The process of obtaining a residential mortgage is best done with the help of a mortgage broker. An expert simplifies a rather complicated process. The Canadian Mortgage and Housing Corporation report a more than a 20% increase in the total value of mortgage originations compared to the same period in 2019. This was mainly due to the surge in newly extended mortgages, property purchases and refinances, and lower interest rates. It is also due to significant increases in housing prices in some markets.
The vast majority of homeowners seek to obtain a mortgage and many would rather not go through the process alone. The loan process includes filling out the dreaded mortgage application and gathering supporting documents. Other steps include property assessment, the application submission, filtering through lenders, deciding on the best option and the proper transfer of funds. Your mortgage broker walks you through each of them effortlessly. The residential mortgage financing process is broken down into 3 stages.
Stage 1: Deciding The Type of Residential Mortgage You Need
Various types of residential mortgages exist and deciding on the one that’s most suitable for your needs is the first stage in the process. The most frequently asked question borrowers ask is “how much mortgage can I afford?”
Your mortgage professional evaluates your specific situation and needs and decide on the type of loan, the amount, and the best course of action you need to take for approval. They assess your financials and set you up for the pre-approval process. This allows you to easily obtain the loan when you need it. Let’s maneuver through the second stage on how to get a mortgage.
Stage 2: Applying for the Residential Mortgage and Pre-Approval
The second stage in the home mortgage process is pre-approval. This is where a formal application with supporting documents is submitted and reviewed by lenders. A mortgage broker seeks your mortgage pre-approval by assisting in the following ways.
- Filling out your mortgage application properly and gathering the required documents to complete the process.
- Checking your credit report while assessing the risks of the desired property.
- Narrowing down lenders and assessing mortgage rates.
Your qualifications depend on many factors.
Stage 3: Transfer of Funds
Once your mortgage broker receives a lender’s final approval, your attorney finalizes the mortgage contract. The funds then transfer to your bank account and you have the financing you need for your dream home. What an exciting time!
With me, you obtain the residential mortgage that’s right for you and your family. As a licensed agent with Unimor Capital Corporation, I offer my clients access to many banks, financial institutions, and private lenders. I am also licensed by the Financial Services Commission of Ontario to disclose my compensation in writing to you. You’ll receive full transparency with my services and I ensure that your rate is locked in before you commit to your purchase.