Georgian Bay Cottage & Rural Financing
Your Guide to Buying on the Bay, the Shield, and Beyond.
Buying a rural property isn't like buying a semi-detached in the suburbs. Between Tiny Township’s unique shorelines and the rugged seasonal access of the Muskokas, you need a mortgage strategy that understands the terrain.
We don’t just look at your credit score; we look at your road access, your water source, and your winterization.
The 20% Rule: Secondary vs. Primary
In the world of cottage financing, your "intent" is everything. If you are purchasing a cottage that is not your primary residence, you must be prepared for a minimum 20% down payment.
While primary residences sometimes qualify for high-ratio lending, "Type B" seasonal properties or investment-focused cottages require more "skin in the game."
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Primary Residence: Potential for lower down payment (with insurance).
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Secondary/Investment: 20% Down Payment Required.
Year round vs. Seasonal
Lenders categorize cottages into two buckets. This classification, combined with your residency status, dictates your rate and terms.
Year Round
Seasonal
Access
Paved, municipally maintained road.
Private road, water access, or unmaintained.
Water Source
Municipal or drilled well.
Lake intake or cistern.
Foundation
Permanent (Concrete/Stone) below frost line.
Surface Cabin/Piers (No basement/crawlspace).
Heating
Full central heating (Gas/Electric/Oil).
Fireplace or space heaters only.
Down Payment
20% (For Secondary/
Investment).
20% - 35% (Depending on Lendor).
The "Big Three" Rural Requirements
The Tiny Township Advantage:
From Bluewater Beach to Sawlog Bay, we specialize in the specific zoning bylaws and shoreline nuances of the area. We know which lenders love the Bay and which ones shy away.
New to rural living?
Feeling overwhelmed by Septics and Wells? Don't worry.
Download my free 'Rural Buyer's Checklist'. It gives you the exact questions to ask the Realtor so you don't buy a money pit.
Latest Rural & Cottage Advice.
