Two weeks in, one week out. Twenty-one on, seven off. If that sounds like your calendar, you already know rotational work comes with good pay and a lot of time away from home. It can also make buying a house more complicated. Getting an oilfield worker mortgage in Alberta is very doable, but it helps to understand how lenders look at your income before you apply.
Why Rotational Income Gets Extra Attention
Oilfield pay is rarely a simple salary. A typical pay stub can include base hourly wages, overtime, a living out allowance (LOA), camp or subsistence pay, bonuses and sometimes travel pay. Some months are huge. Others, like during spring breakup, can be much lighter.
Lenders like steady and predictable. When they see a lot of variation, they slow down and ask more questions. That is not a no. It just means your application needs to be put together the right way.
Healthcare workers face a similar challenge with shift premiums, which we cover in our post on how lenders count nurse shift premiums and overtime. The approach for oilfield income is much the same.
What Lenders Will Count
Base hourly pay: usually accepted based on your job letter and guaranteed hours.
Overtime and bonuses: most lenders want a two-year history and will average it using your T4 slips or Notices of Assessment.
Living out allowance and subsistence pay: this is where lenders differ the most. Some do not count it at all. Others will include it if it has been consistent for two years and shows up on your tax slips.
Seasonal layoffs: if you have regular slow periods, lenders may look at your full yearly income, including EI, as long as the pattern is consistent.
Because lenders treat these items differently, which lender you apply with can change your approval amount significantly.
Changing Companies or Getting Dispatched Through a Contractor
Switching companies is common in the patch. If you move to a new employer, you may start a new probation period. Some lenders will not approve you until you are past it, while others will if you have stayed in the same line of work. If you are a dispatched or self-employed contractor, the rules are different again, and you will likely need two years of tax returns.
If a job change is coming, talk to a broker before you sign anything. A little planning can keep your purchase on track.
Doing Your Mortgage From Camp
One of the biggest headaches for rotational workers is trying to get paperwork done while they are hours away from home with spotty service. The Turcotte Mortgage Team makes it easy:
Apply online in a few minutes from your phone.
Send documents digitally.
Sign approvals electronically.
Talk to Jean-Guy after hours, when you are actually off shift.
You do not need to burn your days off sitting in a bank.
Tips to Strengthen Your Application
Keep your paperwork: hang on to every T4, pay stub and Notice of Assessment.
Save during the strong years: a bigger down payment gives you more lender options.
Hold off on big purchases: a new truck loan right before you apply can shrink your approval.
Know your numbers: get pre-qualified before you start looking at homes so you know your real budget.