Your business income needs a closer look.
Self-employed mortgages in Ottawa for business owners, incorporated professionals and contractors whose income does not fit a standard pay-stub application. Discuss your situation with Farhoud Talebi before deciding on a lender.
Start with a conversation. No financial documents needed for your first enquiry.
Does this sound like your situation?
- Your bank qualified you for less than expected after business expenses.
- You pay yourself a mix of salary and dividends from your corporation.
- Your contract or seasonal income varies from month to month.
- You need a purchase, refinance or renewal reviewed alongside your business finances.
Farhoud Talebi
Mortgage Agent Level 1 · Licence M24002651
Caliber Mortgage Inc.
Mortgage brokerage licence 13368
Ottawa and the Greater Ottawa Area, Ontario
Verify licensing with FSRA
Start with how your income was assessed.
Business revenue, profit and personal income are different figures. A bank may have based its decision on documented personal income that is lower than your business revenue. Expenses, debt payments, credit history, the property and the down payment still matter.
A file review starts with the income calculation already used, your business structure and the records available. Taxable income cannot simply be ignored, and a different method does not guarantee a larger mortgage.
Business-for-Self is a way to assess a file, not one mortgage product.
BFS means Business-for-Self. Some self-employed applicants qualify with mainstream lenders using documented income. Other programs accept different evidence, subject to the lender and any mortgage insurer agreeing to the file.
For sole proprietors and partnerships, CMHC permits a 15% gross-up or eligible expense add-backs in its self-employed framework. This is not a blanket increase for every business owner or every expense. Sagen also offers a separate Business for Self (Alt. A) program with its own eligibility, documentation and insurance costs.
- Tax returns and Notices of Assessment can establish the income history and its sources.
- Eligible add-backs need to meet the specific program rules and be supported by records.
- Alternative documentation may include business financials or bank statements. Deposits are not automatically qualifying income.
Salary, dividends and money left in the corporation.
For an incorporated owner, a review separates salary and dividends already paid from funds that remain in the business. T4s, T5s, personal returns and corporate financial statements help explain that picture.
Retained earnings are not automatically your personal income or money available for a down payment. They matter only where a lender program allows them to be considered, with an assessment of ownership, business obligations and sustainable access to funds. The same income must not be counted twice. Coordinate any change in compensation with your accountant.
Self-employed and approaching renewal?
Review the renewal offer alongside your current income records, debts and goals. Staying with the same lender, switching lenders and refinancing can involve different documentation and qualification rules. Extra borrowing or a change to the loan may require a fresh assessment.
If you are already with an alternative lender, check the next renewal terms and what would need to change to qualify elsewhere. A future move to conventional lending is a goal to test, not a promised outcome.
Compare the route, the evidence and the cost.
BFS describes the borrower and assessment approach. It can overlap with mainstream and alternative lending.
- Mainstream / A lending
- Documented income must meet the lender’s rules. Check suitable self-employed methods before assuming an alternative loan is needed.
- BFS programs
- Program-specific evidence can help explain business income. Eligibility, down payment and insurance costs vary.
- Alternative / B lending
- Different income or credit criteria may fit some files. Compare rates, all fees, equity needs and renewal terms.
- Private lending
- A separate category requiring the right licence and a careful suitability review. Costs and exit risk can be significant.
Documents that may help
This is a preparation list. Farhoud will confirm what is needed and how to provide it.
- Recent personal tax returns and Notices of Assessment, often covering two years
- T4s and T5s showing salary and dividends, where applicable
- Business registration or incorporation records and ownership details
- Corporate financial statements or a statement of business activities
- Business bank statements, contracts and evidence of tax balances paid, as requested
- Current mortgage statement or purchase details and down-payment source
Do not send tax returns, account numbers, identification or other financial documents through the enquiry form.
Discuss your situation with Farhoud.
Explain what you are trying to do, what the lender has told you and your timing. The first step is to understand the file and identify what needs a closer review.
All financing is subject to lender approval, documentation, property review and applicable requirements. No approval, rate, loan amount or future refinance is guaranteed.