Alternative Lending in Ontario – A Guide for Self-Employed and Non-Traditional Borrowers

Not everyone fits into the traditional banking system. For many Ontarians, particularly self-employed individuals and new Canadians, alternative lending offers an accessible path to homeownership.

What is Alternative Lending?

Alternative lenders provide mortgages outside the major banks. They often consider equity, income potential, and assets, instead of focusing solely on strict credit scores.

Who Uses Alternative Lenders in Ontario?

• Self-employed borrowers without stable T4 income

• New Canadians without a long credit history

• Investors with multiple properties

• Borrowers declined by traditional banks

Are Alternative Lenders Safe?

Yes, alternative lenders are regulated and reputable. However, their rates are usually higher than banks to offset risk.

Common Concerns in Ontario

• Higher interest costs compared to banks

• Shorter loan terms

• Exit strategy needed to return to traditional financing

Find flexible solutions in our Alternative Lending Services.