Can I Buy a House if Self-Employed?
Yes. While it might be slightly more challenging to finance your new home or leverage the equity of your existing home, there are still a number of options available to you.
In general, proof of steady and reliable income is considered an important criterion in the mortgage qualification. Therefore, as a self-employed individual, you will need to prove your status as an ideal loan candidate.
To qualify for a mortgage as a self-employed person, you’ll need to provide your most recent Notice of Assessment. This will ensure proof of both income and taxes. You might be required to provide other documentation, depending on the lender. Additional supporting documentation can include:
- Financial business statements
- Credit score
- Contracts (expected revenue)
- Proof of down payment not being gifted
- and more
How Does a Self-Employed Person Qualify for a Mortgage?
Just like any other prospective mortgage payment, a candidate will have to be in good financial standing and meet various standards of eligibility.
In addition to proof of income and self-employment status, you’ll want to maximize your credit score, reduce your existing debts, and have your taxes up to date.
You can be confident in our ability to guide you through each step of the mortgage application process.
Plan ahead with our brokers––we will get you the approval you need.
Do Self-Employed Mortgages Have Higher Interest Rates?
Yes, in most cases. Depending on the lender you choose to finance your mortgage with, you will have to pay a higher interest rate or make a larger down payment. Self-employed borrowers can expect higher interest rates because they are not considered as creditworthy as prime borrowers, due to their unsteady or unverifiable income.
Your mortgage broker at Today's Mortgage Choice will make every effort to locate the most competitively priced options for your situation.
What Lenders Should I Choose for a Self-Employed Mortgage?
A number of lenders offer specialized options geared towards the self-employed. We would be happy to show you through these various plans and products and help you to make the most informed decision.
Schedule a consultation with us today to discuss your options.
Today's Mortgage Choice Can Help You Qualify for a Self-Employed Mortgage
Our team of experienced, qualified brokerage staff at Today's Mortgage Choice can assist you with the application process as well as browsing mortgage options. We have assisted countless self-employed individuals in achieving the dream of homeownership.
Being self-employed does not limit your chances of qualifying for a mortgage. Contact our specialists now. We are available for all your financing needs.