Not many of us can afford to pay for our homes outright, in cash. Even a Canadian lawyer tends to buy beyond her immediate means when it comes to a new home. It's a uniquely 20th and 21st century phenomenon that might or might not still be around in another fifty years, but for now people all over the world are indebted to the banks when it comes to buying a home. They have to take out loans in order to pay the former home owner what he or she is asking for.
Banks and other lenders don't just go handing out this money willy nilly either. There is some risk involved for lending organizations. They don't like the idea of loaning out money to someone who might default on the loan and leave them with property instead of the liquid assets that they specialize in. So everyone needs to be able to provide some documentation that will show they are low risk as far as the loan is concerned. Don't worry if you feel you only work for a wedding catering Toronto company or some other type of job, what banks are looking for first and foremost is some proof of employment to show that you are indeed working.
The most common type of employment proof is a letter from one's immediate supervisor stating that yes, a person does work for the company. Let's say you work in a Winnipeg auto body shop. You need to approach your employer, the higher up the chain the better, and tell him that you are in need of a letter to get a loan for your mortgage. Most of the time employers are more than willing to provide this kind of information to their employees.
Make sure that there are several things included in the letter. First should be the name of the employer, the business, and the address of the business as well. Your job title should be included, if you work specifically on industrial vehicles or in some other part of the shop. Lenders are going to want to see proof of stable employment, so your boss will also need to include your hiring date in the letter. Any other information pertaining to your employment with the company will come in handy too, including your employee number, type of payment instalments, and so on.
If you are self employed, or have only been working with the company for a few months, then you might have to do a little bit of extra work to gain proof of employment. A general contractor in Scarborough should be ready to hand in copies of invoices and maybe even bank statements to show steady work; T4 slips also work as proof of employment for most institutions.
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