Who this is for
- Sole proprietors and incorporated business owners
- Contractors, trades and truck drivers
- Tech consultants and freelancers
- Realtors and commission-based earners
What lenders look at
Most lenders average your last two years of line 15000 income from your notices of assessment. Some add back certain expenses, and some programs use stated income supported by business revenue and bank statements.
Documents to prepare
Two years of T1 Generals and notices of assessment, proof that taxes owing are paid, articles of incorporation or a business licence, and, for incorporated owners, two years of financial statements.
Insured stated-income options
With good credit and a two-year business history, insured self-employed programs can allow as little as 10% down. With 20% or more down, more flexible programs open up at prime and alternative lenders.
Alternative and private lenders
Newer businesses or uneven income may be better served by an alternative lender for a term or two while your tax returns build up. We plan the route back to a prime lender from day one.
Worked example (example only, OAC)
- Declared income: $58,000 (2024) and $66,000 (2025) → two-year average $62,000
- Business gross revenue: $190,000; lender add-back program recognises $85,000
- Qualifying at a sample stress rate of 6.29% with $85,000 instead of $62,000 raises the approximate maximum mortgage from about $290,000 to about $400,000
- Example only, OAC. Each lender's rules differ.
Frequently asked questions
How long do I need to be self-employed?
Most prime lenders want two years. Some programs accept less if you were in the same field as an employee before.
Do I need to be incorporated?
No. Sole proprietors qualify too. Incorporated owners may be able to use retained earnings with some lenders.
Can I owe taxes and still get a mortgage?
Lenders want CRA balances paid or on a formal arrangement. Unpaid taxes can create a priority claim on the home.
Are rates higher for self-employed people?
Not necessarily. With strong documentation you may get the same rates as an employee. Alternative programs carry higher rates.
Do you charge a fee?
Most standard mortgages with good credit cost you nothing; the lender pays the broker. Private and some alternative mortgages carry a broker fee that is disclosed in writing before you commit.
Serving these cities
Related guides
More guides coming soon
Learn more from CMHC and the Financial Consumer Agency of Canada.
Straight answers, no cost and no obligation for most standard mortgages.
Mortgage Kraft · Affinity Mortgage Solutions Inc., Brokerage #13093 · Jay Shah, Licensed Mortgage Broker, Lic. #M22002236 · Rates and examples OAC, subject to change. Not financial advice.