Being your own boss comes with many benefits, but securing a self-employed mortgage can feel like an uphill battle. Unlike traditional employees, self-employed individuals must prove their income stability to lenders, which can be challenging if your earnings fluctuate. At Capital Mortgages, we specialize in helping self-employed professionals in Ottawa, Kanata, Barrhaven, and Orleans get the financing they need.
What Lenders Look for in a Self-Employed Mortgage Application
Traditional lenders evaluate income differently for self-employed applicants. Instead of relying on a steady paycheck, they look at factors like:
- Income history – Usually, lenders require two years of tax returns or financial statements.
- Debt-to-income ratio – Your outstanding debts versus your earnings.
- Credit score – A higher credit score improves your chances of approval.
- Down payment – A larger down payment can help offset income variability.
Working with a mortgage broker in Ottawa can streamline the process, ensuring you meet lender requirements with a strong application.
Tips to Improve Your Mortgage Approval Chances
If you’re applying for a self-employed mortgage in Ottawa, consider these strategies:
- Keep Financial Records Organized
Maintain accurate income documentation, tax returns, and business statements to prove income consistency. - Reduce Personal Debt
Lower outstanding debts before applying to improve your debt-to-income ratio. - Increase Your Down Payment
A larger down payment can make you a more attractive borrower and may help secure better rates. - Work with a Mortgage Broker
A professional at Capital Mortgages can connect you with lenders who specialize in self-employed borrowers.
Get Expert Help from Capital Mortgages
Navigating the mortgage process alone can be difficult, but Capital Mortgages is here to help. Our team has extensive experience securing self-employed mortgages and will guide you every step of the way.
👉 Apply today: https://capitalmortgages.com/apply-now/
📞 Call us: (613) 228-3888
📧 Email us: info@capitalmortgages.com
For more info, visit our Instagram page.
What Our Clients Say
Rachel S., Ottawa:
“As a freelancer, I struggled to find a lender who understood my income situation. Capital Mortgages found me the perfect solution!”
James T., Barrhaven:
“I was worried about mortgage approval because my income fluctuates. The team at Capital Mortgages made the process easy and stress-free.”
Lisa M., Kanata:
“I had been turned down by a bank, but Capital Mortgages helped me secure a mortgage with a great rate. Highly recommend them!”
Frequently Asked Questions
- Do self-employed borrowers need a larger down payment?
Not necessarily, but a bigger down payment can increase approval chances and help you secure a lower rate.
- What if I don’t have two years of tax returns?
Some lenders offer alternative income verification options. A mortgage broker in Ottawa can help you find the right lender.
- Can I qualify for a mortgage with fluctuating income?
Yes! Many lenders assess average earnings over two years. Strong financial records and a good credit score improve your chances.
Getting a mortgage as a self-employed individual doesn’t have to be stressful. Capital Mortgages will help you find the right solution tailored to your financial situation. Contact us today!