How Your Income Impacts Mortgage Approval in Vancouver: Salary, Commission, Tips & Side Hustles Explained
- erin0582
- Oct 2
- 3 min read
When it comes to buying a home in Vancouver, one of the first things lenders will look at is your income. Whether you’re salaried, commission-based, earning cash tips, or balancing a side hustle, the way your income is documented can determine how much you qualify to borrow.
In this blog, I’ll walk you through the most common income scenarios with insights from Chris Moore of Forefront Mortgages, so you can feel confident and prepared for your next home purchase.
Section 1: Why Income Matters for Mortgage Approval
Income is the foundation of mortgage qualification. Simply put:
More income = higher approval amount
Less income = lower approval amount
Lenders want to ensure you can manage monthly mortgage payments on top of your existing financial obligations.
Section 2: Salary & Hourly Income
For homebuyers with a full-time job, mortgage approval is typically straightforward. Lenders usually ask for:
A job letter confirming employment and salary
Recent pay stubs
If you’re salaried or guaranteed a set number of hours per week, your income is considered stable, which makes it easier to qualify.
Section 3: Commission-Based Income
If you work on commission, things get a bit more detailed. Lenders often require:
Two years of income history to average out fluctuations
Proof of earnings through tax returns
Some lenders may consider shorter histories (six months to a year) if you can demonstrate consistent earnings.
Section 4: Cash & Tip Income
Servers, bartenders, and others who rely on tips often wonder if their cash income counts. The good news is:
Depositing tips into a bank account creates a record lenders can use.
Some lenders may also rely on a job letter stating average tips.
The key is transparency — the more proof you can provide, the better.
Section 5: Using a Co-Signer
If your income isn’t enough to qualify on your own, adding a co-signer can bridge the gap. A co-signer’s income is added to your application, increasing your purchasing power. This is especially common for first-time homebuyers.
Section 6: Side Hustles & Influencer Income
In today’s economy, many people have multiple streams of income. Whether it’s a second job, freelance work, or revenue from platforms like YouTube or TikTok, lenders will consider it if:
The income has been consistent for at least 1–2 years
You can show proof via tax returns, contracts, or bank deposits
The longer the track record, the stronger your application.
Section 7: Maternity Leave & Income
Taking time off to raise a child doesn’t mean you can’t qualify. Lenders will look for:
A letter from your employer confirming your job and return-to-work date (within 18 months)
They’ll use your full pre-leave income for qualification purposes
This ensures parents don’t miss out on homeownership opportunities while on leave.
Conclusion
Your income — no matter how it’s structured — plays a major role in mortgage approval. Whether you’re salaried, earning commission, relying on tips, or building side hustles, there’s almost always a solution. Working with a mortgage broker ensures you present your income in the best light possible to secure the financing you need.
📞 Ready to start your home buying journey? Connect with me, and let’s find your dream home with the right financing in place.
Erin Price Emery
Contact me: erin@priceemery.com
Call or text: 604-767-7725
Explore homes for sale in Vancouver and other areas at listitvancouver.com