Joel DyckReal Broker SK Ltd.
Saskatoon · From the topic map

Does rental income from a 2 family home help me qualify for a mortgage?

Rental income from a two-family home can help you qualify for a mortgage, but a lender typically counts only a portion of that income rather than the full rent, and the exact share depends on the lender and the mortgage insurer’s guidelines. CMHC and the other insurers set those guidelines rather than a single fixed number everyone uses.

The income gets folded into the same two ratios every application runs through: roughly 39 percent of gross income on housing costs and 44 percent on total debt. Counted rental income lowers both ratios, which is why it can turn a marginal application into an approved one.

None of that counts without paperwork. A signed lease and, where the unit is a second suite, a legal secondary suite permit from the City of Saskatoon are what let a lender count the income at all, so get that documentation in order before you count on the number.

Joel Dyck can point buyers toward a mortgage broker who runs the real numbers on a specific two-family property before an offer goes in. Get your hand-reviewed valuation from Joel Dyck.

Get your hand-reviewed valuation from Joel Dyck.

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