Self Employed
A self-employed mortgage product is tailored specifically for those who run their own businesses and face unique financial situations. This type of mortgage takes into account the complexities of fluctuating income and varying expenses, making it easier for self-employed borrowers to secure financing. With flexible options and a deeper understanding of self-employment income, this product aims to simplify the mortgage process for entrepreneurs. Explore your options today and find the right solution for your financial needs.
Why Choose CML if Your Self-Employed?
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Are you considering self-employment? You’re not alone, as 20% of Canadians have taken this path! While enjoying the freedom of being your own boss comes with numerous benefits, it can also pose challenges, especially when it comes to securing a mortgage. Standard mortgages can be tricky for self-employed individuals, as proving income can be more complex and lenders may not always recognize tax-deducted expenses. What a self-employed mortgage is and explore your options for home buying as a self-employed Canadian.
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Self-Employed Mortgage Qualifications​
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When you apply for a self-employed mortgage in Canada, there are certain qualifications you’ll need to meet and criteria you’ll need to follow in order to get approved for a mortgage.
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Income Verification
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No matter which mortgage you apply for, you’ll have to provide income verification in one form or another. There are typically three different types of income verification:
1. Traditional income verification: Your employment income is verifiable through your tax returns.
2. Nontraditional income verification: Looking at your business’ financial statements and bank statements to prove actual income
3. Stated income: You’re not able to verify your income
Mortgages with traditional income verification will always have the lowest mortgage rates and down payment requirements because they’re the least risky. Nontraditional income verification will come in slightly higher and may also require mortgage default insurance. Stated income will have the highest mortgage rates of all three options with much larger down payment requirements and property restrictions.
Get Started Today
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Buying your first home is an exciting milestone at CML Canadian Mortgage Lender. We're here to support you every step of the way. Reach out to us today for a complimentary consultation, and let us help you turn your dream of homeownership into a reality. Together, we can navigate the journey to your new home with confidence.