FORMS & WORKSHEETS
TOOLS & RESOURCES
FIRST-TIME HOME BUYERS
The Low Doc Advantage is designed for borrowers who are self-employed and have established a strong credit profile. This program allows borrowers with limited documentation to obtain mortgage insurance through a simplified process.
NOTE: Maximum LTV is subject to adjustments based on local housing market conditions.
Canada Guaranty recognizes that a self-employed borrower’s income from their Notice of Assessment does not always represent the actual income available for mortgage repayment. Canada Guaranty supports assessing the reasonability of the application income by considering the nature and tenure of the business, and factors such as the overall credit profile, financial position and current shelter payment of the borrower(s).
The following income requirements must be met for each self-employed borrower:
The borrower’s income must be reasonable for the nature and tenure of the business, and must align with the credit profile and current financial position of the borrower.
2. SUBMISSION NOTES:
In order to appropriately assess the reasonability of the borrower’s income, the submission notes must include the following information for each self-employed borrower:
1. Any additional borrower whose income is verified in the standard way does not need to submit the above information to Canada Guaranty.
2. For higher incomes, additional information and/or documentation may be requested.
1. Port from Low Doc Advantage to Low Doc Advantage
The premium will be the lesser of:
2. Port from Low Doc Advantage to Standard Canada Guaranty-insured Loan
3. Port from Standard Canada Guaranty-insured Loan to Low Doc Advantage
*Please see the Portable AdvantageTM product sheet for details regarding standard premium rates and the Borrower Loyalty Program.
For each self-employed borrower:
NOTE: Mortgage Insurance premiums are non-refundable.