top of page

Self-Employed Borrowers

One of the criteria for self-employed borrowers to be mortgage approved is to make sure they can provide documents to verify the source of income and the gross business income to be used in the debt-to-income ratio calculation.

Get approved based on your business gross income and bank statements. Don't let the bank stop you from having the best mortgage.

There are a few things that borrowers would want to know more about this mortgage solution. Contact your local mortgage broker or book a free consultation with one of ours for more details.

Verifiable Income

At the very least, borrowers need to be able to show bank statements and invoices to the lender to verify their business income.

Bruised Credit Not A Problem

Borrowers with bruised credit can qualify for mortgages as self-employed borrowers. There are conventional and alternative lenders who will work with the borrower's financial situation.

Years In the Business

Borrowers need to show work experience in the same industry for at least 24 months for lenders to use their work income for the debt-to-income ratio calculation.

Trusted Lenders

At Richmond Hill Mortgage Broker, we work with lenders who are reputable and have established outstanding levels of customer service, integrity, and compliance with regulatory authorities.

What To Know About Getting a Mortgage For Self-Employed Borrowers in Richmond Hill

Being self-employed is a great way to be your boss. But this comes with different requirements to qualify for a mortgage compared to those working as full-time employees. So, self-employed or not, if you want to get a mortgage, you need to understand your options. This page will show how arranging mortgage financing differs when you're self-employed. For example, self-employed must show that they have enough verifiable income to qualify for a mortgage loan. So, while there are other things to consider, the essential step to getting a mortgage in a self-employed situation is to provide documentation to support all business income and expenses.

It is possible to be self-employed and still get a mortgage in Canada. If you're self-employed and have the proper documentation, you'll be considered for a mortgage just like anyone else.

Mortgage Lending Guidelines for Self-Employed Borrowers

Qualifying for a mortgage as a self-employed borrower can be challenging. But consulting a mortgage broker specializing in self-employed mortgages can help make the qualification process more effortless. Self-employed borrowers will have difficulty qualifying for a mortgage if they fail to provide records such as tax returns, bank statements and receipts. To help your chances of qualifying, show at least six months' bank statements and a ledger showing business income and expenses. These records can help prove your income and expenses to a self-employed mortgage lender.

Your income from self-employment is still considered income, and mortgage lenders must ensure that your income is legitimate and verifiable. For example, any funds originating from overseas must be traced back to the source and the nature of the transactions. These due diligence steps are necessary to ensure that the funds received do not originate from organizations supporting money laundering and terrorist activities.

Most lenders require that you have been in the business for at least 24 months to qualify with your business income. However, some banks and credit unions will allow exceptions to this rule, which is best discussed with a mortgage broker to understand the latest lending guidelines and exceptions that will apply to your situation.

How to Prove You Have Enough Money for a Downpayment

This is a common question asked by many people applying for a mortgage. Most lenders require that self-employed borrowers have a down payment of at least 20% of the purchase price. However, some lenders make exceptions for self-employed borrowers to qualify with a minimum down payment as defined by CMHC's general requirements to qualify for homeowner mortgage loan insurance. Best to speak with a mortgage broker to identify which lenders are the most suitable for your situation.

Mortgage lenders expect to see bank statements showing the amount of down payment available in a Canadian bank account. The lender may require a few more documents to prove that you have enough money for a down payment, for example:

  • You might be required to fill out a Gift Letter if you were gifted a down payment from family members. In this Gift Letter, the donor must sign and declare a few pieces of information, such as the gifted amount, the recipient's full name, the sender's full name, and the nature of the funds transferred as a gift instead of a loan.

  • You need to provide a paper trail to trace the origin of the funds received in the Canadian bank account if it comes from outside Canada.

  • Lastly, you need to provide documents to prove that the money available for the down payment belongs in your bank account and the origin is traceable to a legitimate and verifiable source.


Overall, talk with a mortgage broker who specializes in helping self-employed borrowers to ensure you'll be able to use the money in your bank account for a down payment.

FAQ on Mortgages for Self-Employed Borrowers

Can I Get Approved for a Mortgage if I Am Self-Employed?

Self-employed individuals may have different requirements to qualify for a mortgage, but being self-employed is fine. Bottom line, lenders want to ensure the borrowed funds will be repaid, regardless of whether the borrower is a full-time employee or a self-employed business owner.


When you apply for a mortgage, provide all necessary documentation to your mortgage broker. This includes a tax return, invoices, bank statements, receipts, financial statements, and even a copy of a business license to prove your business entity.

Nothing to worry about as long as you have all the necessary documentation.

How Much Can a Self-Employed Person Borrow on a Mortgage?

A self-employed person is entitled to the same loan amount as a salaried worker. Therefore, self-employment does not bring any disadvantages when you apply for a mortgage.


The self-employed borrower may purchase a home for up to 80% of the purchase price. Lenders will follow the same lending criteria to determine how much the applicant can borrow on a mortgage, for example:

  • the applicant's debt-to-income ratio

  • the applicant's credit score and credit history

  • the applicant's down payment amount

  • the applicant's business history and income flow over the years


Mortgage lenders do not discriminate against self-employed borrowers from employed applicants because lenders evaluate applicants by their ability to ensure continued mortgage payment until reaching mortgage maturity.

Smiling Man

Justin W, Richmond Hill

As a first time home buyer I was very nervous about buying a home. The professional staff at Matrix Mortgage Global took the time to answer my questions even after hours. I was very pleased with the service and how I was treated.

Man with Glasses

Jignesh S, Toronto

I'm a self-employed cab driver. I was devastated when my bank, with whom I've been banking with for years turned me down for a mortgage. My business is mainly cash, and I didn't meet the bank's criteria for proving my income. I found Matrix Mortgage Global online and decided to give them a call. I was surprised that I got approved. I thought that if my bank turned me down everyone would. Thanks!


Andrea C, Markham

I had 2 yrs left on my consumer proposal, with the 2nd mortgage offer by Matrix Mortgage Global I was able to pay off the proposal and re-establish my credit

You Can and You Will Be Approved

Experience brings wisdom.

This is why you work with a 5X Broker of The Year.

Mortgage Approved

We have a history of total funded mortgages of over $2.3 billion since 2008 and counting.

Recognized by Authorities


Proven Track Record

Since est. 2008

Canadian Mortgage Brokerage

Serving Richmond Hill, and neighbouring cities in Ontario.

Award-Winning Brokerage

2018-2022 Mortgage Brokerage Of the Year from Canadian Mortgage Awards

Modern Office Building

You deserve a mortgage that is customized to you.

And there is a mortgage brokerage that believes that too.

One that has been helping clients get approved since 2008.

Over $2.3 billion of mortgage funded in history working with you.

Matrix Mortgage Global mortgage agents and brokers understand the significance of responsible borrowing and lending. Unfortunately, it was an expensive lesson many learned from the Global Financial Crisis in 2008 that happened because irresponsible mortgage lending qualifications were unchecked.

Enjoy the peace of mind from knowing that you are working with someone who has a deep understanding of the mortgage industry and will work smart to get you the best possible deal.

Matrix Mortgage Global Logo (1).png
Canada's 5x Broker of the Year light background.png
Richmond Hill Mortgage Broker Lenders Banner.webp

Gain Access to Top Conventional and
Alternative Mortgage Lenders in Canada

Qualifying for a mortgage used to be easier than it is now.

But it doesn’t mean you can’t get professional help to qualify.

Reasonable mortgages are accessible to borrowers today.

Stay Up to Date With The Latest News & Updates

You'll receive a weekly newsletter that is customized to your interests.

Mortgage Learning Hub


The smartest way to find a mortgage that works for you.

A Mortgage for All Life Situations

Better Options with

Consolidate to an all-in-one mortgage to cut down the mortgage payment amount and increase your cashflow.

Tap into the available equity from appreciation as a revolving credit line and use the fund for any reason, such as home renovation projects or buying passive income properties.

Going through a relationship breakup is hard enough, but trying to find the best mortgage solution on top of that can be difficult. Work with professionals who emphasize client-relationship confidentiality.

Renegotiate the terms of your mortgage and draw the available equity from the property.

Get approved for special programs and incentives exclusive for First Time Home Buyers.

Get approved for special programs and incentives exclusive to New to Canada residents.

Compare best mortgage rates and lending terms with insights from mortgage brokers who are professionals in the industry.

Get approved based on your business gross income and bank statements. Don't let the bank stop you from having the best mortgage.

Qualify for the best mortgage terms from lenders who are supportive of real estate investors owning up to four rental doors.

bottom of page