Please note: The lender may request additional documentation beyond what is listed here, depending on your specific financial situation. Having these ready will help streamline the application and avoid delays.
What You'll Need
What You’ll Need
When applying for a mortgage, it’s important to provide documents that verify your identity, income, assets, and financial obligations. To ensure a smooth process, please provide documents that:
- Clearly show proof of ownership (your name must appear on the document).
- Are unaltered and free from redactions.
General Documentation
Personal Identification
Provide government-issued ID (front and back), such as a passport or driver’s license, to verify your identity. If we’re meeting virtually, identity verification through a third-party service (e.g., Verifast) will also be required. A link to the verification service will be provided for easy access.
List of Assets
A detailed overview of your current financial assets, including:
- Cash on Hand: Chequing or savings account balances.
- Investments: Such as RRSPs (Registered Retirement Savings Plans), TFSAs (Tax-Free Savings Accounts), stocks, bonds, mutual funds, or other holdings.
- Gifted Down Payments: If any gifted funds from immediate family members are intended for your down payment, a completed gift letter will be required. We will provide the template for you.
- Other Assets: Additional items of value, such as vehicles or other significant personal assets.
For Homeowners
If you currently own property, provide the following:
- Mortgage Statement(s): The most recent statement showing the balance owing, interest rate, payment terms, and maturity date.
- Municipal Property Tax Statement(s): Including confirmation that property taxes are paid and up to date for any properties you own.
Income Documentation
Income verification is a key part of the mortgage application process, as it demonstrates your ability to make regular mortgage payments. Below is a detailed breakdown of the income documentation required based on employment type.
Salary / Guaranteed Hourly
For salaried or guaranteed hourly employees, lenders look for steady, full-time employment. You should be past any probationary period before the mortgage closes.
Documentation Required:
- Letter of employment
- Recent pay statement(s)
- One annual income document, such as a T4 or CRA Notice of Assessment
Salary Plus Commission, Bonus, or Overtime
For commission, bonus, or overtime income, lenders typically average your earnings over a two-year period.
Documentation Required:
- Letter of employment detailing bonus or commission structure
- Recent pay statement(s) and, if applicable, year-end pay statement(s)
- Last two years of T4’s & CRA Notices of Assessment, with proof of no taxes owing
Hourly Wage (Non-Guaranteed Hours)
For employees with variable hours, lenders use a two-year average to confirm stability.
Documentation Required:
- Letter of employment
- Recent pay statement(s)
- Last two years of T4’s and CRA Notices of Assessment, with proof of no taxes owing
Commission-Only Income
Commission-only income is typically averaged over two years due to variability.
Documentation Required:
- Letter of employment outlining commission structure
- Last two years of T1 General tax returns or T4’s or T4A’s
- Last two years of CRA Notices of Assessment, with proof of no taxes owing
Self-Employment Income
Lenders generally require a two-year average of self-employment income.
Documentation Required:
- Last two years of full T1 General tax returns and CRA Notices of Assessments with proof of no taxes owing
- For incorporated businesses: Articles of Incorporation and Corporate Financial Statements
Seasonal or Part-Time Work
Lenders average seasonal or part-time incomes over a two-year period.
Documentation Required:
- Letter of employment
- Recent pay statement(s)
- Last two years of T4’s from all employments and CRA Notices of Assessment, with proof of no taxes owing
Retirement or Pension Income
Consistent monthly deposits are required to confirm retirement income.
Documentation Required:
- Pension slips
- T4A slips
- 3 months of bank statements showing direct deposits
Spousal and Child Support
Spousal and child support payments can be used as qualifying income if they are consistent and legally binding. Lenders may consider up to 30-50% of this income, depending on lender guidelines.
Documentation Required:
- Legal separation or divorce agreement, detailing the support payment terms
- Bank statements showing regular support payments received over the past 6-12 months
- For child support: Birth certificates or government-issued documents confirming children’s ages
Child Tax Benefit
For Child Tax Benefits, lenders require proof of regular payments and confirmation of child age for income qualification.
Documentation Required:
- Canada Child Benefit (CCB) Annual Statement issued by the CRA, or bank statements showing automatic CCB deposits
- Confirmation of age for each child
Rental Income
Rental income is assessed based on proven rental history or projected earnings for new units.
Documentation Required:
- Tenancy Agreements
- Three recent Bank statements showing rental deposits
- Last two years of Full T1 General Tax Returns with Statement of Real Estate Income and CRA Notices of Assessment, with proof of no taxes owing
- For new units: Fair market rent assessment if required
Investment Income
Consistent investment income over a two-year period is typically required.
Documentation Required:
- Investment statements
- Last two years of T1 General along with T5 slips
- Last two years of CRA Notices of Assessment, with proof of no taxes owing
Maternity Leave Income
Lenders evaluate maternity leave income based on return-to-work plans.
Documentation Required:
- Most recent pay statement(s)
- Letter from employer confirming maternity leave details and return-to-work date
Disability Income
Lenders assess disability income based on stability and duration, with a preference for long-term or permanent benefits.
Documentation Required:
- Letter of confirmation for status (permanent or non-permanent) and amount and if taxable or non-taxable.
- Bank statements showing regular deposits
- CRA Notice of Assessment, if applicable
Medical Professional Programs
Special mortgage programs with flexible terms are available for newly practicing physicians, dentists, and veterinarians.
Documentation Required:
- Proof of enrollment or recent program completion (within the last 24 months)
- For foreign-trained professionals: Confirmation of active registration with a provincial college, if applicable
Additional Notes
While this list covers the most common documents required for a mortgage application, lenders may request additional information depending on your unique financial situation. Providing accurate, complete, and unaltered documents will help ensure a smoother process.
If you have questions about the required documentation or need assistance, we’re here to help. Don’t hesitate to reach out to us—we’ll guide you every step of the way.
Ready to Get Started? Apply Now or Contact Us to begin your mortgage application journey today!