Providing traditional forms of documentation to substantiate income can be difficult for many self-employed and commissionbased borrowers. To streamline the home financing process for self-employed borrowers with or without traditional third party validation of income, CMHC offers two mortgage loan insurance options.
Features
Available for purchase and refinance
Self-employed borrowers with documentation to support their income have access to all existing 1 – 4 unit CMHC Mortgage Loan Insurance products subject to the same product criteria and insurance premiums as salaried borrowers
Borrowers without traditional forms of income validation can access CMHC insured financing for purchase of up to 95% loan-to-value ratio (90% for refinance) for a 1 – 2 unit owner-occupied property
Borrower’s income tax payment status: lender simply has to ask borrower if their income taxes are current, no documentation is required for borrowers who have difficulty providing traditional third party income validation
Flexible financing options - single advance, progress advances and extended amortization periods are available