I recently helped clients who couldn't qualify for mortgage financing. Unfortunately, their application did not not qualify but only by a hair. The lender required that they pay off a personal loan in order to qualify. While they didn't have this amount of money available in their bank account, a cash back allowed them to pay off their debt and close their purchase transaction. This is an excellent example of how a cash back can be the difference between qualifying for a mortgage and not qualifying. It's important, however, to consider the disadvantages as well. A cash-back usually comes with a slightly higher interest rate and must be repaid in full if the mortgage contract is broken before the end of the term. Watch the video below to learn more.
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By: Sarah ColucciArchives
November 2020
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Address411 Queen St.
Newmarket, ON L3Y 2G9 Second Location: Tottenham, Ontario Head Office: 15 Wertheim Court, Suite 210 Richmond Hill, Ontario L4B 3H7 Sarah A. Colucci, Mortgage Agent Lic. M14000929 Mortgage Edge, FSCO Lic. 10680 |
TelephoneDirect: 647-773-4849
Email: sarah.colucci@coluccimortgage.com |