The process
How to get A
Mortgage
Getting a mortgage to purchase your new home can seem a little daunting at first. But don’t worry, our job is to make your mortgage and home buying experience as easy and enjoyable as we possibly can. We make sure you are in the right mortgage for you and that means the best features, pre-payment privileges and of course the lowest interest rate you can get. Here is a breakdown of the process from pre-approval to possession day, and it all starts with a phone call.
Discovery Phone Call
The first step in getting a mortgage is to have a quick chat over the phone. During this call we’ll talk about how we can help and go over your mortgage goals for this purchase and any future purchases you may expect to have.
We will then talk about your employment, your down payment and try to get an idea of how your credit looks. After we have finished the call you can start your mortgage pre-approval and fill out an online mortgage application.
Pre-Approval Application
Application Review
We will review your file thoroughly and when we know how much you are qualified for, we will book another phone appointment with you to go over the next steps.
Go shopping!
Now you know how much you are pre-approved for, it is time to get shopping for your new home! You and your realtor can shop confidently knowing how much you are pre-approved for.
Purchase made
Congratulations, you have bought a new home and we can now submit your mortgage application to your lender!
Prepare to Move
It is now time to prepare for taking possession of your new home. You should organise your home insurance, utilities, property taxes, get packing and get those movers booked!
Possession Day
You can now take possession of your new home, woohoo!
Some things to consider
Mortgage Insurance
Mortgage default insurance, commonly referred to as “mortgage insurance” helps Canadian consumers buy a home sooner and with down payment of less than 20%. In fact, for qualified borrowers a home can be purchased with as little as five per cent down.
Mortgage insurance protects the lender and investor – not the homeowner – from losses related to borrower default and foreclosure. Many Canadians are familiar with CMHC – Canada Mortgage and Housing Corporation but there are actually two other mortgage insurers in Canada – Sagen and Canada Guaranty.
Title Insurance
Title insurance is an insurance policy that protects you, the homeowner, against title fraud and other challenges with the ownership of your home.
Home Insurance
Lenders require homeowners to maintain home insurance at all time. At the time of home purchase the law office must verify that there is a home insurance policy in place on the new property. This verification is called an “insurance binder” and details the type of coverage and the property covered.
Legal Fees
Home buyers are required to retain a lawyer to act for you in the purchase and mortgaging of a property. We can provide a referral to a highly respected real estate lawyer.
Moving Costs
Plan ahead for any moving costs – boxes, cleaning charges for your current property or new property, moving vans etc.
Property Taxes
Property taxes are determined by the city or municipality the property is in. Taxes are evaluated and set annually. In the city of Calgary property tax assessments are provided in January of each year. Taxes can be paid annually or monthly. There can be a property tax adjustment that may be required, depending on the time of year that you purchase your home. The most common type of adjustment occurs when the sellers of the home have paid property taxes ahead of time and the amounts must be settled.