Getting a Mortgage When You’re Self-Employed: What You Need to Prepare

If you’re self-employed in Canada and dreaming of owning a home, you might already know that getting a mortgage isn’t quite as straightforward as it is for someone with a traditional 9-to-5 job. But that doesn’t mean it’s impossible—it just means you need to be prepared, organized, and working with the right mortgage professional.

As an Associate Mortgage Broker, I specialize in helping self-employed individuals across Nova Scotia secure mortgage financing that fits their unique situation. Here’s what you need to know to improve your chances of approval and secure the best possible rate.

1. Lenders Want to See Income Stability

When you're self-employed, lenders can’t rely on a simple pay stub or T4. Instead, they’ll look for proof of stable, verifiable income over the past two years.

Be prepared to provide:

Two years of personal and business tax returns
Notices of Assessment from CRA
Financial statements prepared by an accountant
Business licenses or incorporation documents

The more consistent your income, the stronger your application.

2. Keep Your Business and Personal Finances Clean

Lenders will review your finances in detail, so make sure you’re:

Declaring your full income (undocumented income may not count)
Paying your taxes on time
Keeping business expenses reasonable (to show more net income)
Maintaining a healthy credit score

Tip: Consider working with a bookkeeper or accountant to ensure your finances are clean and lender-ready.

3. Know Your Credit Score

Whether you're employed or self-employed, your credit score plays a major role in qualifying for a mortgage. Aim for a score of 680+ for the best rates.

If your credit isn’t quite there yet, I can help you create a plan to improve your credit and boost your approval odds.

4. Consider Alternative Lenders

If your income is harder to prove or your credit is less than perfect, don't worry—alternative mortgage lenders may offer more flexible options.

As a broker, I have access to:

Traditional lenders (big banks)
Monoline lenders
Credit unions
B-lenders and private lenders who specialize in self-employed mortgages

Having multiple options allows me to find a solution that works for your situation—not just the bank's.

5. Get a Mortgage Pre-Approval First

Before shopping for a home, it’s smart to get pre-approved so you know how much you can afford and what documents you’ll need.

Pre-approval helps:

Lock in a rate for up to 120 days
Identify any red flags early
Give you confidence when making an offer

Final Thoughts: Preparation Is Power

Getting a mortgage as a self-employed borrower is absolutely possible—you just need to approach it strategically. Working with an experienced Associate Mortgage Broker gives you the advantage of having someone on your side who understands the process, speaks the lender’s language, and helps you put your best foot forward.

Thinking about buying a home or refinancing while self-employed? Let’s talk! I’ll walk you through exactly what you need and help you create a solid plan to move forward.