Can I Get a Mortgage on Probation in Canada? A BC Buyer's Guide

Yes, you can often get a mortgage while you are on probation at a new job in Canada. The two private mortgage insurers leave the decision to your lender: Sagen's published guidelines say applicants "are to be qualified based on the Lender's probation policy," so the answer depends on which lender you use and what kind of job you have.

This post is for buyers of a duplex, triplex or fourplex home in Greater Vancouver who have just started a job or may change jobs before a pre-sale home is finished. We read what the Financial Consumer Agency of Canada (FCAC), CMHC, Sagen, Canada Guaranty and Canada's bank regulator publish, and we say where no public rule exists.

Can I get a mortgage on probation in Canada?

Often, yes. Both private insurers leave the probation question to the lender that holds your mortgage.

Sagen's rule book for lenders, its Underwriting Policy Standards, has a short entry titled "Probation Period for New Employees." It reads: "Applicants are to be qualified based on the Lender's probation policy. Lender is to conduct due diligence as required by their internal policy and should be based on applicant's employment background and job type."

Canada Guaranty's rule book, its Underwriting Guidelines (March 2026 edition), does not mention probation at all. Section 3.3 says lenders must confirm income and employment through "independent, third-party sources," and that "where an income source is not listed below, lenders may prudently apply their own internal policies and procedures."

We did not find a CMHC page that sets a probation rule. CMHC's own mortgage application checklist ends with the line "Not all lenders have the same requirements."

So no public source sets one probation length for every lender. Lenders set their own rules; ask yours. In our view, this is good news, because a "no" from one lender reflects that lender's policy only.

Who decides: your lender, your insurer, or both

Your down payment decides which rules apply. Section 418 of the Bank Act stops a bank from lending more than 80% of a home's value unless the loan is insured. So with less than 20% down at a bank, your mortgage carries default insurance (insurance that pays the lender if you stop paying) from CMHC, Sagen or Canada Guaranty, and the lender has to meet the insurer's rules and its own. The federal insurance rules also cap the price: the home's value "must be less than $1,500,000," per the Insurable Housing Loan Regulations in the Canada Gazette (March 12, 2025). A home priced at exactly $1,500,000 needs 20% down.

With 20% or more down, no insurer is involved, and the lender's own policy decides. Banks are still supervised by the Office of the Superintendent of Financial Institutions (OSFI). Its Guideline B-20 tells banks to check "employment status" and "income history," and says "temporarily high incomes (e.g., overtime wages, irregular commissions and bonuses) should be suitably normalized or discounted."

Our stress test post covers the separate federal check on how much you can borrow.

What lenders ask about your job

Lenders want proof of your pay, your job title and how long you have held the job. The FCAC page on getting preapproved for a mortgage (updated October 15, 2025) says a lender "will look at" your assets, your income and your level of debt.

For proof of employment, the FCAC says you may have to provide:

• "a proof of your current salary or hourly pay rate (for example, a recent pay stub)"
• "your position and length of time with the employer"

CMHC's checklist asks for pay stubs or other proof of income, plus "your position with your current employer and past employers depending on how long you've been working there." That last phrase matters for a new job. When your time at the current employer is short, your past jobs become part of the file.

Sagen's standards say the lender must verify income and employment "to ensure income is stable, continuous, and sufficient to repay the mortgage as well as other debts."

Salaried, hourly, commission or contract: how each is counted

The insurers sort income into two groups. Fixed income arrives on a set schedule in a set amount. Variable income changes from one pay period to the next. The group your pay falls into decides how much history the lender needs.

Salaried, full-time. Sagen and Canada Guaranty both list salary as fixed income. Canada Guaranty asks for one item from a primary list (a letter of employment, a recent pay stub, or 2 months of direct deposit history) and one from a secondary list (last year's year-end pay stub, your most recent T4 slip from your employer, or your most recent Notice of Assessment, the CRA's yearly tax summary). A letter of employment plus one other primary item is enough on its own.

Hourly. Hourly pay with guaranteed hours counts as fixed income. Sagen lists "part-time income with guaranteed hours" as fixed, and its employment letter requirements say that "if paid hourly," the letter should show "the rate and normal hours worked per week." Hourly work without guaranteed hours is a different case. Sagen lists "casual income with non-guaranteed hours" as variable.

Commission, bonus, overtime and contract pay. Both insurers treat these as variable income, and both ask for "a minimum 2-year history." Canada Guaranty says the lender should use "the lesser of the most recent year's income or 2-year average." If the most recent full year is within 20% of the 2-year average, the average may be used.

If your new job pays a base salary plus commission, the base salary is fixed income. The commission is variable income with no history at this employer yet. Ask your lender whether any of the commission counts now, and build your budget on the base salary until the lender says yes in writing.

Switching jobs in the same field

Your work history counts. Sagen's probation entry tells lenders to base their checks on "applicant's employment background and job type," and earlier years in the same line of work are part of that background.

Your last two T4 slips, a letter from your previous employer, and a short summary of your work history help a lender see that you are doing the same kind of work for a new employer.

In our opinion, the easiest change to explain is a move to the same kind of job with the same or higher base pay. The hardest is a move from salary to mostly commission, because the new pay falls on the variable list with no history. If you are weighing a change like that, find out what your lender will count before you resign.

Moving to Canada with a new job

Newcomers face the same job checks, plus a check of their right to work here. Sagen's New to Canada Program says "standard income and employment verification requirements apply" and that the buyer "must have a valid work permit or obtained permanent residency."

So a newcomer on probation at a first Canadian job meets the same lender probation policy described above.

Our guide for buyers who are new to Canada covers the foreign buyer rules, CMHC's newcomer program and the documents newcomers usually gather.

What a pre-approval locks in, and what it does not

A pre-approval holds a rate for a set time and gives you a borrowing limit. It does not promise you the mortgage. The FCAC says lenders may let you "lock in an interest rate for 60 to 130 days, depending on the lender," and that the process "does not guarantee your approval for a mortgage."

The FCAC also warns that "a lender could refuse you for a mortgage even if you've been preapproved," and that "each lender sets their own lending guidelines and policies."

A pre-approval is based on the job you have on the day you apply. If that job changes, the lender has to look at your file again. Our post on mortgages for a pre-sale home explains the gap between pre-approval and final approval.

Changing jobs between signing and completion

A job change after you sign can send your file back for a new decision. Both insurers publish a table of changes a lender can make after insurance is approved without sending the file back. For employment, both tables say no new approval is needed only when the change in time at the job is 2 years or less and your time at the job is more than 2 years.

A new job resets your time with the employer to zero. In our reading of both tables, that means the lender has to send the file back to the insurer for a new decision on your new job. Read the tables yourself in Sagen's underwriting documentation chapter and section 1.5 of Canada Guaranty's guidelines, and ask your lender how it handles this.

Resale homes. Your contract sets the time between removing subjects (the conditions in your offer) and completion. A job change in that window happens just as the lender is getting ready to release the money. If you can, wait until the purchase completes.

Pre-sale homes. The wait can last a year or more, which is longer than any rate hold the FCAC describes. Your final approval comes near completion, and the lender reviews the job you have then. If you are still on probation then, the lender's probation policy applies. Both insurers also say a late completion cannot push the closing past 36 months from the last insurance approval. Our post on what happens when a pre-sale is delayed covers rate holds during a delay.

Never keep a job change from your lender. Canada Guaranty's guidelines tell lenders to report suspected misrepresentation, meaning false or hidden information, "pre- and post-funding," and the first item on its list is "Income/employment."

Documents to gather before you apply

Start with the items the insurers name. Sagen and Canada Guaranty both spell out what a letter of employment should show:

• Your name, start date and job title
• The employer's name, on company letterhead, signed by someone with authority, and dated (Canada Guaranty says no more than 60 days before the application)
• Your gross pay, and for hourly work, your rate and normal weekly hours
• Your employment status, as both insurers list it. If you are on probation, ask your employer to include the date it ends

Then add the rest:

• A recent pay stub showing your name, the employer's name and your year-to-date earnings
• Bank statements showing 2 months of pay deposits (Sagen wants deposits within 60 days of the insurance application)
• Your most recent T4 slip and Notice of Assessment
• For commission, bonus, overtime or contract pay: 2 years of T4 slips, Notices of Assessment or year-end pay stubs
• For a job change in the same field: your previous employer's letter and T4 slips
• Government photo ID, proof of your down payment and where it came from, and a list of your debts

Questions to ask your lender or broker

Ask these before you apply:

• What is your probation policy, and does it apply to my job type?
• Will you count my base pay now? Will you count any commission, bonus or overtime?
• How long is your rate hold, and can it be extended for a pre-sale?
• If I change jobs before completion, what will you need from me, and when?

A broker can put the same file in front of several lenders with different policies. Our post on choosing a mortgage broker or your bank lists a recent job change as one of the files where that wider choice helps. If one of the buyers runs a business, our post on buying with self-employed income covers those documents.

What this comes down to

• A mortgage on probation is often possible. Both private insurers leave it to the lender's own policy, so ask yours.
• How you are paid decides how much history you need. Salary and hourly pay with guaranteed hours count as fixed income. Commission, bonus, overtime and contract pay need a 2-year history at both insurers.
• A pre-approval holds a rate for 60 to 130 days and guarantees nothing, per the FCAC.
• A job change after you sign can send your file back to the insurer. On a pre-sale, the lender looks at the job you hold at completion.
• Gather your employment letter, pay stubs, deposit history, T4 slips and Notices of Assessment before you start looking at homes.

Frequently asked questions

Can I get a mortgage on probation in Canada?

Often, yes. Sagen's guidelines say applicants "are to be qualified based on the Lender's probation policy," and Canada Guaranty leaves unlisted cases to each lender's own policies. We found no CMHC page with a probation rule. Lenders set their own rules, so ask yours how it treats your job type before you apply.

How long do I need to be at my job to get a mortgage?

No public source sets one minimum for salaried jobs. Lenders set their own rules; ask yours. The fixed rule we found applies to pay that changes: Sagen and Canada Guaranty both ask for a minimum 2-year history of commission, bonus, overtime, contract or casual income before it counts.

Can I get a mortgage with a new job in the same field?

Often, and your history helps. Sagen tells lenders to base probation checks on "applicant's employment background and job type." Bring your previous employer's letter and your last two T4 slips so the lender can see the same line of work continuing. The lender's own probation policy still decides.

Can I change jobs after mortgage pre-approval?

You can, but tell your lender first. The FCAC says a pre-approval "does not guarantee your approval" and that a lender could refuse you even after pre-approving you. Your pre-approval was based on your old job, so expect the lender to review the new one before it approves the mortgage.

Can I change jobs before my pre-sale home completes?

You can, but expect a fresh review. Your final approval comes near completion, and the lender looks at the job you hold then. If you are still on probation at that point, its probation policy applies. In our reading of the insurers' tables, a new job also sends an insured file back to the insurer.

Does commission income count for a mortgage?

Yes, with a history. Sagen and Canada Guaranty both list commission as variable income and ask for a minimum 2-year history. Canada Guaranty says lenders should use the lesser of the latest year or the 2-year average. Commission from a new job may count for less until that history exists.

Can I get a mortgage if I am paid hourly?

Yes. The FCAC lists "your current salary or hourly pay rate" as proof of employment. Sagen counts hourly work with guaranteed hours as fixed income and asks that the employment letter show "the rate and normal hours worked per week." Hours that are not guaranteed fall on the variable list instead.

What documents do I need to prove a new job?

A signed letter of employment on company letterhead showing your start date, job title, gross pay and employment status, plus a recent pay stub. Canada Guaranty wants the letter dated no more than 60 days before you apply. Add your past T4 slips and Notices of Assessment to show your work history.

Can newcomers on a work permit get a mortgage with a new job?

Yes, if you meet the lender's rules. Sagen's New to Canada Program requires a valid work permit or permanent residency and says "standard income and employment verification requirements apply." That means the lender's probation policy still applies to a first Canadian job. Our newcomer guide covers the rest of the process.

Should I tell my lender I am changing jobs?

Yes, before you make the change. Canada Guaranty tells lenders to report suspected misrepresentation "pre- and post-funding," and income and employment head that list. Telling your lender early gives it time to review the new job, and gives you time to find another lender if the answer is no.

Does a probation period matter if I put 20% down?

Yes. With 20% or more down, the mortgage needs no default insurance, so the lender's own probation policy decides. Banks still follow OSFI's Guideline B-20, which tells them to check your "employment status" and "income history." Ask your lender how it treats a new job at your down payment.

Can a mortgage broker help if I am on probation?

Often. A broker can show your file to several lenders, and each lender sets its own probation policy, as Sagen's guidelines make clear. One lender's "no" may be another lender's "yes." Ask the broker which lenders they work with and how each one treats a new job like yours.

Before you decide

General information only. The insurer rules, rate hold periods, document lists and price limits on this page are based on the published sources as of the dates noted. They are not financial, mortgage, tax or legal advice, and not a guarantee of qualification or any outcome. Lender policies, insurer guidelines and federal mortgage rules change. Always consult a licensed mortgage broker before you change jobs during a purchase or make any purchase or financing decision.

If you are starting a new job and want to know what kind of home your file can support, browse the new duplex, triplex and fourplex homes for sale to see prices in the neighbourhoods you like, then get in touch with our team. Tell us your job situation and your timeline, and we will help you plan the purchase around it.