What Are the Requirements for Mortgages for the Self Employed

self employed mortgagesSome offer them, but what are the requirements formortgages for the self employed? The first thing you need to do is to get a Toronto mortgage broker! We’ll be able to help you figure out all of the paperwork you’ll need to prove your income and employment. We’ll also be able to help you find the best mortgage lender for you, whether they’re a private mortgage broker or it’s a second mortgage! Here we’re going to talk about everything you need for a self employed mortgage, so let’s get started!

You’ll Need a Down Payment

Just like any other mortgage, you’re going to need a down payment. How much will really depend on the lender that you get to finance your mortgage. Some mortgages will ask you to have 20% down, but this can change; some will actually loan you up to 95% of the house, but no matter what you’re going to need a down payment upfront. Try to save up 5% to 10% of your purchase price so you can have that down payment available. You’ll have to show proof of finances; talk with our Toronto mortgage brokers to make sure that you have the right documentation.

You’ll Need to Prove Your Income

Proving you have a steady income is never easy when you’re self employed, but we’ll help you figure out this part. You’ll be able to show the lender that you have a steady stream of income and you’ll be able to pay off your debts on time, every time. While lenders love people who get a little behind (they can hike up your interest rates), they have to know that you’ll be able to pay off your mortgage. Work with one of our Toronto mortgage brokers to make sure that you have what you need to show your income.

You’ll Need to Have a Good Credit History

If you have bad credit, this is okay! You will want to take a break from trying to find a good lender to just stop and start working on your credit. We as Toronto mortgage brokers can help you with debt consolidation and other credit repair solutions; don’t let bad credit get in the way of getting a really great loan. Mortgages for the self employed are formulated for people who lead a different kind of life than people who have the daily grind. We’ll help you figure out how much you need to do to get your credit back on track and what you can do to get the best mortgage for your situation.

Business and personal credit histories will be scrutinized, so you may need to provide both of these to get approved for the mortgage. The good thing about using a Toronto mortgage broker is that you’ll be able to explore a wide variety of lenders who loan to different borrowers. You’ll be able to find one that’s a great fit for you. Visit our mortgages for the self employed page today to learn more about how we can help you: http://www.homebasemortgages.ca/home-mortgages/self-employed/