Mortgage Documents

So you’ve been through the ringer, you’ve been accepted for a mortgage loan, you found the property you want to buy, had it inspected and everything is falling into place. The last thing you need to do is finalize your mortgage and this involves a lot of paperwork. There is a list of the documents you will need to finalize your mortgage.

Employment/income documents

The employment documents required to finalize a mortgage should prove the borrowers current employment and steady income, their previous employment and any supplementary income.

  • Self-employed: a self employed person will need to prove that they have at least 2 years worth of earnings. They will need to have their income verified by a financial professional who can provide official documents.
  • Salaried employees must provide:
    – A current employment letter within 30 days validating the salary, length of time the employee has been employed by the company, their position and whether they have had any allowances, bonus payments or overtime payments.- The employee’s more current pay stub within the last 30 days confirming their salary before and after taxes- Employees paid on an hourly basis must provide:

    • A most recent pay stub
    • A current employment letter written and signed within the last 30 days including a summary of the rate per hour, the average number of hours worked, the employee’s position within the company and the status of their permanence within the company
    • Seasonal employees: if an employee works a seasonal job such as construction or farming their earned income and not their employment insurance will be considered as their sole income. They will need their tax returns to confirm at least 2 years of employment
    • Part-time employees: the applicant may have two part time jobs or one full time job and a part time job. The income of both jobs will be considered for the loan. They will need to provide and employment letter from both institutions as well as recent pay stubs. The average income of the two jobs in the past two years will be evaluated.

Property documents

  • Verification of the down payment
  • The signed mortgage agreement
  • A copy of the offer to purchase the home (the sales contract)
  • A copy of the listing and legal description
  • If buying a condo the buyer will need a condominium declaration, regulations, condo fees and budget
  • Name, address and phone number of the lawyer involved
  • The property’s address