Short answer
No universal Canadian rule automatically declines every borrower on probation. It is a lender-risk decision. The answer depends on the job change, industry continuity, guaranteed income, employment history, strength of the file and whether an insurer is involved.
The borrower concern behind the question
You accepted a stronger permanent job, but the commitment says employment is subject to a three- or six-month probation period and closing is sooner.
What the verified guidance says
OSFI requires federally regulated lenders to assess repayment capacity and verify employment status and income history. Its guidance is principles-based; it does not create a single probation waiting period for every lender or borrower.
Where lender and insurer policy changes the answer
A new employer, new field, material pay structure change or uncertain hours may create more risk than a move within the same profession. Some lenders require probation to be completed; others may consider an exception supported by the complete file. Alternative lenders also set their own rules and pricing.
A practical Ontario example
Illustration only: An accountant moves from one established firm to another for a higher guaranteed salary and closes during probation. A lender may view the continuity differently from a borrower entering a new commission-only industry with no prior track record.
What to prepare before the lender reviews the file
Send the new contract and old employment history before resigning or waiving financing. A broker can test the scenario with more than one lender, request an exception where justified and keep a backup route if the first lender will not proceed.
Questions Rajiv would ask first
- Which part of the income is guaranteed, variable, temporary or expected to change?
- What documents independently confirm the amount and how long it should continue?
- Is the mortgage insured or conventional, and which lender or insurer policy applies?
- Will the income or obligation change before closing or during the first mortgage term?
- What A-lender, alternative/B or short-term fallback remains practical if the first calculation fails?
Rajiv’s broker perspective
Income qualification is rarely solved by naming the benefit or employment type. I would first separate the income you receive today from the income a lender can reasonably document and use. Then I would compare the lender’s calculation with the household’s real after-tax budget. An A-lender exception can be appropriate when the story and documents are strong. Alternative/B lending may accept a wider income view in some cases, but the rate, fee and exit plan must earn their cost. MIC or private lending should solve a defined short-term problem, not hide an income gap that has no route back to sustainable financing.
Related: Mortgage declined? Start here · Mortgage Knowledge Centre · Updates & Rules Centre
Is your income being misunderstood by the lender?
Send Rajiv the income type, employment history, leave or return date, current documents, purchase or renewal deadline and the lender’s concern. He can identify what is missing, compare practical lender approaches and explain the next step in plain language.