How we work: qualify first, then build the file
By the end, you can explain why we qualify every client on the first call, and walk a file from that call to funding.
Why we work this way
Every hour spent on a deal that won't fund is an hour taken from one that will. So we find out fast. On the first call, while the client is still on the phone, we run their numbers in MyMortgageMate. In a few minutes we know if the deal works, what would make it work, or that it can't work right now.
That one habit drives everything else. Lenders get clean files that match what they expect to see. Clients get a straight answer on day one. You stop chasing deals that were never going to close, and you find the good ones faster.
Every first call ends with one of four answers
The numbers pass
Send the document checklist today and start collecting.
Close, with a gap
MyMortgageMate shows what's in the way: a debt to clear, more down payment, a longer amortization, a co-applicant or a lower price. Give the client the exact fix.
Right on the edge
Stop calculating. Start the full application and the compliance and anti-money-laundering checks now, and get the file in front of a lender fast. Session 4 shows you how.
The gap is too big today
Say so kindly, show them the numbers, give them the roadmap and book a check-in. A clear answer today keeps the client for later.
How a file moves, start to finish
- First callGet income, debts, properties already owned, the plan (purchase or refinance), price or value and down payment. Enter it live in MyMortgageMate.
- Quick qualificationRead GDS, TDS, the lender lane and Max Purchasing Power (or Max Refinance Power). Decide Go, Fix, Fringe or Not now before you hang up.
- Pre-applicationPrint the Document Collection Checklist from MyMortgageMate. Collect everything on it and check every page yourself.
- Submission and approvalSend the lender a complete file. No missing pages, no figures that don't match the documents.
- Commitment and conditionsThe lender approves with conditions. We already hold the verified documents, so we clear them the same day.
- FundingLawyer instructions, final conditions, keys.
We pre-approve the documents ourselves before any lender sees them. A lender's conditions are just the lender asking for documents we've already collected and checked. That's how you build the best lender relationships, the best client relationships and the smoothest mortgage experience.
MyMortgageMate in ten minutes
Open the residential calculator in another tab and follow along. The calculator videos walk through every tab. The tabs run in the same order you'll ask questions on a call.
The Notes button on every tab prints your call notes onto the PDF.
Client just wants to know how much they can buy? Fill in Income and Liabilities, then hit Max Purchasing Power on tab 4 first.
Privacy and compliance from day one
- You're responsible for your own compliance. Treat every file as if it will be audited.
- MyMortgageMate stores nothing. Inputs stay in your browser. Print or save before you close the tab or the work is gone. A saved file is password-protected and the password can't be recovered.
- Collect client documents and keep client records in your brokerage's compliance software, or whatever system your brokerage uses to stay compliant.
- Never share a client's mortgage details or milestones with anyone else, realtors included, without the client's written permission. Ask the client first, and only update others after they say yes in writing.
Trainer notes for Session 1
10 min Why we qualify first. Share a real example of a deal killed early that saved hours.
15 min The six steps from first call to funding.
15 min Live MyMortgageMate tour on screen share. Agent drives, you talk.
5 min Quick check below.
Quick check
The numbers: ratios, the stress test and lender lanes
By the end, you can read GDS, TDS and the qualifying rate the way a lender does, and you know exactly what MyMortgageMate is counting.
Two ratios decide most deals
Why 39% and 44%?
Those are the maximum GDS and TDS CMHC accepts for insured mortgages, and A lenders work to the same limits. Both ratios use gross income, before tax. A TDS of 44% of gross pay is a much bigger share of take-home pay, so the limits leave room for everything else in the client's life. They keep the payment manageable if things get tighter.
Source: CMHC homeowner insurance requirements. See Sources.
The stress test
We never qualify clients at the rate they'll actually pay. We qualify them at the higher of the contract rate plus 2%, or 5.25%.
| Contract rate | + 2% | Floor | Qualifying rate |
|---|---|---|---|
| 4.29% | 6.29% | 5.25% | 6.29% |
| 3.49% | 5.49% | 5.25% | 5.49% |
| 3.00% | 5.00% | 5.25% | 5.25% |
- It applies to insured mortgages (CMHC calculates GDS and TDS at this rate) and to uninsured mortgages at federally regulated lenders (OSFI Guideline B-20).
- The client still pays the contract rate. The qualifying rate only drives the ratios.
- Exception: a straight switch at renewal. Moving an uninsured mortgage to another federally regulated lender with no increase in the amount or amortization doesn't need the stress test. Insured mortgages can also switch lenders at renewal without being stress-tested again.
- OSFI reviews the rate at least once a year, every December. Check it before each new training intake.
Sources: OSFI minimum qualifying rate page; CMHC; Department of Finance. See Sources.
Leave Stress Test On. It sets the qualifying rate for you and resets whenever you change the contract rate. Off, or a manual qualifying rate, is only for a specific lender scenario you've confirmed with that lender.
What gets counted
| Item | What MyMortgageMate uses |
|---|---|
| Credit card | 3% of the balance per month (also CMHC's minimum) |
| Unsecured line of credit | 3% of the balance per month |
| Secured line of credit (HELOC) | Estimate: the balance over 25 years at 5.25%. Confirm the payment the lender requires. |
| Car loan or lease, student loan, personal loan | The actual payment. Type it in the actual payment column. The 3% figure is only a placeholder. |
| Condo fees | Enter the full fee. 50% goes into the ratios. |
| Heating | $120 a month for a house, $100 for a condo, unless you know the real cost |
| Property tax | Actual if known. Otherwise Auto uses 1% of the price per year. |
| Support the client pays | Actual monthly payment, entered as Other |
Income: what we can use
- Salary or hourly: gross annual income. Most A lenders want the client past probation.
- Commission, overtime, bonus: 2-year average. If the latest year is lower, use the lower figure.
- Self-employed: 2-year average of Line 15000 from the Notices of Assessment. If the latest year is lower, many lenders use the lower figure. Never qualify on what the client says they made.
- Pension, Canada Child Benefit, support received: count it when it's documented and will continue. Lenders set their own age limits for CCB.
- Rental income: enter it with its property (Properties Owned, or the subject property on tab 4), never on the Income tab.
Lender lanes
| Lane | Max GDS | Max TDS | Min down | Credit guide |
|---|---|---|---|---|
| A Lender | 39% | 44% | 5% (insured) | 650+ minimum, 680+ best |
| B Lender | 50% | 50% | 20% | 500+ minimum, 550+ best |
| High Ratio B | 60% | 60% | 20% | 400+ minimum |
| Private | n/a | n/a | 20%+ equity | Equity-based |
These are MyMortgageMate's planning guides. CMHC itself needs at least one borrower with a 600+ score. Every lender sets its own minimums, so confirm with the lender before you promise anything. B and private rates and fees are higher; when you check a B option, raise the rate in the tool and press Max Purchasing Power again.
Trainer notes for Session 2
15 min GDS and TDS, and why the limits sit where they do.
10 min Stress test. Have the agent work out three qualifying rates out loud.
10 min What gets counted, income types, lanes.
25 min Agent runs Cards 1 to 3 live while you watch. Don't help until they ask.
Practice
Quick check
The three mortgage types and how refinances work
By the end, you can put any deal in the right bucket in one look, and explain a refinance or a switch to a client with real numbers.
Three buckets
The bucket decides which lenders can take the deal and how it's priced. Get it right on the first call.
| Insured | Insurable | Uninsurable | |
|---|---|---|---|
| Down payment | Under 20% | 20% or more | 20% or more |
| Who pays insurance | Borrower. Premium added to the mortgage. | Lender may insure it in bulk, at its own cost | No insurance |
| Price or value | Under $1.5M | Under $1M | Any |
| Max amortization | 25 years (30 for first-time buyers and new builds) | 25 years | Over 25 is allowed (A lenders usually up to 30) |
| Deal type | Purchase, owner-occupied, 1 to 4 units | Purchase, or a switch of an existing insurable mortgage | Refinances with new money, rentals, $1M+, over 25 years |
| Pricing | Usually the lowest rates | Usually close behind | Usually the highest |
Sources: Insurable Housing Loan Regulations s.5; Eligible Mortgage Loan Regulations s.6; Department of Finance; pricing pattern from broker market data. See Sources.
Purchase or refinance? Price or value? How much down (or how much equity)? What amortization? Will they live there?
Minimum down payment and premiums
- Insured purchase: 5% of the first $500,000, plus 10% of the part above $500,000. Example: $700,000 needs $25,000 + $20,000 = $45,000.
- Owner-occupied 3 or 4 units: 10% of the full price.
- $1.5M or more: 20% minimum and no insurance available.
| Down payment | Premium (25 yrs) | Premium (30 yrs) |
|---|---|---|
| 5% to 9.99% | 4.00% | 4.20% |
| 10% to 14.99% | 3.10% | 3.30% |
| 15% to 19.99% | 2.80% | 3.00% |
| 20% or more | None | None |
The premium is a percentage of the loan, added to the mortgage. The qualifying payment is worked out on the total, premium included. Some provinces charge sales tax on the premium, paid in cash at closing (Alberta doesn't). Confirm with the lawyer.
Refinances
A refinance replaces the client's mortgage with a bigger one to use their equity: paying off debts, renovating or taking cash out.
- 80% LTV is the ceiling. That's the legal maximum for uninsured mortgages at federally regulated lenders. A line of credit portion can't go above 65%.
- Refinances are uninsurable once new money comes out, so they're priced that way. One exception below.
- The stress test applies.
- Get the payout statement early. The prepayment penalty and legal costs come out of the proceeds.
Choose Refinance, Switch or Transfer on tab 4. Enter the property value, the new mortgage amount, the current payout and any costs or penalties. Set each debt being cleared to From proceeds. The Mortgage Payout Balance shows where every dollar goes.
Max Refinance Power stops at 75% LTV on purpose. It's MyMortgageMate's built-in planning guide, set on the conservative side. It isn't a lender limit: products can go to 80%, so confirm with the lender before you quote anything above 75%. Don't enter the mortgage being refinanced again on Liabilities or Properties Owned.
The exception: CMHC Refinance for secondary suites
A homeowner adding a self-contained secondary suite (basement suite, in-law suite, laneway home) can refinance up to 90% of the as-improved value with CMHC insurance. The lending value has to be under $2 million, amortization can go to 30 years, the property can have up to 4 units, and the suite can't be a short-term rental. Not every lender offers it, so ask before you promise it.
Source: CMHC Refinance fact sheet. See Sources.
Switches at renewal
Moving the same balance to a new lender at renewal, with no new money and no longer amortization, is a straight switch. No stress test for uninsured switches between federally regulated lenders, and insured mortgages can switch without being stress-tested again. Add money, pay off other debts or stretch the amortization and it becomes a refinance. Up to $3,000 of eligible transaction costs can be added on an uninsured switch.
Trainer notes for Session 3
20 min The three buckets. Call out deals and have the agent bucket them out loud.
20 min Refinances, the 80% ceiling, the 75% planning line, switches.
20 min Cards 4 and 5 live.
Practice
Quick check
Fringe deals, documents and conditions
By the end, you can spot a fringe deal and move it fast, and build a complete, pre-checked file so conditions clear the day they arrive.
Fringe deals: stop calculating, start the file
Some deals sit right on the edge. The quick qualification says maybe, not yes or no. More time in the calculator won't settle it. Only a lender can, and only with a complete file in front of them.
Signs you're on the fringe
- GDS or TDS lands right at a limit, or just over it.
- Income a lender could read two ways: commission, a new job, self-employment, a recent raise.
- A credit score near a lender's minimum, or a story behind a credit bump.
- A property or down payment source that needs a lender's view.
What to do, the same day
- Tell the client it's closeBe straight: it might work, and the lender decides. Explain what you need from them and why speed matters.
- Take the full applicationEvery applicant, every income source, every debt, every property owned. No gaps.
- Start compliance and anti-money-laundering checksVerify identity and complete your brokerage's checks now, in its compliance software. Since October 11, 2024, mortgage brokers in Canada have had anti-money-laundering obligations under FINTRAC, including verifying client identity.
- Get the documents for the weak spot firstIf income is the question, get the income documents first. If it's the down payment, get the statements first.
- Put it in front of a lender fastSend a complete file with a short, honest note: what's on the edge, and what makes the deal strong. Call the lender's underwriter or business development manager (BDM) if you need a quick read.
Source: Canadian Mortgage Trends on FINTRAC obligations for mortgage brokers. See Sources. Your brokerage sets the exact checks.
A clear yes, collect documents. A clear no, give the roadmap. Anything in between, get a complete file to a lender fast and let the lender make the call.
Documents decide how fast you fund
MyMortgageMate's Document Collection Checklist (tab 6) builds the list from the income types and lane you entered. Print it the moment a deal is a Go, and collect everything on it at pre-application. Not after the commitment.
| File type | What lenders expect to see |
|---|---|
| Every file | 2 pieces of government ID · void cheque or direct deposit form · proof of down payment (90 days of bank statements) · signed purchase agreement |
| Employed | Letter of employment dated within 30 days · recent pay stub · T4 (2 years for variable income) · Notice of Assessment |
| Self-employed, sole proprietor | T1 Generals, 2 years, with Statement of Business Activities · NOAs, 2 years · confirmation of no taxes owing · business licence, trade licence or GST/HST registration |
| Self-employed, incorporated | All of the above, plus Articles of Incorporation · notice of directors with shareholdings · T2 returns, 2 years · accountant-prepared financial statements, 2 years · current corporate search |
| Pension | Pension award letter or T4A(P) |
| Canada Child Benefit | CCB statement from CRA · 3 months of bank statements showing deposits · children's birth certificates or passports |
| Support received | Court order or separation agreement · bank statements showing it arrives |
| Refinance (typical asks) | Current mortgage statement · property tax statement · statements for every debt being paid out. The lender usually orders the appraisal. Confirm the lender's own list. |
Pre-approve every document before a lender sees it
- Names and addresses match the ID and the application.
- The letter of employment is dated within 30 days and the salary matches the pay stub.
- Bank statements show the client's name and the institution and cover the full 90 days.
- Any deposit that isn't payroll: get the explanation and the paper trail now.
- The NOA shows no balance owing. This matters most for self-employed clients.
- Anything older than 60 days may need refreshing before submission.
- Clear, legible, full pages. No cropped screenshots.
Conditions and relationships
When the commitment lands, read every condition that day. Match each one to a document you already hold and send them together. If a condition surprises you, call the lender's underwriter or BDM straight away.
Lenders remember brokers whose files are complete and match what they expect. Clients remember brokers who never had to ask twice. Both come from the same habit: the work was done before anyone asked.
Sign-off: ready for live clients when you can
- Run a full quick qualification in MyMortgageMate while the client is on the phone.
- Explain the stress test to a client in one sentence.
- Spot a fringe deal and get a complete application to a lender fast.
- Put any deal in the right bucket: insured, insurable or uninsurable.
- Work out refinance proceeds by hand and match the tool.
- Turn the Document Collection Checklist into a complete, pre-checked file.
- Match the answer key on all eight practice files.
Trainer notes for Session 4
10 min Fringe deals: the signs, and the same-day steps.
10 min Documents by income type. Show a real checklist PDF from a past file with client details removed.
5 min Conditions, lender relationships, client updates.
20 min Cards 6 to 8, or set them as homework and review next day.
Sign off when all eight files match and the agent ticks every line above.
Practice
Quick check
Run each file in MyMortgageMate, then check the key
Each file is a fictional client. Open the residential calculator, enter the details tab by tab, answer the questions, then reveal the answer key.
The 4.29% and 4.49% rates are practice assumptions, not market quotes. Ratios within 0.1% count as a match; small differences come from rounding. Max Purchasing Power figures in the keys are our reference math, so the tool's own rounding may differ by a few thousand dollars. Any bigger gap means an input is off. Check it.
Keep this open on calls
Qualifying rate
Insured and uninsured (federally regulated). Not needed on a straight switch at renewal.
Ratios
A lender 39 / 44 · B 50 / 50 · High Ratio B 60 / 60 (monthly gross income)
Minimum down (insured)
| First $500,000 | 5% |
| $500,000 to under $1.5M | 10% of that part |
| 3 or 4 units, owner-occupied | 10% of price |
| $1.5M or more | 20%, no insurance |
Premiums
| 5% to 9.99% down | 4.00% |
| 10% to 14.99% down | 3.10% |
| 15% to 19.99% down | 2.80% |
| 30-year amortization | +0.20% |
Buckets
| Insured | Under 20% down · under $1.5M · 25 yrs (30 for first-time buyers and new builds) |
| Insurable | 20%+ down · under $1M · 25 yrs max · purchase or switch |
| Uninsurable | Refinance with new money · $1M+ · over 25 yrs · rentals |
Refinance
| Legal max | 80% LTV |
| Line of credit portion | 65% LTV |
| Max Refinance Power | 75% (planning guide) |
| CMHC secondary suite | 90% of as-improved, under $2M |
Debt payments
| Credit card, unsecured LOC | 3% of balance |
| Car, student, personal loans | Actual payment |
| HELOC (tool estimate) | 25 yrs at 5.25% |
| Condo fees | 50% |
| Heating | $120 house · $100 condo |
First call checklist
- Purchase, refinance or switch?
- Every applicant's income and how it's earned
- Every debt: balance and actual payment
- Properties already owned
- Price or value, down payment or equity
- First-time buyer? New build? Will they live there?
- Rough credit picture
Where every rule comes from
Rules change. Re-check these every December when OSFI reviews the qualifying rate, and whenever CMHC or the Department of Finance announces a change. Lender policies vary; confirm with the lender before you advise a client.
- OSFI: Minimum qualifying rate for uninsured mortgagesContract rate + 2% or 5.25%, whichever is higher. Reviewed at least annually. Not expected on uninsured straight switches at renewal.
- CMHC: Homeowner mortgage loan insurance requirementsGDS 39% and TDS 44% maximum, ratios at contract + 2% or 5.25%, at least one borrower with a 600+ credit score, 3 to 4 units at 10% minimum equity.
- Insurable Housing Loan Regulations, s.5 (high ratio loans)Property value under $1,500,000; 95% of value up to $500,000, then $475,000 plus 90% of value above $500,000.
- Eligible Mortgage Loan Regulations, s.6 (low ratio loans)Insurable loans: purchase or switch of a prior low ratio loan, 25-year maximum amortization, property value under $1,000,000.
- Department of Finance: mortgage reforms (September 16, 2024)Insured price cap raised to $1.5M and 30-year insured amortization for all first-time buyers and new builds, effective December 15, 2024. Insured mortgages can switch at renewal without a new stress test.
- OSFI: Guideline B-20 advisory on real estate secured lending80% legal maximum LTV for uninsured mortgages; HELOC portion capped at 65% LTV.
- CMHC Refinance fact sheet (secondary suites)Up to 90% LTV, lending value under $2,000,000, up to 30 years, up to 4 units, self-contained suite, no short-term rental.
- CMHC: Mortgage loan insurance premiums4.00%, 3.10% and 2.80% premium tiers. This page still shows the old $1M cap; the regulations above are current. The 0.20% surcharge for 30 years comes from MyMortgageMate's model and industry sources.
- Canadian Mortgage Trends: FINTRAC rules for mortgage brokersAnti-money-laundering obligations for mortgage brokers, lenders and administrators took effect October 11, 2024: compliance program, client identity verification, record keeping and reporting.
- MyMortgageMate residential calculatorDebt payment treatment, lender lanes and credit guides, document checklist by income type, self-employed income rules, $3,000 switch cost allowance, 75% Max Refinance Power planning guide.
- WealthNorth: insurable vs uninsurable mortgagesIndustry source for the usual pricing order: insured, then insurable, then uninsurable. Actual pricing varies by lender.
- Canadian Money Help: CMHC premiumsIndustry source: provincial sales tax on premiums in Ontario, Quebec, Manitoba and Saskatchewan. Confirm with the lawyer on each file.