Successfully qualifying for a mortgage to purchase a Whistler property can be hard. With so many little details and tedious steps, it’s understandable why so many buyers struggle during this step of purchase. As your real estate agent, I want to ensure you have the best chance for qualification. If you’re unsure of what this process entails, follow along as I list some tips, advice, and things to consider when applying for a mortgage.
Qualifying for a mortgage in preparation for purchase
Getting the green light on your mortgage application is an essential part of buying a home. For this reason, it’s important to stay organized and properly prepare before approaching a broker. By doing this, you will be more likely to get approved and the overall process will be much quicker.
Credit is Key.
Checking in on your credit and being aware of how its value contributes to your probability of being approved for a mortgage is critical. Your credit score will allow lenders to get an idea of your financial reputation. A credit score of 660 or higher will bring better options for the rate of your mortgage. Moreover, a quarterly review of your credit is the best way to stay on top of your finances. Additionally, it will show you what you need to improve upon to better your score. Usually, the best way to bring your score up is to be punctual about paying bills and loans.
Find the Required Papers.
Arranging the proper documentation often takes time. With papers scattered in different locations around your home, getting them all in one place can be a long process. Determine the papers needed and create a list. If you’re not totally sure what you need, speak with your agent for added clarity. Oftentimes, these documents comprise: identification, proof of employment, proof of salary, proof you are able to afford the down payment, information about debts, financial obligations, and/or monthly payments. Locating this info can be slow, so it’s crucial to arrange them before you visit a mortgage broker.
Save for a larger down-payment on your Whistler Property
If you plan to save for a bigger down-payment, the value that you need to take from your broker will decrease. Consequently, this will mean a lower interest rate on your mortgage. Qualifying for a mortgage depends on the amount you’re paying as a portion of your down payment. As a Canadian, the lowest price for your down payment is formed on the cost of your home. People in Canada will need to purchase loan insurance if they don’t put a minimum of 20% down on their prospective home. Generally, the more you put down, the smoother things will go.
A Dependable, Full-time Job is Essential.
While you are trying to get approved for a loan, you will find it requisite to provide evidence that you have a steady income. This is needed in order to prove to lenders that you will be able to promptly afford each payment. The best way to demonstrate your financial security is to work in a full-time occupation. Being employed full-time can considerably increase your chances of submitting a successful application. If you are not presently working in this type of position, it might be worth it to look for an occupation that provides you with more hours. This will open more doors to acquiring a mortgage with a low rate – which might save you thousands of dollars.
What’s my budget for a Whistler Property?
Knowing what your budget is will be of use when determining the right mortgage rate for you. Being candid with yourself is of the utmost importance during this step. Include any outstanding payments, monthly costs, and how your income will spread to cover the additional expenses.
Try to save some wiggle room when you form your budget. Because you have the best idea of what your monthly expenses cost, it’s important that you consider how they might change what kind of mortgage you can afford. Good foresight can also prevent you from spending unnecessary money. Assess your future plans, and pay close mind to how they could alter your financial situation.
Getting a Whistler Property Mortgage is easy.
Qualifying for a mortgage can be a time consuming and painful process – if done wrong. Being approved comes down to having a financial history that speaks on your reliability and a realistic budget. Contact me today to get help with your mortgage so you can buy Whistler real estate! I look forward to hearing from you 🙂