Highly recommend Stephanie. Amazing service. She kept us in the loop throughout the process and took the time to answer all/any questions.
Self Employed Home Buyers and Mortgage Renewals with Gotobrokers
Gotobrokers works daily to provide mortgages for the self-employed. Mortgages have come a long way in accommodating the self-employed both incorporated and the proprietor. Our home lenders with Gotobrokers are spending more time building mortgage products that move the self-employed forward and get past the hurdles that once were. The self-employed in Alberta are valued and respected and have earned the attention of Canadian mortgage lenders. With our connections as members of the Alberta Mortgage Association, we have you covered.
Stephanie, with more than 20 years of experience, understands how to read your financial statements, giving you credit for those write-offs that are necessary when conducting business. We have the tools to break things down and build them up to represent you at your best with the lenders.
Dividend Income vs T5’s
With dividends being used more with accountants strategizing tax obligations lenders no longer see dividends any different than the T5s. This broadens the opportunities for each self-employed individual. There are new policies being implemented to accommodate the self–employed homeowner.
More Options for the Self Employed
- Lower down payments – may have a larger income
- Larger down payments – may have a lower income
Many view it as paying higher taxes and putting less down or paying fewer taxes and putting the funds in your real estate. We will sort the details out and map the right plan for you. We will also work with your accountant to ensure everyone is working together with the same common goal.
Paperwork to Prepare for the Self Employed
- 2 years Noa’s
- 2 years T1 Generals
- T2s for your company for the most recent 2 years
- Financial statements for the company
- Certificate of incorporation
- Articles of Incorporation
How does Segan (mortgage Insurance) help with the self-employed
Segan previously known as Genworth has a program developed directly for the self-employed that cannot verify traditional income and has between 10% – 20% down and has reasonable credit.
This is Canada’s self-employed Alt A program. Many Canadians use this product in qualifying for their mortgage.
How do we confirm income under the Alt-A Program
Stephanie will look at the bank statements, view the corporate deposits, and employ common sense to determine the income necessary. We will look at the financial statements and confirm the company has an income that is consistent with the industry the business represents.
Some Commonly Asked Questions
Will I pay a higher interest rate as a self-employed?
No, your mortgage interest rate will remain the most competitive.
How many years do I need to be self-employed to qualify for a mortgage?
Each is unique. Some may have incorporated less than 2 years ago but have worked in the same industry for years. With this we have flexibility.
If I was a proprietor for 1 year and incorporated for 1 year will I qualify for a mortgage?
Yes, if within the same industry.
What are addbacks for the self-employed?
Addbacks are used to build back into your income items that you wrote off. You may have written off 20,000 in-vehicle payments, we can build that back into your income to aid in qualifying. There are several items we can apply to this policy too.
Can my company give me my down payment?
Yes, we just need to show the paperwork taking the money out of the business account and the statement showing it deposited into your personal account.
I owe taxes, will this affect my getting a mortgage when I am self-employed?
We will want to verify that your personal taxes are paid.
Can I add my company to the mortgage?
Yes, with the larger down payment.
Contact Stephanie directly and start the conversation. Steph will quickly understand what programs we need to employ to process your mortgage application to guarantee success and move you forward. The initial call will only take 10 minutes to start the process. She will then start the collection of paperwork. Once collected we will move over to the processing portion of the process.
Why Gotobrokers when securing your mortgage as self-employed
We will manage the entire process and create a clear path for the lenders. Stephanie at Gotobrokers is very experienced and will connect you to amazing lenders who understand our Albertan entrepreneurs.
Steph understands the busy entrepreneur and understands the accountant’s role. We work directly with your accountant and collaborate on the necessary items required. We will be hands-on while you focus on ensuring the company has your attention!
We are here to discuss your mortgage needs. Please call, text, or email with any questions you may have.