As of May 30, 2014, Canada Mortgage and Housing Corporation (CMHC) is making it harder for self-employed home buyers to qualify for mortgage loan insurance. according to Andrew Peck, vice-president and general manager, Royal Pacific Realty Group.

In Canada, home buyers with less than a 20 per cent down payment are required to buy mortgage insurance. The largest provider of mortgage insurance in Canada is CMHC.

Previously self-employed buyers could prove their income without traditional third-party validation.

Starting June 1, 2014, the program will require self-employed buyers to prove their income with copies of their Canada Revenue Agency Notice of Assessment, audited financial statements, or unaudited financial statements prepared by an independent third party, for the previous two year period.

Regardless of the closing date of the home purchase, self-employed borrowers can qualify for mortgage loan insurance without third-party validation if their application is received by CMHC on or before May 30, 2014.

Private insurers such as Genworth will still offer mortgage insurance to self-employed borrowers unable to provide traditional sources of income validation.

Here is more information. You can also contact Andrew Peck at