You’ve found a great builder, a nice community, and the perfect home plans… what’s next!?

When building a new home, the mortgage process is very similar to applying for a standard pre-approval, but with some additional documentation required.


  • The purchase contract
  • Floor plans, spec sheet, proof of new home warranty (All available through the builder)
  • A copy of the deposit cheque

Once your application and the documents have been reviewed, we will provide a mortgage commitment, that we will review with you.

Building a new home - Canadian Mortgage Pros


An important consideration is a potential change of your job. Employment income is one of the most important qualifying criteria. If you are looking to change your job, or changing from a salary to a contractor/self-employed, or have a probation period. Give us a call and we’ll let you know if/how you may be affected.

Finding that perfect home is very exciting, and can be a dream come true, however, a lot can change in 6-9 months. Make sure if you are thinking of making changes, that you call us to make sure it will not affect your approval. **This is extremely important as every mortgage lender has the right to cancel your approval if something in the original application negatively changes.**


The mortgage commitment is based on your approval at the time of your application. It is important to not accumulate more credit from the date of your approval. Making major purchases that substantially increase your debt can also affect your approval. It is best to wait until after moving in to make any other major purchases – Please talk to us if you’ve got any financial plans aside from your home or mortgage. It could save your New Home Adventure!

Additional notes from our Broker – Bob Reader:

  • In many cases, the purchase contract is generated by the builder, we advise reviewing this contract with your lawyer before signing. Clauses in the contract could potentially allow unexpected cost increases due to material costs etc. (It’s worth discussing with your lawyer.)
  • Before you write your deposit cheque, you’ll want to be pre-approved for a mortgage! – You don’t want to place your deposit first, and then try and find a mortgage after – if for whatever reason, you are unable to get the financing, you could forfeit your deposit.
  • A bank always has the option to cancel an approval if employment or debt changes from the initial approval. We have seen this happen recently, due to job losses brought on by Covid. Builders generally require a minimum 5% of the purchase price as a deposit; This could be lost. There would also be the possibility of being sued for the sale difference, if the builder sells to another buyer for less than you initially agreed to pay. You need to consider all concerns prior to signing.
  • Building a new home is exciting! However, it is our responsibility to inform you of the potential risks, so that you can be very confident prior to signing any contracts.

Please call anytime should you have any questions 403-509-2434  

Happy New Home Hunting!