CMHC Makes it Easier for Self-Employed Canadians to Get a Mortgage

CMHC Makes it Easier for Self-Employed Canadians to Get a Mortgage

Self-employed mortgages are getting easier – it’s about time! 

The Canadian Mortgage and Housing Corporation (CMHC) is planning to make changes to allow self-employed Canadians to qualify for mortgages more easily. The agency plans to give lenders more flexibility and guidance, so they can help people who are self-employed to borrow money.

Self-employed Canadians face challenges with mortgage qualifications

Self-employed Canadians currently find it difficult to qualify for a mortgage. They often have unpredictable income levels compared to those earning a steady wage from a standard employer.

The CMHC will provide guidelines to help lenders make the right decisions when allowing self-employed Canadians to borrow money for a mortgage. Preventing factors include:

  • Having a business for less than 24 months, and;
  • Being in the same line of work for less than 24 months.

Lenders will receive documentation showing employment and income requirements for borrowing. These changes took place for portfolio insurance and transactional insurance on Oct 1st, 2018.


In a statement, Chief Commercial Operator at CHHC, Romy Bowers, said self-employed Canadians make up a large portion of our workforce. He added that changes are necessary to help self-employed people borrow the money they need at a reasonable interest rate, and purchase a home.