How Our Self-Declared Income Program Empowers Mortgage Brokers
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May 13, 2025 |
How Our Self-Declared Income Program Empowers Mortgage Brokers
As an alternative lender, we empower mortgage brokers with our flexible Self-Declared Income Program—helping self-employed clients qualify without T4s or NOAs.
13.2% of the employed population is self-employed, and many of them are being turned down by traditional lenders, even with excellent credit, strong income, and healthy down payments. Sound familiar? In today’s dynamic economy, more Canadians are forging their own path—starting businesses, freelancing, investing in real estate, or joining the gig economy—a segment that now includes over one in four self-employed Canadians. This growing segment of self-employed borrowers may earn well above average, yet struggle to qualify for traditional mortgage financing.
As a mortgage broker, you’ve probably run into this situation before: your client is clearly financially capable, but lacks the standard documents (T4s, NOAs) to prove it on paper. What now?
That’s where our Self-Declared Income Program comes in.
We created this program because we don’t believe strong borrowers should be penalized for how they earn—they should be empowered. Whether your client is building a business, managing multiple income streams, or investing in real estate, we’ve built a more flexible path forward. Here’s how it works—and how it’s helped brokers like you get non-traditional deals across the finish line.
Why Traditional Lending Doesn't Always Work for Self-Employed Borrowers
Traditional mortgage lenders rely heavily on salaried income, tax documents, and year-over-year consistency. But self-employed income often doesn’t fit neatly into that mould. Many entrepreneurs write off expenses (as they should), and gig workers may have multiple income streams that don’t show up clearly on a T1 or T4.
What does that mean for brokers? A lot of frustration. You see the strength of the file, but traditional lenders often aren’t set up to support their unique financial situation.
When Does an Alternative Lender Step In?
Alternative lenders like us typically come into play when traditional banks can’t support a borrower—often because of documentation shortfalls or non-standard income. If your client has:
Non-salaried income (e.g., contractor, freelancer, business owner)
Multiple income streams
Irregular or seasonal cash flow
Recent immigration status with limited Canadian credit/income history
Strong equity/down payment but insufficient documentation
…then it’s time to consider an alternative lender.
The Self-Declared Income Program: Built for Flexibility and Common Sense
Traditional lenders focus on:
T4s and NOAs from the past two years
CRA-verified tax returns
Consistent year-over-year earnings
Bank statements
Our Self-Declared Income Program was designed to fill that gap. Instead of rigid requirements, we take a holistic approach to income verification, using logic, documentation, and professional context to assess your client’s ability to repay.
Key Program Features:
No T4s or NOAs Required
No traditional income docs needed. As long as taxes are current, we’re ready to look at the file.Common-Sense Verification
We take a real-world view. If the income makes sense based on how your client earns—and there’s supporting logic behind it —we’re in.Perfect for Self-Employed, Gig Workers & Investors
Whether your client is an Uber driver, a newcomer to Canada with limited income history, or owns five rental properties—we’ve got them covered.
Case Study #1: Business Owner Secures Dream Home Despite Irregular Income
Client Profile:
A mortgage broker reached out to us on behalf of a client purchasing a new home. The client had excellent credit, a long-standing relationship with their bank, and a strong down payment—but was still declined due to irregular income that didn’t meet traditional guidelines.
The Challenge:
The client was surprised by the decline, especially after years of responsible financial behaviour. Despite their solid overall profile, the bank couldn't move forward due to income inconsistencies common with self-employed or non-traditional earners.
Our Solution:
With an approved appraisal confirming the market value, we approved a first mortgage at 65% LTV with monthly interest-only payments—giving the client flexibility without delay. This structure gave the client the flexibility they needed—without compromising on their goal of homeownership.
Case Study #2: Rental Property Purchase Approved with Self-Declared Income
Client Profile:
A mortgage broker contacted us on behalf of a couple looking to purchase a rental property in BC. The applicants had strong credit scores and reliable self-employment income, but their combined earnings didn’t align neatly with the expectations of traditional lenders.
The Challenge:
Despite having a solid income stream and a clear property investment plan, the clients were declined by conventional lenders due to the way their self-employed income was structured. They needed a solution that took their full financial picture into account.
Our Solution:
Through our Self-Declared Income Program, we approved a first mortgage at 65% LTV to help them complete the purchase. The couple successfully acquired the rental property and expanded their property investment portfolio—all made possible by a broker who partnered with a lender willing to look beyond the paperwork.
Why Brokers Choose This Program
If you’re a broker who:
Works with self-employed or non-traditional clients
Values speed, clarity, and responsiveness
Aims to deliver flexible financing solutions that fit your clients’ needs
…then this program should be in your toolkit.
We’ve structured it to reduce paperwork, increase approval flexibility, and empower brokers like you to serve the growing wave of entrepreneurs and independent earners. That’s why this program has become a go-to choice for brokers—not just for the deals it closes, but for the clients it helps.
What Lenders Need to Know
If you were on our side of the table, you’d be asking:
Does this income story make sense?
Is the borrower reliable and experienced in their field?
Is there sufficient equity in the deal to reduce risk?
Are taxes paid and financial obligations current?
What’s the borrower’s exit strategy? (i.e., how will they repay or refinance this loan?)
That’s what our underwriters focus on: logic, consistency, and common-sense lending.
To help brokers like you communicate self-declared income clearly, here’s a simple template you can share when submitting a deal:
Client runs a [type of business] offering [products/services] in [city/region]. They [briefly explain how they earn / their day-to-day role]. They declare $[X] amount of income.
Exit Strategy: The borrower plans to [refinance with a bank once T1 income stabilizes / sell the property within X months / pay down principal with a business payout / complete renovations and refinance conventionally / etc.].
Before submitting, always provide a clear income narrative. You know your client—help us see what you see. The more context you provide upfront, the faster we can say “yes.”
Empowering You to Say Yes More Often
We believe income shouldn’t be judged by a single line on a tax return. Our mission is to bring common sense and human understanding back to lending—so more Canadians can build wealth, not just chase approvals.. As a broker, you have the power to help them access homeownership and wealth-building opportunities—you just need the right partners.
With our Self-Declared Income Program, you don’t have to turn away another great client because of red tape. Let’s get more complex deals approved—and more clients into the homes and investments they deserve.
Ready to Take the Next Step?
You’ve got clients who deserve a shot. We’ve got the tools to make it happen.
👉 Quote a deal now—or connect with your BDM to explore what’s possible.
Author Profile
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Marketing Manager at Neighbourhood Holdings |
Jessica Yang is the Marketing Manager at Neighbourhood Holdings, where she leads marketing campaigns and content strategy. As a UBC Media Studies graduate, Jessica also completed BrainStation’s Digital Marketing Program and became a BCFSA-licensed mortgage broker.
Beyond her professional pursuits, Jessica enjoys travelling and documenting her experiences through vlogging, finding inspiration in exploring new cultures and sharing her journey with others.
This blog post is intended for informational and educational purposes only and is directed toward licensed mortgage brokers. It does not constitute financial advice, a mortgage offer, or a commitment to lend. All lending decisions are subject to underwriting review and applicable lending criteria. Please consult your Business Development Manager or underwriter for guidance on specific client files.