As a first time home buyer looking for a mortgage broker in Canada, will find that buying a home is one of the most time-intensive and important processes they will ever go through. Buying what will be a first home is a major milestone in life. And buying the right home with the lowest mortgage rates will have definite and long-lasting effects upon that life, bringing peace of mind and adding value.
But before taking this monumental step, it will be vital that any potential home owner understand exactly what the process requires and how working with a qualified mortgage broker can make the entire mortgage process easier. Here is some of our best advice as mortgage specialists when it comes to obtaining your first mortgage.
Before you even begin looking for a house, we suggest that you take the time to find a lender and get pre-approved for your mortgage. This is where having a qualified mortgage broker working on your behalf will really come in handy. A mortgage broker will be able to work with lenders using specific information that you provide in order to determine what your borrowing cap is and what mortgage solutions will best fit your needs. Plus, with a pre-approval you won’t have to wait around to make an offer on a house or have an offer that is conditional and based upon pending financing.
If you have done your research regarding the mortgage process, you may know by now that the bigger your down payment, the smaller your monthly payments will be. This is, of course, a positive situation for any new homeowner to be in, especially when you consider that with a higher down payment, you will also be paying less interest over the life of the mortgage loan.
In addition, when you make a higher down payment (of at least 20 percent or more), you could avoid having to pay any kind of mortgage insurance. Mortgage insurance is essentially a premium added on to the amount of the loan in order to protect lenders when certain mortgages are considered high risk. The Canada Bank Act has prohibited most regulated lenders from offering mortgages without mortgage insurance if the loan-to-value (LTV) ratio is greater than 80 percent.
As they look for a mortgage broker, Markham residents and other Toronto area residents may find that there is a lot of information out there to absorb about the mortgage process. This is a good thing because the more you know about the process, the more you know about the mortgage brokers and who has the lowest mortgage rates, the more that you know overall will help you to be successful in your search for the right mortgage solution for you.
If you ever have any questions regarding the mortgage process or about obtaining your first mortgage, we encourage you to contact us here by phone at 1-855-327-9079.
We bring personal and affective approch to our every clients