10 smart tips to get mortgage-ready after bankruptcy

Bankruptcy can feel like the end of the road, but it doesn’t have to be the end of your homeownership dreams. As a mortgage broker who’s worked with many clients across the GTA and beyond, I’ve seen firsthand how life after bankruptcy can include a mortgage approval. The key is knowing what lenders look for, what steps to take, and how to avoid the common missteps that slow your progress.

That’s why I created this video:

🎥 Watch now: 10 Smart Tips to Get Mortgage–Ready After Bankruptcy

In it, I’ve covered my top 10 practical, experience-backed tips to help you get back on track, whether you’re freshly discharged, or years past your bankruptcy.

📌 Here’s a quick overview of what’s inside:

Tip #1: Your discharge date is just one piece of the puzzle

Many people believe they have to wait a specific number of years after discharge to qualify. While that’s a common guideline, it’s not the whole story. Your overall financial picture – particularly your re-established credit – matters more than just the calendar.

Tip #2: Check your credit report carefully

Mistakes on your credit report can tank your progress. I recommend that you walk through your credit report line by line to catch any errors and debts that still show on there after your bankruptcy. You need to make sure that affected debts show “included in bankruptcy” with a zero balance. If that’s not the case, you need to contact the credit bureaus – Equifax and TransUnion – to get them to fix this. Your bankruptcy trustee should be able to help you with this.

Tip #3: Rebuild your credit strategically

Two well-managed credit cards that you allow to “age” create the best combo. But not all credit-building options are created equal. I explain what to avoid so you don’t end up dragging things out after bankruptcy. For a deep dive into credit after bankruptcy and credit after consumer proposal, check out my blog for these topics.

Tip #4: Understand the credit algorithm

It’s not just about having credit, it’s about managing it the right way. Your credit limits, payment timing, and credit utilization all factor into your score. Many post-bankruptcy clients tell me that they’ve avoided credit to ensure they avoid getting into trouble again. It’s an unfortunate paradox: you need to have credit to show you’re a good risk to get more credit.

Tip #5: The #1 thing to do with your credit

Simple but powerful: pay everything on time. Post-bankruptcy, your credit gets put under a microscope way more than ever before. Managing your accounts in a way that shows lenders you’re stable and responsible puts you back on the road to “normal”.

Tip #6: What lenders look for in your income

Consistency is key. Whether you’re salaried, self-employed, or a contractor, lenders want to see a strong track record of income. What you need to do is document it. This might be via pay stubs, T4s, and income tax returns, or it might be via a business license, 12 months’ worth of business bank statements and invoices. You’ve heard the phrase “show, don’t tell”? This is definitely true when we’re talking about your income.

Tip #7: Know the down payment formula

Yes, you can buy with 5% down after bankruptcy, but only if you meet certain conditions. (Hint: look at your re-established credit.) Otherwise, you may need 10%, 15%, or more depending on the lender. I explain why.

Tip #8: Consider a cosigner

A strong cosigner can make all the difference. I cover how this works in Canada and how it affects your mortgage approval.

Tip #9: Be open to alternative (“B”) lenders

Alternative lenders aren’t a scam; they’re a legitimate option for people rebuilding credit. I’ll explain why this path is often a smart stepping stone to a traditional mortgage later.

Tip #10: Find the right Mortgage Broker

This step is crucial. You need someone who understands post-bankruptcy lending, credit rebuilding, and lender guidelines, not just someone who submits your application and hopes for the best.

🎯 Ready to take the first step?

You don’t have to figure this out alone. I’ve helped many people in similar situations go from bankruptcy to homeownership. With the right strategy and support.

🔗 Want to start rebuilding your credit the right way?
👉 Fixing Your Credit After Bankruptcy (Blog Series)

📞 Let’s talk about your mortgage options.
👉 Book a Free Consultation

🏠 Bankruptcy isn’t the end. It’s a new beginning.

If you’re ready to start figuring out your roadmap to owning a home again, this video is your action plan.
▶️ Watch: 10 Smart Tips to Get Mortgage-Ready After Bankruptcy

Let’s build your comeback story together!

TORONTO MORTGAGE BROKER

GTA MORTGAGE SPECIALIST

BANKRUPTCY MORTGAGE SPECIALIST