So you’ve found your dream home in the True North Strong and Free! But before those moving boxes appear, there’s a crucial step: securing your mortgage. To navigate this process smoothly, you’ll need to gather some key documents. Don’t worry, we’ve got you covered! Here’s a breakdown of the essentials lenders typically require:

Note: While a combination of these documents is likely to be needed, it’s unlikely that the bank will request ALL of them. Documents requests are made on a case-by-case basis depending on the applicants, nature of income, etc.

 

Proof of Identity:

Government-issued photo ID (ex. driver’s license, passport, provincial identification card) with your current address. Health cards are generally not acceptable photo ID.

 

Income and Employment:

Pay stubs: Most recent pay stub to verify current income and employer. Under some scenarios, banks might ask for 2-3 pay stubs, or the previous year’s end pay stub.

Tax forms: T1 General tax return (previous years) and T4 slips (employment income)

Notice of Assessment (NOA) From the past 1-2 years (shows income reported to the Canada Revenue Agency and whether substantial personal income tax is owing)

Letter of employment (recent, verifies your position, start date and pay rate)

 

Financial Fitness:

Bank statements (past 1-3 months): Shows proof of certain income deposits (payroll, child care benefit, pension, disability, etc.)

List of assets and investments: Provides a complete picture of your financial resources and helps calculate your net worth

 

Down Payment Details:

Sale agreement of existing property (if applicable)

Statements for savings accounts or investments (proof of down payment funds, usually under 90 days old)

Gift letter (if receiving down payment help): Explains the source and amount of the gift

 

Property Particulars:

Final purchase and sale agreement

MLS Listing (details the property)

Legal description of the home

 

Additional Considerations:

Self-employed individuals may need additional income verification documents (business license or articles of incorporation, HST number, business bank statements or financials, invoices, etc.)

First-time homebuyers may need documentation for RRSP or FHSA withdrawal under the Home Buyer’s Plan

Be prepared to provide your Social Insurance Number (SIN) for verification purposes and credit bureau inquiries.

Top Tip: While this is a general list, it’s always best to check with your mortgage broker for their exact requirements based on the bank or lender. They may have additional documents needed based on your unique situation.

Getting a mortgage can seem daunting, but by having your documents organized, you’ll be one step closer to securing your Canadian home sweet home!

 

Contact us today to narrow down this list based on your application and mortgage request.