Mortgage Solutions for Buyers
Congratulations on exploring homeownership! Homeownership can be very rewarding, but scary at the same time. When it comes to mortgages, there is no such thing as a “silly” question, I’ve been in your shoes and know exactly what you are going through.
I like to explain all details in plain English so it’s
easy to understand. Below is a high-level breakdown of the process to allow you to better understand the steps required on your homeownership journey.
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The process is easy!
1
Comprehensive Pre-Approvals
A comprehensive pre-approval is the first step of a mortgage process. This is done through an introductory call to get a better understanding of your homeownership goals and plans. My
comprehensive mortgage pre-approvals are backed by supporting documents to ensure an accurate review is being done. If you haven’t been asked to show any documents, keep in mind that the information provided could be inaccurate in terms of your true purchasing power.
2
Make a Purchase Offer
A comprehensive review doesn’t lock you into a mortgage. It simply provides a ceiling price based on your income, down payment, and debts. Once you find a home which fits your criteria you will submit an “Offer To Purchase” (your realtor will go over this for you). When your offer is accepted, your “Offer to Purchase” becomes conditional. The typical life span of a conditional “Offer to Purchase” is 7 days. During this period, it allows the purchaser to obtain a full mortgage approval, have the potential property inspected by a certified home inspector to ensure there are no issues with the home.
3
Full Mortgage Approval
Once you have a conditional “Offer to Purchase”, I will work to locate a lender who will loan you the funds to complete the purchase. A full mortgage approval usually takes between 1 to 2 business days – our office has very strong relationships with lenders and are quick to review our files. Once approved, we will be in touch to go over everything and to sign the paperwork.
4
Appraisal and Down Payment
An appraisal is typically only needed for Conventional Mortgages, which is when the buyer puts 20% or more down on your home’s purchase price. Don’t have 20%? No need to panic. For buyers who are unable to put 20%+ down on the purchase price, the mortgage is subject to CMHC or Sagen Insurance premiums which a banks or mortgage lender will obtain for your mortgage. This cost is added to the mortgage and is spread out over the life of the mortgage (25 years). This premium is simply intended to protect the lender from higher risk mortgages. As a first-time home buyer, you can put down as little as 5% (subject to certain criteria).
5
Lawyer
You must hire a lawyer to represent you when you purchase a home. The lawyer receives and pays out the money you borrow and closes your mortgage. They will also inform you of your legal responsibilities in the mortgage process and manage your closing costs (i.e. transfer taxes and property tax set-up).
6
Annual Mortgage Reviews
Why would we need this once I have my mortgage? Life happens, and we all get caught up in our careers and families. Therefore, I conduct annual check-ins to ensure you are on track to paying off your mortgage and look for ways to possibly speed this up. For example, if you are looking to do a reno to make room for new family addition, etc. I can help find ways to make it easier.
happy customers
See what Others Say about their mortgage experience With Me.
Jason L
David is amazing for details and listening. I got exactly what I wanted in a mortgage and the process was relatively painless. Plus he was informative and was able to redirect me when I was misinformed from past interactions with others. Will be looking to do further business with this fella. Thanks again David.
Anothony
Dave was really helpful, answered all my questions and guided me throughout the process. My first time using a broker and will definitely do it again.
Henry D
David is a great mortgage agent who has my full trust. He is always quick to respond and is very knowledgable in mortgages. I highly recommend David for his services