Self Employed?

Purchasing a home is an exciting milestone, and for self-employed individuals, it can be an opportunity to invest in your future. Obtaining a mortgage as a self-employed borrower often comes with unique challenges; however, MMG Mortgages has some of the most creative options for self-employed individuals looking for maximum financing. Most self-employed applicants claim little income on their personal income tax returns, which can mean that your maximum mortgage qualification is reduced. Here are a few options available for self-employed individuals:

1. Traditional Mortgage: Self-employed clients can pay themselves through traditional means such as salaried income reporting on T4s and/or dividend income. Using claimed income for mortgage qualifying is straight forward, but you may qualify for less than you would with the other options available.

2. Stated Income: Stated income mortgages are designed specifically for self-employed individuals and is used to project what your allowable income for mortgage financing will be based on bank statements, prior tax returns, and reasonability.

3. Business Financial Statement Review: We review financial statements which may show areas where we can add back deductions to increase your qualifying income.

4. Alternative Lending Options: With 20% down payment, we can look at lenders that don’t conform with the traditional lending requirements opening up more lending options. For example, we can look at your business bank statements and extrapolate what income we can use for the year.

Obtaining a mortgage as a self-employed individual can have its challenges, but we’re here to help! MMG Mortgages specializes in providing mortgage solutions tailored to the unique needs of self-employed individuals.