Home loan
- Thread starter brainsroman
- Start date
Mortgage lenders typically require pay stubs as part of the documentation needed to verify a borrower's income and employment status when applying for a mortgage loan. Pay stubs provide evidence of the borrower's current earnings, including their salary or hourly wage, as well as any bonuses, commissions, or other forms of compensation they may receive.
Lenders use this information to assess a borrower's ability to make monthly mortgage payments and to determine the size of the loan they can afford. Pay stubs are an important part of the underwriting process, as they provide lenders with a record of the borrower's income over a recent period of time. This helps lenders to gauge the borrower's financial stability and the likelihood that they will be able to make their mortgage payments on time.
In addition, to pay stubs, mortgage lenders in Canada may also require other documentation to verify a borrower's income and employment, such as tax returns, proof of employment, and bank statements. It's important for borrowers to be prepared to provide this documentation when applying for a mortgage loan to ensure that the process goes smoothly and to increase their chances of being approved for the loan
