Self Employed Mortgage Mississauga
Borrow up to 80% of the appraised value of your home
Fund home renovations
Help pay for major purchases
Low-interest rates
Straightforward process
Apply For Self Employed Mortgage
Self Employed Mortgage Mississauga
Looking to apply for a mortgage? Worried traditional lenders might reject your application because you are a self-employed individual? Don’t worry, we offer a comprehensive range of mortgage solutions for self-employed individuals ensuring they purchase the house of their dreams. If you need help applying for one or wish to find out more information, please do not hesitate to reach out to our team today. We will be more than happy to address any queries that you may have.
What is a Self-Employed Mortgage?
A self-employed mortgage is designed for borrowers who earn income from their own business rather than from an employer that pays a salary. The underlying difference between both is that a self-employed individual income is inconsistent, while a salaried person gets a consistent paycheck at regular intervals.
In a standard traditional mortgage application process, the lender will take a look at your net income from the last year’s tax return. A self-employed individual on the other hand has a lower figure due to tax deductions and claimed expenses. Here at Harpreet Puri Mortgage , we will consider the above-mentioned and allow borrowers some freedom when reporting their net income.
A self-employed mortgage is not your traditional mortgage. It is a great financial instrument for individuals who run full or part-time businesses and sole proprietorships. If you are a self-employed individual that is incorporated, you must own the corporation and either draw a salary or dividend to be considered self-employed.
How to Qualify for a Self-Employed Mortgage?
To qualify for a self-employed mortgage mississauga, you must have operated your business for a minimum of at least two years. In some cases, a few lenders might require that the business owner operated the company for at least two years. Furthermore, you will need to present personal tax returns of at least 2 to 3 years alongside the mortgage application. By presenting this proof of income, you may be able to enjoy the same mortgage products and rates that traditional borrowers would enjoy.
For those self-employed individuals that have a bad credit score, they would be required to pay a minimum of 10% or higher as a minimum down payment when compared to the regular 5%. To find out more details about self-employed mortgages in Mississauga, speak with a member of our team today.
Types of Self-Employed Mortgage based on Income Declared:
Below mentioned are three major verification types based on the income declared:
- Traditional Income
- Non-traditional income
- Stated income
1.Traditional Income
Regular employment income can be classified as traditional income, as it can be verified with personal tax returns. This verification type will not work for most self-employed people who are looking to confirm their real income.
2.Non-Traditional Income
Over here, the personal tax return of the borrower is not a reflection of their actual income. It is the business’s bank and financial statements that are used to verify the real income. This is the category of declared income where most self-employed individuals fall.
2. Stated Income
Also referred to as “no income verification mortgages”, it suggests that neither of the above methods works and the borrower cannot verify their income. This method of verification is usually accepted by B Lenders and private lenders.
1. Traditional Income
Regular employment income can be classified as traditional income, as it can be verified with personal tax returns. This verification type will not work for most self-employed people who are looking to confirm their real income.
2. Non-Traditional Income
Over here, the personal tax return of the borrower is not a reflection of their actual income. It is the business’s bank and financial statements that are used to verify the real income. This is the category of declared income where most self-employed individuals fall.
3. Stated Income
Also referred to as “no income verification mortgages”, it suggests that neither of the above methods works and the borrower cannot verify their income. This method of verification is usually accepted by B Lenders and private lenders.
Advantages of Getting A Self-Employed Mortgage:
Access to competitive rates:
These mortgages are created to help self-employed individuals buy a house. If you can provide the lender with enough stated income, save up for a down payment, or secure insurance through the CHMC mortgage program, you can get access to competitive rates.
Qualify for a much higher mortgage amount:
If you work with a lender that accepts stated-income mortgages, you will stand a chance of getting approved for a higher amount than if you’d visit a traditional mortgage lender.
Straightforward and efficient approval process:
Unlike a traditional mortgage where you will have to wait for weeks, sometimes even months to get your mortgage application approved, with a stated-income mortgage, you can get approved in a matter of hours.
Save a lot of money on taxes:
With a self-employed mortgage, you can save a lot of money on your taxes, while at the same time qualifying for favourable fixed and variable mortgage rates and terms in general than going through the traditional avenues.
Pros of working with Harpreet Puri Mortgage Agent for a Self-Employed Mortgage:
We offer clients a plethora of mortgage options and far better rates and terms
The mortgage application process is straightforward and hassle-free
We offer professional advice and customize our services to suit your specific mortgage requirements.
Our work is purely based on a commission basis, so you need not worry if you don’t get your mortgage request approved, as they will not get paid. This gives our Agents much more incentive to work efficiently to secure your mortgage.
Making Sure the Experience is not Stressful
Mortgage financing as a self-employed individual doesn’t have to be a hassle. We will provide several options that are customized to meet your specific needs, including ensuring you get into your dream home as quickly as possible. If you are a self-employed individual in Mississauga planning to purchase a house, you can rely on the team at Harpreet Puri Mortgage Agent.
You can rest assured; that we go above and beyond to make sure your mortgage application gets approved without having much to stress about. If you are considering buying a house, we can help. Call our team today to learn more about your options. We are based in Mississauga and offer our services throughout the nation.
Helping you Secure the Best Terms and Rates for a Self-Employed Mortgage
With years of experience in the industry, we have a solid relationship with several lenders that can provide low rates and terms for self-employed people looking to apply for a loan. If you can put down a sizeable down payment and provide the lender with a reliable source of income, you can even qualify for a traditional mortgage. Based on the premium and interest rates, it can be proven to be a wise investment. Our expert mortgage Agents at Harpreet Puri Mortgage Agent can offer top-class advice on what type of mortgage is best suited for your needs. To schedule an initial consultation with our team, contact us now.
HarpreetPuri Mortgage Agent can help you secure your self-employed mortgage, including offering comprehensive mortgage solutions at favourable rates and terms. Call today to find out more.
Can I get approved for a mortgage if I am self-employed?
Yes, there are mortgage loans available when one works out. The IRS generally requires that self employed workers provide proof of income for two years.
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