While many Canadians take advantage of self-employment opportunities, those who are self-employed sometimes face roadblocks when they are in the market to obtain personal financing, such as a mortgage or vehicle loan.
Many Canadians have successful small business ventures and would not trade the lifestyle for anything in the world. However, many begin to question their lifestyle and business choices when they first attempt to obtain financing for their home, or even something as simple as a new credit card or vehicle. The nature of self-employment income can sometimes leave the self-employed looking like poor credit risks, even though they may actually have a more stable source of income than those who are working 9 to 5 for an employer.
You may think that because you are self-employed that you may have trouble qualifying for your mortgage financing. This seems to be the thoughts that many of my clients share but I’m happy to let you know that there are indeed many options still available to you regardless of the type of income you make.
Thankfully, Canadian mortgage lenders are starting to understand the importance of self-employment in our culture, and are making great mortgage programs available to the self-employed borrowers.
When you apply for a mortgage as a self-employed individual, you will be asked for different types of income variation to support your application than a regular salaried employee would be asked for. This is one of the main differences in the application process, to learn more about how to get your financing as a self-employed individual, please contact me so I can get you more information that will speak to your own unique situation.