Ontario
Trades, renovation and investor-owner files at mid-market prices.
The short answer
In Hamilton, a stated income mortgage qualifies self-employed borrowers on documented business revenue instead of the net taxable income on a T1. Renovation contractors, trades and small landlords are frequent applicants.
Material and subcontractor write-offs sharply reduce reported net income while doing nothing to reduce real payment capacity.
Two- to four-unit properties are common here, and documented rental income is considered alongside business income.
Knob-and-tube wiring, aging roofs and foundations can generate appraisal conditions that need clearing before funding.
Documented revenue is totalled, a reasonable industry expense factor is deducted, and the resulting qualifying income is tested against debt-service limits at the stress test rate. See the full step-by-step breakdown for the numbers.
Illustrative case studies
Incorporated renovation contractor, 6 years in business
A Hamilton buyer with strong credit, a 20% down payment and two years of filed returns showing heavy but legitimate write-offs.
How the income is calculated
Roughly $536,928 in mortgage capacity on stated income, versus about $244,776 on the net figure alone.
Commission-only realtor, 4 years licensed
A Hamilton buyer with strong credit, a 20% down payment and two years of filed returns showing heavy but legitimate write-offs.
How the income is calculated
Roughly $564,564 in mortgage capacity on stated income, versus about $280,308 on the net figure alone.
Sole-proprietor IT consultant on long-term contracts
A Hamilton buyer with strong credit, a 20% down payment and two years of filed returns showing heavy but legitimate write-offs.
How the income is calculated
Roughly $538,902 in mortgage capacity on stated income, versus about $228,984 on the net figure alone.
For demonstration purposes only. These case studies are hypothetical examples created to show how stated income calculations work. They are not real clients, not guarantees, and not an offer of credit. Actual qualifying income, rates and approvals depend on the lender, your documentation, credit profile, down payment and the property.
Yes. The lender will use your documented business income plus a portion of the documented rents.
Not in a stated income program — the point of the approach is to look past write-offs to documented revenue.
Send your details and we'll review your business income the way a self-employed lender does — no credit pull to start the conversation.