Self-Employed in Vancouver: What You’ll Need to Know Before Applying for a Mortgage

Marci • June 19, 2014

Getting a mortgage in Vancouver these days has proven to be trickier than ever for first-time homebuyers and existing homeowners. But there’s one particular group of homebuyers that is having a much more difficult time getting approved for a mortgage: the self-employed. Those who work for themselves and are looking for a mortgage to finance a home in Vancouver might find the whole process tricky, but it’s not impossible. Here are some important things to know before applying for a mortgage if you’re self-employed.
Self-Employed in Vancouver- What You'll Need to Know Before Applying for a Mortgage

Every Penny Must Be Documented

The most important piece of information that lenders want to see before approving a self-employed individual for a mortgage is proof of income. In Canada, personal income tax statements can be used to prove a sustainable influx of cash. Certain pieces of information must be provided to a lender, including a Notice of Assessment for the last two years, a business license, two pieces of I.D., financial statements for the past two years if the business is incorporated, and proof of a down payment.

Proving Your Income Is an Absolute Must…..Sort of!

Lenders definitely need solid proof that your business generates more than enough profit to allow you to comfortably make your mortgage payments on time and in full every month. Lenders are not in the business of taking risks on self-employed individuals who are unable to prove their income.

At least two years of accounts are typically what lenders want to look at before they decide whether or not to offer you a particular mortgage. It’s advisable to get these account statements gathered by a certified accountant so the lender can be more comfortable, and confident that the numbers are accurate. It’s important that you understand the figures as stipulated in the account statements, and can answer any questions the lender may have about them. For example, if the statement shows a slight dip in your income at some point in the recent past, you need to be able to explain why. Clear explanations for any fluctuations in income can help a lender feel more confident in your income flow, and thereby increase the chances of you getting approved for a mortgage as a self-employed individual.

Some lenders are still offering programs that allow self-employed income to be “stated”. In these cases, insurance premiums are higher and we still need prove reasonability of the income. Documentation is important to show taxes are paid and up to date. Make sure you talk to a Mortgage Broker who understands how this process works and can advise you of all the requirements and costs involved.

Your Credit History Is Crucial

As with anyone applying for a mortgage, a healthy credit history is very important for a borrower who is self-employed. When it comes to securing a mortgage, a high credit score goes a long way. It demonstrates your ability to effectively manage your debt, which is crucial to a potential lender.

Boost Your Bank Account

Aside from your proof of income and your credit history, having a big chunk of liquid cash in the bank to use as a down payment on a future home is a big plus in the eyes of a lender, especially if you’re self-employed. A sizeable down payment and a healthy bank account can help convince a potential lender that you’re less likely to be a liability as far as credit is concerned. Since incomes tend to fluctuate from year to year for those who are self-employed, having a reserve of funds can offer an essential financial cushion to fall back on.

When looking to apply for a mortgage, it’s always best to talk to a mortgage broker first. A mortgage specialist is invaluable for those who are self-employed looking to secure a mortgage. They’ll know which lenders deal with self-employed individuals, and who can get you the best rate. For expert advice on Vancouver real estate, email your trusted mortgage broker today! marci@askmarci.ca

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Is Refinancing Your Mortgage a Good Way to Consolidate Debt?

By Marci Deane • December 3, 2025
If you're a homeowner juggling multiple debts, you're not alone. Credit cards, car loans, lines of credit—it can feel like you’re paying out in every direction with no end in sight. But what if there was a smarter way to handle it? Good news: there is. And it starts with your home. Use the Equity You’ve Built to Lighten the Load Every mortgage payment you make, every bit your home appreciates—you're building equity. And that equity can be a powerful financial tool. Instead of letting high-interest debts drain your income, you can leverage your home’s equity to combine and simplify what you owe into one manageable, lower-interest payment. What Does That Look Like? This strategy is called debt consolidation , and there are a few ways to do it: Refinance your existing mortgage Access a Home Equity Line of Credit (HELOC) Take out a second mortgage Each option has its own pros and cons, and the right one depends on your situation. That’s where I come in—we’ll look at the numbers together and choose the best path forward. What Can You Consolidate? You can roll most types of consumer debt into your mortgage, including: Credit cards Personal loans Payday loans Car loans Unsecured lines of credit Student loans These types of debts often come with sky-high interest rates. When you consolidate them into a mortgage—secured by your home—you can typically access much lower rates, freeing up cash flow and reducing financial stress. Why This Works Debt consolidation through your mortgage offers: Lower interest rates (often significantly lower than credit cards or payday loans) One simple monthly payment Potential for faster repayment Improved cash flow And if your mortgage allows prepayment privileges—like lump-sum payments or increased monthly payments—those features can help you pay everything off even faster. Smart Strategy, Not Just a Quick Fix This isn’t just about lowering your monthly bills (although that’s a major perk). It’s about restructuring your finances in a way that’s sustainable, efficient, and empowering. Instead of feeling like you're constantly catching up, you can create a plan to move forward with confidence—and even start saving again. Here’s What the Process Looks Like: Review your current debts and cash flow Assess how much equity you’ve built in your home Explore consolidation options that fit your goals Create a personalized plan to streamline your payments and reduce overall costs Ready to Regain Control? If your debts are holding you back and you're ready to use the equity you've worked hard to build, let's talk. There’s no pressure—just a practical conversation about your options and how to move toward a more flexible, debt-free future. Reach out today. I’m here to help you make the most of what you already have.

Breaking Down the Real Costs of Homeownership

By Marci Deane • November 26, 2025
Don’t Forget About Closing Costs When planning to buy a home, most people focus on saving for the down payment. But the truth is, that’s only part of the equation. To actually finalize the purchase, you’ll also need to budget for closing costs —the out-of-pocket expenses that come up before you get the keys. Closing costs can add up quickly, which is why they should be part of your pre-approval conversation right from the start. Lenders will even require proof that you’ve got enough funds set aside. For example, if you’re getting an insured (high-ratio) mortgage, you’ll need at least 1.5% of the purchase price available in addition to your down payment. That means a 10% down payment actually requires 11.5% of the purchase price in cash to make everything work. Let’s break down some of the most common expenses you should prepare for: 1. Home Inspection & Appraisal Inspection : Paid by you, this gives peace of mind that the property is in good shape and doesn’t have hidden problems. Appraisal : Required by the lender to confirm value. Sometimes this is covered by mortgage insurance, sometimes by you. 2. Legal Fees A lawyer or notary is required to handle the title transfer and make sure the mortgage is properly registered. Legal fees are often one of the larger closing costs—unless you’re also responsible for property transfer tax. 3. Taxes Many provinces charge a property or land transfer tax based on the home’s purchase price. These fees can range from hundreds to thousands of dollars, so you’ll want to factor them in early. 4. Insurance Property insurance is mandatory—lenders won’t release funds without proof that the home is insured on closing day. Optional coverage like mortgage life, disability, or critical illness insurance may also be worth considering depending on your financial plan. 5. Moving Costs Whether you’re renting a truck, hiring movers, or bribing friends with pizza and gas money, moving comes with expenses. Cross-country moves especially can be surprisingly pricey. 6. Utilities & Deposits Setting up new services (electricity, water, internet) can involve connection fees or deposits, particularly if you don’t already have a payment history with the utility provider. Plan Ahead, Stress Less This list covers the big-ticket items, but every purchase is unique. That’s why it pays to have an accurate estimate of your personal closing costs before you make an offer. If you’d like help planning ahead—or want a breakdown tailored to your situation—let’s connect. I’d be happy to walk you through the numbers and make sure you’re fully prepared.

Why a Mortgage Pre-Approval Protects Both Your Head and Your Heart

By Marci Deane • November 19, 2025
Why a Mortgage Pre-Approval Protects Both Your Head and Your Heart There’s no denying it—buying a home is an emotional journey. In a competitive market, it can feel like you need to stretch beyond your comfort zone or bid above asking just to have a chance. That pressure can make it hard to separate what you want from what you can realistically afford. One of the biggest pitfalls buyers face is falling in love with a home that’s outside their price range. Once that happens, every other property seems like a compromise—even the ones that might have been a perfect fit otherwise. The best way to avoid this heartache? Get pre-approved before you start shopping. What a Pre-Approval Does for You A mortgage pre-approval gives you more than just a number—it provides clarity, confidence, and protection: Know your buying power : Shop within your true price range and avoid disappointment. Spot potential roadblocks : Uncover issues like credit bureau errors before you make an offer. Get organized : Learn exactly what documentation you’ll need so there are no surprises. Lock in a rate : Many lenders hold your rate for 30–120 days, giving you peace of mind if rates rise. Save yourself heartache : Protect yourself from falling for a home you can’t afford. Head vs. Heart Buying a home is about balance. Your head tells you what’s financially sound, your heart tells you what feels right—and both matter. A pre-approval helps bring those two sides together, so you can make confident choices without emotional stress clouding your judgment. The Bottom Line Looking at properties for fun is one thing—but if you’re serious about buying, a pre-approval is the smartest first step you can take. It sets realistic expectations, saves time, and protects your emotions along the way. If you’d like to explore your options and get pre-approved, I’d be happy to walk through the process with you. Let’s make sure you’re ready to shop with confidence.