HOW TO GET PRE-APPROVED FOR A MORTGAGE
Pre-Qualification
Getting pre-qualified for a mortgage is a very simple process. All you have to do is provide your personal income information like your yearly salary, and your debt level, including any monthly liabilities like credit cards, car payments and student loans. Based on the information you provide, you will get a rough estimate of what mortgage amount a lender would approve you for. A pre-qualification is a general idea of what you would qualify for, but it is not specific. A pre-qualification can be done over the phone or online.
What is a mortgage pre-approval?
A mortgage pre-approval is a much more comprehensive process that can move you closer to your goal. If you complete a pre-approval, we will review your credit, your complete financial information such as self-employed, hourly or salaried income. We will look at the complete application to ensure we are providing you with an accurate mortgage amount you can qualify for. In addition, you may wonder how long pre-approvals are good for.
When you complete a pre-approval, we will hold an interest rate for you for up to 120 days with a major financial institution to ensure while you shop around, you will have a guaranteed rate.
Do Mortgage Brokers Charge For Pre-Approvals?
There is no cost to have a pre-approval completed! Make an appointment or fill out the form below to get started!
What do mortgage lenders consider when approving a mortgage?
Income is a large component of mortgage financing. Any lender will want to see that you can service your mortgage adequately while adhering to certain Government guidelines. For example, if your credit score is 680 and under, the maximum Gross Debt Servicing Ratio is 32% and the Total Debt Servicing Ratio is 42%. This means the total amount of income you have vs. how much debt you have cannot exceed these percentages. If your credit score is above 680, then the ratios are 39% and 44%, respectively. Exceptions can get made on a case-by-case basis. I also have access to programs that use "extended lending ratios" while taking into account excellent credit score, total net worth and the property's equity.
How Are Mortgage Pre-Approvals Calculated?
Income matters in financing, as I mentioned previously. When you apply for a mortgage, the lender is looking at the strength of the mortgage application which includes your income, credit rating and what your debt will look like once you have the mortgage approved. If you are hourly or are self-employed, the lender will most-likely want to see your two-year average and confirm that you have been in the same role or same line of work for that amount of time also.
Mortgage Pre-Approval and Credit Scores
Your credit is extremely important because it is the deciding factor when it comes to maximum mortgage affordability and interest rates. The better your credit, the better the interest rate you will be offered. I offer exclusive credit counselling to all of my clients to ensure they increase their chances of obtaining the most favourable mortgage financing options. This is part of the application process. To fill out an application, please call us at 647-773-4849.
Does Getting A Mortgage Pre-Approval Hurt Your Credit Score?
Pulling credit may or may not be harmful depending on the status of your credit and what is current reflected on your credit report. Any creditor or mortgage company that pulls your credit will incur a "hard hit" on your credit. This means that it will impact your score and may stay on your credit report for up to 36 months. Any other lender or creditor who looks in your file will see the recent inquiry. It's important to note that when you use a mortgage broker, we can take that one application and one credit inquiry and work with many different lenders WITHOUT having to re-check your credit within a 30-day period. This provides many advantages, the obvious one being avoiding multiple hits to your credit and preserving the credit score and integrity of your report.
When you pull your own credit, there are no negative effects.
Can you refinance your home with bad credit?
Absolutely. We work with many alternative lenders than can offer competitive interest rates with a bruised credit score or poor credit. We offer an affordable refinance program for all borrower types.
Whether you want to consolidate high-interest credit card debt or take out equity, we can assist you with finding you the perfect home loan.
We can also help you get your personal finance in order and sort out your credit report to ensure you’re on the right track to good credit.
Let us streamline financing for you today! We work with over ten lenders mortgage lenders who can assist you!
Getting pre-qualified for a mortgage is a very simple process. All you have to do is provide your personal income information like your yearly salary, and your debt level, including any monthly liabilities like credit cards, car payments and student loans. Based on the information you provide, you will get a rough estimate of what mortgage amount a lender would approve you for. A pre-qualification is a general idea of what you would qualify for, but it is not specific. A pre-qualification can be done over the phone or online.
What is a mortgage pre-approval?
A mortgage pre-approval is a much more comprehensive process that can move you closer to your goal. If you complete a pre-approval, we will review your credit, your complete financial information such as self-employed, hourly or salaried income. We will look at the complete application to ensure we are providing you with an accurate mortgage amount you can qualify for. In addition, you may wonder how long pre-approvals are good for.
When you complete a pre-approval, we will hold an interest rate for you for up to 120 days with a major financial institution to ensure while you shop around, you will have a guaranteed rate.
Do Mortgage Brokers Charge For Pre-Approvals?
There is no cost to have a pre-approval completed! Make an appointment or fill out the form below to get started!
What do mortgage lenders consider when approving a mortgage?
Income is a large component of mortgage financing. Any lender will want to see that you can service your mortgage adequately while adhering to certain Government guidelines. For example, if your credit score is 680 and under, the maximum Gross Debt Servicing Ratio is 32% and the Total Debt Servicing Ratio is 42%. This means the total amount of income you have vs. how much debt you have cannot exceed these percentages. If your credit score is above 680, then the ratios are 39% and 44%, respectively. Exceptions can get made on a case-by-case basis. I also have access to programs that use "extended lending ratios" while taking into account excellent credit score, total net worth and the property's equity.
How Are Mortgage Pre-Approvals Calculated?
Income matters in financing, as I mentioned previously. When you apply for a mortgage, the lender is looking at the strength of the mortgage application which includes your income, credit rating and what your debt will look like once you have the mortgage approved. If you are hourly or are self-employed, the lender will most-likely want to see your two-year average and confirm that you have been in the same role or same line of work for that amount of time also.
Mortgage Pre-Approval and Credit Scores
Your credit is extremely important because it is the deciding factor when it comes to maximum mortgage affordability and interest rates. The better your credit, the better the interest rate you will be offered. I offer exclusive credit counselling to all of my clients to ensure they increase their chances of obtaining the most favourable mortgage financing options. This is part of the application process. To fill out an application, please call us at 647-773-4849.
Does Getting A Mortgage Pre-Approval Hurt Your Credit Score?
Pulling credit may or may not be harmful depending on the status of your credit and what is current reflected on your credit report. Any creditor or mortgage company that pulls your credit will incur a "hard hit" on your credit. This means that it will impact your score and may stay on your credit report for up to 36 months. Any other lender or creditor who looks in your file will see the recent inquiry. It's important to note that when you use a mortgage broker, we can take that one application and one credit inquiry and work with many different lenders WITHOUT having to re-check your credit within a 30-day period. This provides many advantages, the obvious one being avoiding multiple hits to your credit and preserving the credit score and integrity of your report.
When you pull your own credit, there are no negative effects.
Can you refinance your home with bad credit?
Absolutely. We work with many alternative lenders than can offer competitive interest rates with a bruised credit score or poor credit. We offer an affordable refinance program for all borrower types.
Whether you want to consolidate high-interest credit card debt or take out equity, we can assist you with finding you the perfect home loan.
We can also help you get your personal finance in order and sort out your credit report to ensure you’re on the right track to good credit.
Let us streamline financing for you today! We work with over ten lenders mortgage lenders who can assist you!
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