Underwriting

Mortgage underwriting is the structured review every lender runs before approving a deal. The underwriter looks at three buckets: borrower (credit score, income verification, employment stability, total debt service), property (appraisal, property type, location, marketability), and the deal itself (loan-to-value, term, rate, amortization). A Lenders run their underwriting against OSFI's stress-test rules and tight income-verification standards. A self-employed applicant typically needs two years of personal T1 generals plus business financials. Newcomers without Canadian credit history have access to specific lender programs but need solid international credit, employment, and savings. B Lenders are more flexible on documentation but typically charge a higher rate plus a broker fee. Private lenders skip most of underwriting and rely primarily on the property's loan-to-value as their security. If an underwriter declines, the agent can usually pivot to a different lender — the same deal might get a yes from a different bank or a B Lender on the same day.