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Notices of assessment, full T1s, financial statements: what a lender requires from a self-employed borrower in Grand Montréal, and the order to get it together.
A lender doesn’t read business income like a salary. Some take a two-year average after expenses. Others agree to add back non-recurring expenses, or to look at the company’s own income. That difference in method, more than the amount, decides the answer.
Two years of complete notices of assessment and T1s, your financial statements or balance sheets if you’re incorporated, and recent business account statements. If you expect some expenses to be added back to qualifying income, bring what justifies them.
A document has to be recent, readable and consistent with the rest of the file. A statement with a page missing, or a name spelled differently than on your notice of assessment, and a Grand Montréal file goes back for clarification.
Names, dates, balances, where the money came from: everything has to match from one document to the next. An unexplained deposit is the most common reason a Grand Montréal file stalls at the verification stage.
An unusual amount, a missing page, two statements that do not agree: the lender will ask, so answer before it does. A gift, a bonus or a transfer between your own accounts goes through fine once it is documented, in Grand Montréal as anywhere.
The lender’s calendar, the insurer’s and the notary’s all have to mesh. It is nearly always the last link that hands in its confirmation after the condition has expired.
To prepare
Yes. It all runs by phone, email or video call, and documents go through online. We can meet in person, but most files get settled without anyone having to travel.
Yes, if the declared income supports the loan. The rate follows the file, not the status. What caps the amount is net income after expenses, and that is where the choice of lender changes the result.
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Buying, renewing, refinancing, or something a bit out of the ordinary: tell us where you’re at, even if it’s still fuzzy. Mathieu gets back to you with next steps and the documents to pull together.