All Documents Required for Your Mortgage Refinancing

A well-prepared mortgage refinancing file speeds up the approval process and reduces the risk of delays or denials. Canadian lenders, governed by the Office of the Superintendent of Financial Institutions (OSFI) guidelines and the Bank Act, require comprehensive documentation to assess your repayment capacity, confirm the property value, and ensure regulatory compliance. In Quebec, additional requirements related to civil law, the Land Registry, and Autorite des marches financiers (AMF) standards are added to fédéral requirements. Preparing all these documents before the first meeting with your AMF-certified mortgage broker can considerably accelerate the process, which typically takes 4 to 8 weeks.

Personal Identification Documents

• Two valid photo IDs: Quebec driver's licence, Canadian passport, or permanent resident card. At least one must include your current address. Copies will be kept in the lender's file in accordance with FINTRAC (Financial Transactions and Reports Analysis Centre of Canada) identity verification requirements.
• Social Insurance Number (SIN): Required for credit verification and tax reporting of mortgage interest paid. This number is used solely for identity and credit file verification.
• Proof of current residence: Utility bill, bank statement, or recent notice of assessment showing your current address, particularly if your primary ID does not display your current address.

Income Documents — Salaried Employee

• Recent employment letter (less than 30 days old) on employer letterhead, signed by an HR representative or your supervisor. The letter must confirm your position, hire date, gross annual salary, status (full-time/part-time/contract), and whether your probation period has ended.
• Last three consecutive pay stubs demonstrating your regular compensation, including any variable compensation (overtime, commissions, bonuses). If your income includes a significant variable component, some lenders will require pay stubs from the past 12 months.
• Last two fédéral (CRA) and provincial (Revenu Quebec) notices of assessment to confirm declared income. These documents also validate that you have no unpaid tax balances that could affect your repayment capacity.
• T4 or Releve 1 slips from the past two years confirming total employment income, particularly important if your income has recently increased and the employment letter reflects a higher salary than previous notices of assessment.

Income Documents — Self-Employed

Self-employed individuals face stricter documentation requirements because their income is considered less predictable by lenders. At minimum, you will need to provide the last two complete T1 General income tax returns with all schedules, your business's financial statements for the last two or three fiscal years, and the corresponding notices of assessment. Some lenders offer special programs for self-employed borrowers that use gross declared income rather than net income after deductions, which can significantly increase the accessible financing amount. Your mortgage broker can identify the lenders most favourable to your self-employed profile and guide you toward the most advantageous program.

Mortgage and Real Estate Documents

• Complete current mortgage contract, including all appendices, modifications, and renewals. This document allows verification of your current loan conditions, including prepayment privileges, portability clauses, and breakage conditions.
• Latest mortgage loan statement showing the current balance, interest rate, payment amount, remaining amortization, and term maturity date.
• Written penalty statement from your current lender, specifying the exact breakage penalty amount and the calculation method used.
• Most recent municipal assessment notice for your property.
• Up-to-date certificate of location (less than 10 years old in Quebec, or updated if renovations or modifications have been made to the property).
• Proof of payment of municipal and school property taxes for the current year.
• Valid homeowners insurance policy showing sufficient coverage for the property's reconstruction value.

Debt and Other Commitment Documents

To calculate your debt service ratios under OSFI's B-20 standards, the lender will need statements for all your existing debts. Provide the most recent statements for all credit cards (even those with zero balances, as the available limit is considered in the calculation), car loans or leases, personal and home equity lines of credit, student loans, and any other recurring financial commitments. If you pay alimony or have a financial support judgment, these amounts must also be declared. The gross debt service ratio (GDS) must not exceed 39% of your gross income, and the total debt service ratio (TDS) must not exceed 44%, calculated at the B-20 stress test rate.

Total Debt Service Ratio (TDS)

The percentage of gross income allocated to all housing payments (mortgage, taxes, heating, condo fees) plus all other debt obligations (credit cards, car loans, lines of credit, alimony). Under OSFI standards, the TDS ratio must not exceed 44% of gross income, calculated at the B-20 stress test rate (the higher of 5.25% or the contractual rate +2%). A high TDS ratio is the most common reason for refinancing denial.