Getting a mortgage in Canada means demonstrating to lenders that you’re financially prepared to take on a home loan. It’s not just about having a good credit score or enough saved for a down payment. You’ll need to provide proof of your identity, demonstrate how you earn your income, disclose the source of your funds, and provide some details about the home you’re buying or refinancing.

The exact documents you’ll need can vary depending on your situation. If you’re a salaried employee with a steady job, your income documents may be relatively straightforward. However, if you’re self-employed, expect to take a few extra steps when verifying income or switching lenders at renewal. Either way, having your paperwork in order from the start helps everything move faster and with fewer surprises.

Knowing what lenders are looking for ahead of time can significantly reduce the stress of the process. It means fewer back-and-forth requests, less risk of delays, and more confidence that you’re ready to move forward when the right home comes along.

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Key Takeaways

• Documents will be required to validate identity, income, finances, down payment, and property details.
• Each lender may have slightly different requirements, especially for self-employed borrowers.
• Staying organized can speed up your approval and reduce stress.

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What Documents Do You Need to Get a Mortgage in Canada?

When applying for a mortgage in Canada, lenders require a comprehensive view of your financial profile, encompassing not only your income and savings but also your overall financial situation. Lenders typically group the required documents into five main categories. These cover everything from proving your identity to confirming the source of your down payment and the details of the property you’re financing. Understanding each category ahead of time can help you stay one step ahead and avoid unnecessary delays in the approval process.

Lenders categorize mortgage documentation into these 5 sections:

1. Proof of identification
2. Income and employment verification
3. Down payment confirmation
4. Property details
5. Personal financial documentation

Once you understand the purpose of each document and its significance, gathering all the necessary information becomes more manageable. The paperwork may seem tedious, but it provides your lender with the necessary information to support your mortgage application with confidence. If you’re not sure where to start or what applies to your situation, speaking with a mortgage expert can help you put together the right package of documents the first time.

Proof of Identification (ID)

The first step in the mortgage loan application process is the lender’s requirement to verify your identity, which is necessary to comply with federal laws and prevent fraud. This process ensures that your personal information matches official records and helps confirm your eligibility to borrow in Canada, which includes obtaining your consent to access your credit history.

Document	Confirming	Reason
Drivers Licence / Passport + 1 other	Identity for Canadian Citizens	Confirm the identity and verify that the applicant’s name matches as presented in the application.
Foreign Passport + Confirmation of Permanent Residence	Identity for Landed Immigrants	Confirm the identity and verify that the applicant’s name matches as presented in the application.
Social Insurance Number	Identify for Landed Immigrants	Confirms permanent residency when the SIN does not begin with a 9. Ensure mortgage registers on the correct credit bureau file, as may have been set up with a temporary SIN originally.

Canadian Residents

For most applicants, this involves providing one piece of valid government-issued photo ID, such as a Canadian driver’s licence, passport, or approved provincial or territorial ID card. Typically, lenders will also request a second piece of identification (ID), such as a valid credit or debit card (with both the front and back images) for an account held jointly or solely in your name, which includes the expiration date. 

In some instances, such as when your full name is truncated or doesn’t match your credit report, or your address has a parsing error on the credit bureau, then your lender may request your Social Insurance Number (SIN) to ensure the integrity of your credit report. 

If the address you provide during the application process does not match the one on your documentation, additional documentation may be required. Additional documentation may include a recent utility bill, credit card or bank statement, property tax bill, a government-issued notice (such as a CRA letter), or a residential lease agreement. 

Permanent Residents

If you’re a permanent resident who has recently arrived in Canada, lenders may accept a valid foreign passport accompanied by your Confirmation of Permanent Residence document. A SIN that does not begin with a 9 generally confirms permanent residency or Canadian citizenship, which most federally regulated lenders require for standard mortgage approval. A SIN card or confirmation letter from Service Canada can also support proof of status, as long as the number begins with a digit other than 9. 

It’s always best to start building your credit history as soon as you arrive in Canada; however, if you haven’t lived here long enough or didn’t start building your credit history upon moving to Canada, the lender may ask for additional documents to support your ability to manage credit, such as 12 months of rent leases and utility bills such as hydro or phone. It’s essential to have your spouse initiate the process of building their credit bureau as soon as they relocate to Canada, to ensure that their income and credit profile can help you both secure your first mortgage.

Income and Employment Verification

Lenders need to understand not just how much money you earn, but how stable and reliable that income is over time. The specific documents you’ll need depend on how you earn a living, whether you’re salaried, self-employed, or relying on other income sources. These documents help lenders calculate your gross debt service (GDS) and total debt service (TDS) ratios, two key numbers that determine how much you can borrow. Each of your income documents helps your lender understand how consistent and verifiable your income is, so they can assess how much mortgage you can reasonably afford.

Salaried and Hourly Employees

For salaried or hourly employees, lenders want to confirm that your income is stable and ongoing. You’ll usually need to provide your two most recent pay stubs, which should show your regular income and deductions. A letter of employment is also required, confirming your position, start date, employment status, and pay structure. This letter should be on company letterhead, signed by your employer or the Human Resources department, and dated within the last 30 days. 

Additionally, you’ll be asked to provide your most recent T4 slip, which outlines your total earnings and tax deductions for the previous year. Most lenders will also require your latest Notice of Assessment (NOA) from the Canada Revenue Agency to verify any outstanding balances, as anything owed to the federal government will take precedence over a lender’s mortgage.

Document	Confirming	Reason
Paystubs	Income	Understand the income/employment used to qualify for a mortgage.
Statement of Remuneration (T4s)	Bonus Income	Understand that the bonus has been received in two consecutive years and use the average to qualify.
Letter of Employment (LoE)	Employment	Confirm the salary, time on post and job title, etc.
Notices of Assessments	Commission or Self-Employment Income	The 2-year average is used for qualifying income. Only 1 year if to confirm taxes paid up to date.

Self-Employed and Incorporated Individuals

For self-employed individuals, lenders typically look for a longer track record to account for fluctuations in business revenue. For prime mortgages, you’ll need to submit your T1 Generals and NOAs from the past two to three years to show a consistent income pattern. Business documents such as articles of incorporation, a valid business licence, or GST/HST registration are also required to prove that your business is legitimate and active. Most lenders will also require six months of business bank statements to track regular deposits. 

As an incorporated individual, you may need to satisfy all of the income documentation requirements of a salaried employee if you receive regular income, as well as those of a self-employed individual if you also receive dividends from your corporation. Additionally, lenders will require accountant-prepared financial statements to verify the business’s financial health, alongside T2 Generals and Corporate Notice of Assessments for the business. 

Mortgage lenders may ask for a Statement of Business or Professional Activities (Form T2125) when you’re self-employed or earning business income through freelance or contract work. This form is used when filing your taxes to report your gross business income, allowable expenses, and net profit. Lenders use it to understand how much of your income is recurring and how much is reduced by write-offs or operating costs. Since self-employed earnings can vary year to year, the T2125 helps lenders assess the true profitability of your business and determine how much reliable income can be used to qualify you for a mortgage loan.

Document	Confirming	Reason
Notices of Assessments	Commission or Self-Employment Income	The 2-year average is used for qualifying income. Only 1 year if to confirm taxes paid up to date.
Financial Statements	Corporate Income	Confirm that your corporate income source makes enough revenue to duplicate your personal income used for qualification.
Corporation Income Tax Returns (T2s)	Corporate Income Taxes	Confirm no corporate taxes owing.
Business License	Registered Business Name	Confirm if a sole proprietor is registered under a name different than their personal name.
Business Account Statement (s)	Business Income	Confirm the duplication of employment income when clients are self-employed.
Bank Account Statements	Incomes	Receipt of different incomes.
Business Account Statements	Business incomes	Receipt of self-employed income.
Separation Agreement	Spousal or Child Support	Confirm the income or obligations under the separation. It will require 2 months’ bank statements to confirm the income.
Canada Child Benefit Statement	Federal Child Tax Benefit	Confirm child tax benefit. It will require 2 months’ bank statements and birth certificates for children under a certain age who are CCB beneficiaries.

Other Sources of Income

If you’re relying on income from sources outside of regular employment or self-employment, lenders will require clear and consistent documentation to verify those amounts. These types of income can strengthen your application when properly documented and are especially important when they make up a significant portion of your borrowing capacity. Lenders need to confirm that these sources are stable, ongoing, and supported by a strong paper trail.

Rental Income

To use rental income for mortgage qualification, you’ll need a signed lease agreement and bank statements (typically from the last 3 to 6 months) showing regular rent deposits. In some cases, lenders may also ask for your most recent T1 General tax return and a T776 Statement of Real Estate Rentals to confirm the income was declared to the CRA. If the rental property is new or unoccupied, an appraisal with a market rent estimate may be required instead.

Pension or Retirement Income

Income from pensions, including employer-sponsored plans, CPP (Canada Pension Plan), OAS (Old Age Security), or private retirement funds, must be supported by your latest benefit statements. Lenders will also want to see recent bank statements showing these deposits, particularly if they’re being used to cover a portion of your mortgage payments. Pension and retirement income types are often viewed as stable and predictable.

Disability or Long-Term Income Support

Disability benefits from a private insurer or government program will require you to provide a recent award letter, annual benefit statement, and proof of deposits through your bank records. The lender will assess whether the income is taxable and whether it is sufficient and permanent enough to be relied upon throughout the life of the mortgage.

Spousal or Child Support

Court-ordered support payments can be counted toward your qualifying income; however, lenders will require a copy of the legal agreement or court order, along with bank statements showing consistent payments. Typically, a history of 3 to 6 months is required, and lenders will want confirmation that the payments are expected to continue for at least another 12 months.

Canada Child Benefit (CCB)

If you receive the CCB, you must submit your most recent government-issued CCB statement, as well as bank records showing regular deposits. Additionally, lenders typically require birth certificates for each child receiving benefits to verify their age. The benefit must be expected to continue for at least 12 months, so lenders may reduce or exclude it if a child is nearing the age cutoff.

Part-Time or Seasonal Income

For applicants earning income from part-time jobs or seasonal work, lenders will average your income over the last two years, using documents such as T4s, pay stubs, and NOAs. You may also be asked to provide a current letter of employment (LoE) confirming your role and expected hours during the active work season.

Other Government Benefits

Income from programs such as the Guaranteed Income Supplement (GIS), provincial disability assistance, or some social support programs may be accepted. However, you’ll need to provide recent benefit statements and proof of deposits. As with all sources, the income must be stable and ongoing to be used in qualification calculations.

In all cases, lenders may request your most recent T1 General tax return to cross-verify any additional income that is declared to the CRA. The more consistent and documented your income is, the more likely it is to be accepted as part of your qualifying income. Keeping statements organized and up to date helps streamline the review process and reduces the chance of delays during approval.

Down Payment Confirmation

Whether you’re putting down the minimum 5% or making a larger contribution of 20% or more, mortgage lenders must verify that your down payment is legitimate, traceable, and accessible. This process is not just a formality; it’s a regulatory requirement that helps prevent fraud and ensures borrowers aren’t using borrowed or unverified funds that could affect long-term affordability. 

To satisfy this, lenders will ask for documents that show where your down payment is coming from, how long the funds have been in your possession, and whether any conditions are attached to those funds. Your documents must be recent, include your full name and account details, and cover at least 90 days of account history. Any unexplained deposits, missing pages, or gaps in documentation can raise red flags and cause delays or even jeopardize your approval altogether.

Document	Validate	Reason
Savings Account Statements	Downpayment and closing costs.	90-day validation of downpayment and closing costs.
Investment Statements	Downpayments and closing costs.	90-day validation of down payment and closing costs from all investment types, including non-registered, RRSP, TFSA, and FHSA.
Gifted Funds	Funds gifted by immediate family without the requirement to repay	Signed gift letter + 90-day source of funds from the party as per the signed gift letter or confirmation from the donor’s financial institution

Savings and Investment Accounts

If you’re using personal savings, your lender will ask for a complete 90-day transaction history for the account(s) holding the funds. This includes savings, chequing, tax-free savings account (TFSA), first-home savings account (FHSA), or non-registered investment accounts. The documentation must clearly show your full name, account number, current balance, and that the funds weren’t deposited suddenly. While large or unexplained deposits may trigger further verification or disqualification.

Proceeds From the Sale of an Existing Property

If your down payment is coming from the equity of a home you’ve sold, you’ll need to provide the signed Agreement of Purchase and Sale (APS) for that property. After the sale closes, the lender may also request the Statement of Adjustments to confirm the final proceeds available. This ensures that the funds are legitimate and not encumbered by liens or payout obligations.

RRSP Withdrawals Through the Home Buyers’ Plan (HBP)

First-time homebuyers in Canada are eligible to withdraw up to $60,000 from their Registered Retirement Savings Plan (RRSP) without tax penalties. To use this as part of your down payment, you’ll need to submit a recent RRSP account statement, confirmation of your HBP eligibility, and withdrawal documents. 

Gifted Down Payment

Your immediate family member (next of kin) can gift you part or all of your down payment; the lender will require a signed gift letter confirming the amount, the donor’s relationship to you, and a clear statement that the funds do not need to be repaid. In most cases, the lender may also request proof that the funds have been deposited into your account, and in some instances, a statement from the donor’s bank account confirming the origin of the funds.

Down Payment Assistance Programs 

Some municipal and provincial governments offer grants or forgivable loans to help eligible buyers with their down payment. These programs usually have conditions attached, such as income thresholds or property location requirements. If you’re using one of these programs, you’ll need to provide the official approval letter or agreement, along with documentation showing when and how the funds will be released. Your lender must review this to ensure it aligns with their lending policies, specifically for the type of mortgage you’ve chosen.

Property Documents

To finalize your mortgage approval, your lender will need detailed and accurate information about the property you’re buying, refinancing, or renewing. These documents help confirm the value, condition, and financial obligations tied to the home.

Document	Validate	Reason
Purchase Agreement	The purchase price, property details, closing date, conditions and stakeholders.	Confirm the conditions, dates, and values required to ensure a smooth mortgage closing.
Notice of Fulfilment (NOF)	Outstanding conditions completed.	A waiver confirming that the conditions listed in the purchase agreement have been satisfied.
MLS	Confirms publicly listed property with taxes and property details including size, heating type, land area and maintenance fees (if applicable).	Secondary confirmation of the real property for sale and matching property details to the purchase agreement.
Deposit Cheque Copy	A deposit made to the realtor’s trust account when the purchase was accepted.	Confirming the downpayment and amount that was made to the realtor’s trust account.
Appraisal	Property value and condition	Confirm that the property is in a condition that meets the lender’s requirements.
Status Certificate (Condo only)	Maintenance fees, reserve fund, insurance and legal issues.	Confirm that the condo corp and board’s legal position, the reserve fund, insurance coverage, and maintenance fees are in good standing.
Void Cheque	Bank account for mortgage payments.	Confirm the bank account belongs to the borrower who will be on the mortgage, and set up an automatic payment plan for the mortgage.
Stakeholders	The realtor and real estate lawyer’s name and contact info.	Confirm the details of the professional you’re working with.

Purchases

For a home purchase, be prepared to provide the signed and accepted Purchase and Sale Agreement, any counteroffers or amendments, and, in Québec, the DV (Déclaration du vendeur). You’ll also need the MLS listing, which includes essential details like property taxes and, if applicable, condo fees. 

Your lender will request the property’s legal description, typically available through your title search or municipal tax assessment, and proof of home insurance, which must be in place before closing. Title insurance will also be required, typically arranged by your lawyer. If you’ve received a notice of fulfillment (NOF), include that as well.

Renewals and Refinances

If you’re refinancing, your lender will need a current mortgage statement for the property, recent property tax statements, and details about any condo fees. If the property tax documents are unavailable, mortgage experts can use a temporary 1% estimate and include a condition requiring the submission of the actual documents later. Condo fees can be confirmed by reviewing a 3-month history of your bank statement or contacting your condo corporation for a statement.

For a mortgage renewal where the mortgage is being transferred or switched from another lender, the documentation is similar to a refinance. However, depending on your loan-to-value (LTV) ratio, a full appraisal may not be required; whereas, refinances typically require a full home appraisal.

Personal Financial Documentation

Lenders require a comprehensive view of your financial health to assess your mortgage eligibility and determine how much you can comfortably afford. These documents help verify your net worth, creditworthiness and private liabilities that may not be reported on your credit report. 

Credit Report

Your credit report outlines your borrowing history, current debts, repayment patterns, and credit score. Most lenders will obtain this report through Equifax or TransUnion, but it’s wise to review your report months in advance. This allows you to identify and correct any errors, such as outdated balances or misreported late payments, before they affect your application. Your credit score plays a significant role in determining your mortgage rate, so identifying and resolving issues early can help you qualify for more favourable terms on your mortgage.

Bank Account Statements

Most lenders will require at least three months of recent bank statements; however, providing six months is often recommended for a clearer financial picture, especially for individuals receiving variable or self-employed income, or those obligated to pay child support or alimony due to a divorce or separation. These statements show your cash flow, savings habits, and whether you have enough funds for the down payment and closing costs. Lenders also use your banking details, as provided on your bank statements or void cheque, to set up mortgage payments once you are approved. It’s essential that your account activity aligns with your stated income and doesn’t raise any red flags, such as large unexplained deposits.

Statement of Assets and Investments

Lenders want to see your complete financial position, not just your income. A comprehensive list of assets should include real estate holdings, investment portfolios (such as Registered Retirement Savings Plans (RRSPs), Tax-Free Savings Accounts (TFSAs), and Registered Education Savings Plans (RESPs)), mutual funds, stocks, Guaranteed Investment Certificates (GICs), vehicles, and other high-value possessions, such as boats or recreational vehicles. These help establish your net worth and provide reassurance that you have financial reserves to fall back on in the event of an emergency, income disruption, or if the lender requires an exception.

Pre-approval Letter

You may have already completed a mortgage preapproval before making an offer on a property. Submitting your pre-approval letter with your complete application expedites the process. It demonstrates to the lender that your credit, income, and finances have been thoroughly reviewed and that you meet the preliminary criteria for mortgage funding. This can also give you a stronger negotiating position when working with sellers or real estate agents.

Extra Requirements for Refinancing or Renewing When Switching or Transferring Between Lenders

It’s essential to understand that when renewing your mortgage, the documentation requirements may vary slightly. In most cases, lenders primarily focus on your current income, credit standing, and property value to assess whether you still qualify for your existing terms or if adjustments are necessary. You’ll likely need to submit complete financial documents again, similar to when applying for a new mortgage, if you’re switching lenders at renewal, transferring your mortgage, or completing a mortgage refinance.

Refinancing your mortgage or switching to a new lender at renewal requires demonstrating that your current home is in good standing. Expect to provide:

• Recent property tax bill
• Mortgage statement
• Proof of income (same as new purchase)
• Legal property details
• Updated home insurance coverage

You may also be subject to a mortgage stress test, even if you’re just switching lenders and your current lender is not federally regulated.

How to Stay Organized and Speed Up Your Approval

Lenders appreciate clean, complete documentation. Missing or inconsistent paperwork is one of the top causes of delays. Staying organized not only speeds up your mortgage approval but also reduces stress and avoids unnecessary back-and-forth with your lender. Once you begin your application, your dedicated mortgage expert will tailor your document checklist based on your unique financial situation. To stay one step ahead:

• Create a dedicated folder (physical or digital) for all documents
• Use a checklist to track each document by category
• Review every file to make sure it’s current, legible, and properly signed
• If you’re self-employed, give extra time to gather historical income info
• Ask your mortgage broker or lender to review your documents in advance

Frequently Asked Questions (FAQ) About Required Mortgage Documents in Canada

Final Thoughts

Applying for a mortgage involves a significant amount of paperwork, but knowing what to expect can help alleviate some of the pressure. Lenders aren’t asking for these documents to make your life difficult. They simply need to confirm your financial stability and the legitimacy of your down payment. Having everything organized in advance demonstrates that you’re prepared and can help expedite the approval process.

It’s also worth remembering that everyone’s mortgage path looks a little different. A salaried employee might breeze through the income verification process, while a self-employed buyer might need to dig a bit deeper. If you’re relying on gifted funds, investment accounts, or government programs, lenders may request additional details. Getting expert help early on can make the process feel less like a guessing game and more like a clear plan.

If you’re ready to take the next step but aren’t sure if you’ve got all your paperwork in place, it’s a good time to speak with someone who knows exactly what lenders want. Contact a nesto mortgage expert to get a personalized checklist tailored to your situation. Whether you’re buying your first home, switching lenders, or looking to refinance, we’re here to ensure everything is in order and ready to proceed.

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Why Choose nesto

At nesto, our commission-free mortgage experts, certified in multiple provinces, provide exceptional advice and service that exceeds industry standards. Our mortgage experts are non-commissioned, salaried employees who provide impartial guidance on mortgage options tailored to your needs and are evaluated based on client satisfaction and advice quality. nesto aims to transform the mortgage industry by providing honest advice and competitive rates using a 100% fully digital, transparent, seamless process.

nesto is on a mission to offer a positive, empowering and transparent property financing experience – simplified from start to finish.

Contact our licensed and knowledgeable mortgage experts to find your best mortgage rate in Canada.

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