Getting Your Ducks in a Row Before You Buy

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We strongly recommend getting pre approved for a mortgage before you start looking. Pre approval means that a lender has looked at your credit profile, your income and assets and determined what they are comfortable lending you. It also helps you understand what you can and can not afford. Often times people are pre approved for a much higher amount then they want to spend per month. Having an honest conversation with  you Mortgage Broker will help you identify what you want to spend and what you can afford to spend.

Here are some reasons why you should get approved for a mortgage:

  • To eliminate disappointment- A pre approval will allow you to know exactly how much home you can afford so you can streamline your home search.
  • To help you understand the costs to buying a home. You’ll have a better understanding how much money you will need to close on your dream home. We will go over the entire process to eliminate any surprises when you’re in a live offer situation.
  • Improve your chances in a competitive offer situation- a pre approval can be a huge advantage to the buyer when in a multiple offer situation as it shows the seller that you should have no problems with financing. It also allows for a quicker close.
  • We can guarantee a rate for 120 days to protect you if rates increase while you are hunting for that perfect property.

One thing a Pre Approval isn’t is a guarantee. Many things can still come up after the pre approval that would lead to a decline, such as property that is not in good and marketable condition. Working with a experienced Mortgage Broker will help you to identify and mitigate these possible issues before hand, so you don’t get your heart broken.

What is a Mortgage Broker?

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What is a Mortgage broker?

Mortgage brokers will act as a liaison between you and the lending institution. Mortgage brokers will do the shopping around for you to find a bank or a direct lender that will be willing to make a specific loan that fits your unique needs. They will negotiate the best available terms and rates on your behalf. There are many advantages to using a mortgage broker:

– Mortgage brokers provide their services for free* to borrowers. We get paid by the lender when the mortgage is approved and signed so our assistance will cost you nothing.
* Occasionally there are situations where the lender deducts our fee from your funds, this is for unique situations and is fully disclosed up front, so either way there are no hidden fees!

– Mortgage brokers may save you money. We may be able to negotiate better rates than if you approached the lending institution yourself. Seriously. This is especially important to remember when your mortgage is up for renewal.

– Mortgage brokers may save you time. We do the legwork for you in terms of paperwork and negotiating with lenders. Our hours are flexible and we work when you don’t, so you never have to worry about taking time off to deal with your mortgage paperwork!

– Mortgage brokers assist those with less-than-perfect finances secure a loan.

– Mortgage brokers work with a variety of lenders, some of which work exclusively with mortgage brokers. We will seek out the perfect mortgage for your specific needs.

– Mortgage brokers have access to, and knowledge of, the entire mortgage market unlike an individual financial institution. We only care about your mortgage. We won’t be pushing other credit items and asking you to open bank accounts with us. We make the same amount of money no matter what your rate is, so we have no self interest to charge you a higher rate (unlike a for profit bank…)

Most importantly Mortgage Brokers give you choice. They take all the guesswork out of mortgages and explain things clearly and in a manner that should make you feel like you have someone on your side.