The Mortgage Process

Step One: Application

The application helps to consolidate the necessary information about you and your co-applicant (if applicable). This will help me to understand your financial position and the mortgage you are seeking. A credit inquiry will be added to your file, which will help to determine which lenders will offer the most suitable mortgage to you. After my initial review, I will usually ask some further clarifying questions to ensure I have all the details needed to communicate clearly to the lender(s). If we have not discussed your mortgage objectives earlier, then if time permits, we will talk over the phone or in person to get to know what’s important to you in managing your mortgage successfully.

Step Two: Qualifying

I will package your application and the details about you to the lender(s) who best match to your application criteria. I will tell your story and share key points that will help to highlight why you are an ideal client and should be approved with a best rate and term offerings. Lender’s approvals are usually complete in 48 hours or less, some can even be done within the same day.

Step Three: Approval

Once I have a response, I will communicate the details and provide my personal assessment. This will give us a chance to consider any necessary changes or confirm the rate-hold for your current or future purchase.

Step Four: Verification

Approvals will be subject to document verification. This may include a job letter or recent pay stub to prove your income, a bank statement or gift letter to confirm your down payment and other requests that are specific to your application.

Mortgage Default insurance approval will be requested at this stage if your mortgage is classified as high-ratio (less than 20% down payment).

Step Five: Purchase

If you have not already found or put an offer on a property, this is where you would begin your shopping.

If you haven’t started working with a realtor yet, I will refer you to one.

Once you have found a property you like and have an accepted signed offer, I will obtain a copy from your Realtor to finalize the details of your mortgage loan.  A copy of the MLS listing and other details will be requested at this stage.  I will work with your Realtor and Solicitor to ensure that everything is completed correctly and in a timely manner.

Step Six: Closing

Closing will register the transaction legal. You will meet with your Solicitor prior to your completion date to review, sign  and finalize the adjustments owing. Your Solicitor be responsible for distributing the funds received from the lender to each of the applicable parties.

You will officially be on title of your new property.

Step Seven: Keep in Touch

Things can change over your mortgage term that may impact your financial outlook, for the good or the bad. This gives us a good reason to track your mortgage every year to ensure we have you in the best position. This also allows us to be prepared for rate changes or market adjustments that can improve your portfolio or review options for unexpected moves or financial constraints. I’m here to make the most of your home investment so that you can welcome the opportunities to achieve more in life!

 

For more information about the mortgage process, please email me directly at: paul@paulhudsonmortgages.ca