The permit is the financing gate, not a formality. Without it, a lender treats a basement suite as unfinished space rather than income-producing square footage, no matter how good the renovation looks, because it cannot verify egress windows, ceiling height and fire separation without that inspection record.
Once a suite is permitted, a lender can add a share of its projected rent to your income for qualifying purposes under CMHC's debt service guidelines, which changes what you can borrow against the property. The minimum down payment rule still applies: 5 percent on the first $500,000 of value and 10 percent above that.
Joel Dyck can walk you through which Saskatoon properties have the zoning and lot configuration to make a permitted suite realistic before you buy. Get your hand-reviewed valuation from Joel Dyck.