required. 5+ unit multifamily can use CMHC MLI Select with lower down payments, and house hackers can put as little as 5% down on owner-occupied 2-4 plexes.
LTV
Loan-to-Value ratio - the mortgage amount expressed as a percentage of the property's appraised value or purchase price (whichever is lower). An 80% LTV means you're borrowing 80% and putting 20% down. Lower LTV generally means better rates and terms.
Coverage Ratio
A measure of a property's ability to cover its debt payments, typically referring to DSCR. Commercial lenders often require a minimum of 1.2, meaning the property's net operating income exceeds debt payments by at least 20%.
Leverage
Using borrowed money (mortgage) to control a larger asset, amplifying both potential returns and risks on your investment.
Multifamily
Properties with multiple dwelling units, from duplexes to large apartment buildings. Often offer better cash flow and economies of scale.
Single Family
A detached home designed for one household, the most common property type for beginner real estate investors.
Refinance
Replacing an existing mortgage with a new one, typically to access equity, get a better rate, or change terms. Investors commonly refinance to pull out capital for purchasing additional properties (cash-out refinance) while retaining ownership of the original property.
Interest Rate
The cost of borrowing money, expressed as a percentage. It determines how much you pay on top of the principal borrowed.
Subject-To
A creative acquisition strategy where you take ownership of a property while the seller's existing mortgage stays in place. You make the payments, but the loan remains in the seller's name.
Underwriting
The process lenders use to evaluate the risk of a mortgage application, including reviewing credit, income, assets, and property value to determine loan approval.
Rental Income
Revenue generated from tenants paying rent on an investment property. Gross rental income is the total collected before expenses, while net rental income subtracts operating costs to show actual profitability.
Property Tax
Annual tax levied by municipalities on real estate based on the assessed value of the property. Property taxes fund local services and are a significant operating expense that investors must account for in cash flow projections.
Real Estate Agent
A licensed professional who represents buyers or sellers in real estate transactions, providing market expertise, negotiation skills, and access to the MLS. Working with an investor-friendly agent who understands rental property analysis and financing strategies can significantly impact deal quality.
Asset Management
The strategic oversight of an entire real estate portfolio, including decisions about refinancing, rent optimization, acquisitions, dispositions, and long-term planning. Distinct from property management, which handles day-to-day operations.
STR
Short-Term Rental - a furnished property rented for periods of less than 30 days, typically through platforms like Airbnb or VRBO. STRs can generate 2-3x the income of long-term rentals but require more active management, higher operating costs, and compliance with local short-term rental regulations.
Hover over terms to see definitions, or visit our glossary for the full list.