Eligibility – CMHC Self-Employed Mortgage Program
To be eligible for CMHC Self-Employed Mortgage Program, you must meet the following criteria:
- Be self-employed for at least two years and have a valid Canada Revenue Agency (CRA) business number.
- Have a strong credit history and be able to demonstrate a minimum credit score of 600.
- Provide documentation of your income, which can include Notice of Assessments (NOA) from the CRA, financial statements, and/or business bank statements.
- Have a down payment of at least 10% of the purchase price of the home.
Features of CMHC Self-Employed Mortgage Program
The CMHC Self-Employed Mortgage Program offers several features that are tailored to meet the unique needs of self-employed individuals, including:
- Reduced documentation requirements: Unlike traditional mortgages, CMHC Self-Employed Mortgage Program allows for reduced documentation requirements, making it easier for self-employed individuals to provide proof of income.
- Competitive interest rates: CMHC Self-Employed Mortgage Program offers competitive interest rates that are comparable to those of conventional mortgages, making it an attractive option for self-employed borrowers.
- Flexible down payment options: With CMHC Self-Employed Mortgage Program, you can qualify for a mortgage with as little as 10% down payment, providing more flexibility for self-employed individuals who may have challenges saving for a larger down payment.
- Amortization period of up to 25 years: CMHC Self-Employed Mortgage Program allows for an amortization period of up to 25 years, providing self-employed borrowers with a longer time frame to repay their mortgage, which may result in more affordable monthly payments.
How to Apply for CMHC Self-Employed Mortgage Program
To apply for CMHC Self-Employed Mortgage Program, you will need to work with a mortgage professional who is authorized to offer CMHC-insured mortgages.
They will guide you through the application process and help you determine your eligibility.
You will need to provide documentation of your self-employment income, credit history, and down payment, as well as any other required documentation as per CMHC’s guidelines.
Conclusions and Further Thoughts
If you are self-employed and looking to buy a home, CMHC Self-Employed Mortgage Program can be a valuable option to consider. This program provides self-employed individuals with a flexible and accessible way to obtain a mortgage, with reduced documentation requirements and competitive interest rates.
With a down payment of as little as 10% and an amortization period of up to 25 years, CMHC Self-Employed Mortgage Program offers self-employed individuals a path to homeownership that may have otherwise been challenging to attain.
To learn more about this program and determine if you are eligible, consult with mortgage professionals like Huber Mortgage (authorized to offer CMHC-insured mortgages).
With CMHC Self-Employed Mortgage Program, you can unlock the door to homeownership and achieve your dream of owning your own home.
PS – One of my hobbies is blogging about mortgages, debt and government policy. During the day I’m a MORTGAGE BROKER in Kelowna, BC!
Check out the Huber Mortgage Home Buyers Guide HERE