Canadian/mortgage/no job but poker

GrindingIt · #1 11-15-2007, 11:10 PM

How are people on here getting mortgages? In canada, even if you have a large down payment of over 50% they still want to verify your income through tax returns to see that you can pay your mortgage. I don't really understand if you make such a large payment that it could be a problem. Anyone can get fired or laid off for one thing.

Does anyone have experience with this or know where I should be looking? I tried a couple of mortgage brokers but they weren't much help yet.

lefty rosen · #2 11-15-2007, 11:13 PM

Pay your taxes for three years and show a good income and apply through the banks for first. If they reject you then go to mortgage brokers as they will charge a high rate. If that doesn't work save your money and buy a place cash. I suspect if you are putting down the money you are talking about you could buy a condo or house in a tier two city cash within the three years necessary for the loan.

Equal · #3 11-16-2007, 02:36 AM

It actually just changed. If you are self-employed, you only need 2 years of income. I got a mortgage broker, paid my taxes, and it was no problem to get a mortgage.

Henry17 · #4 11-16-2007, 05:52 AM

If you want to start paying taxes because you are a good moral citizen then do so. Don't do it for the purposes of getting a mortgage. What you pay in taxes would be far far greater then what it would cost you to borrow the money at a higher rate from a private lender.

Banks are not going to lend you money with no proof of income. You best bet is to try the sub-prime market. In Canada Xceed or Home Capital are two options. I have called to ask and it seems the answer on income verification seems to be dependent on who answers the phone.

If the subprime market won't lend to you then borrow the money from a private lender. Obviously the interest will be higher but still a lot less then what CRA would take from you should you declare your income.

Bellagibro · #5 11-16-2007, 03:12 PM

Get somebody who trusts you to co-sign the loan. Then try your very best not to default.

Hallett · #6 11-16-2007, 04:19 PM

Most Canadian banks don't need proof of income if you put down 35% of the home price as a down payment (65% Loan to Value ratio).

NL__Fool · #7 11-16-2007, 04:25 PM

[ QUOTE ]
Most Canadian banks don't need proof of income if you put down 35% of the home price as a down payment

[/ QUOTE ]

Very True, My wife and I just moved into a larger $250,000 house, We put down 100,000 as a down payment and they never verified outr income. They asked but never verified it

They just checked our credit.

Henry17 · #8 11-16-2007, 05:11 PM

I didn't know that. If I decide to buy I'd be putting down at least 60%. My concern would be that even if the bank does not verify income I don't know if admitting to income is a good idea. CRA might hire one individual who is actually competent and I might have the bad luck of having my file end up on his desk.

PatInTheHat · #9 11-17-2007, 03:10 PM

I was able to assume a mortage with no qualifications other then a credit check.

Equal · #10 11-17-2007, 04:14 PM

[ QUOTE ]
I didn't know that. If I decide to buy I'd be putting down at least 60%. My concern would be that even if the bank does not verify income I don't know if admitting to income is a good idea. CRA might hire one individual who is actually competent and I might have the bad luck of having my file end up on his desk.

[/ QUOTE ]

lol

Here's a tip. Once you put 60% down, and are paying off a mortgage, CRA is going to wonder where that money is coming from.