The Entire Mortgage Process

The mortgage process may seem overwhelming at first, however it can be broken down into five simple steps. Typically all the steps can be completed within 2-3 business days, but for more complicated scenarios it can take up to 5 business days. The five steps start with completing the actual application, which can be found Here. If you feel you need more advice particular to your unique situation please call Harpreet Singh The Mortgage King at (416) 795-1919.

The five steps are as follows:

Completing The Mortgage Application
Qualification
Choosing A Product
Decision And Negotiation
Property Valuation

Have a look below to learn more:

Completing The Mortgage Application

Completing the physical application can be done online Here, over the phone, or in person with Harpreet Singh The Mortgage King. This step in the process can be completed within 30 minutes if you have all the required information on hand. The main documents required from the applicant are as follows:

For a salaried individual:
Letter of employment
Two recent pay stubs
T1 tax return
T4
Notice of assessment (NOA)
Two pieces of identification

For a self employed individual:
Business financial statements
Personal tax returns
Corporate tax returns
3 years of your most recent T1 tax returns with statement of business activities
2 years most recent notice of assessment (NOA)
Copy of business license
Articles of incorporation

For a purchase:
Agreement of Purchase and Sale
Copy of MLS listing
Confirmation of down payment (for example, gift letter, 90 day bank statement, investment certificate, etc.)
Lawyer information

For a refinance/renewal/switch:
If for debt consolidation, copies of debt statements
Most recent mortgage statement
Appraisal report
Insurance endorsement

Qualification

This step in the process involves Harpreet Singh The Mortgage King to evaluate your particular situation for any concerns that may arise on the application. It often features a recommendation of the maximum allowable mortgage amount if it is a pre-approval, or if the property chosen is indeed affordable. Other key items that are diagnosed and reviewed in this step are the applicants’ income and credit. It is a good idea to review your credit report before applying for a mortgage to get a better understanding of what to expect. For more information on the credit report Click Here.

Choosing A Product

This step in the process involves Harpreet Singh The Mortgage King consulting and evaluating what not only meets and supports your goals, but also your lifestyle and needs. We will then choose the best product for your scenario accordingly. There is a wide variety of mortgage types and features available for potential borrowers. To get a better understanding and preparation before your consultation, please view the types of mortgages available by Clicking Here, or Here for available mortgage features.

Decision And Negotiation

Once we have submitted the application for approval we will typically receive a response within 24 hours. Submitting a pre-approval is what we recommend, before searching for a property. By getting a pre-approval, you eliminate a lot of complications that can make a deal or offer fall apart last minute. Not only does a pre-approval give you more leverage and negotiation power when sending in an offer, but it also provides you with the confidence you need to succeed. Avoid the stress of worrying about whether or not you are going to get approved, after you have invested all that time in finding the perfect home. There’s never an obligation to go forward with the mortgage after receiving a pre-approval. Additionally, lenders guarantee and secure you their best rate usually for a 120 days. If it is a normal purchase approval, the response is usually received within 12-24 hours. The lender will lay out the terms and conditions of the approval and we can negotiate any minor details. After this, we are ready to proceed into the last step of the mortgage process.

Property Valuation

Once a property has been chosen for purchase, the lender will ask to see all the necessary details if it is a pre-approval application. Then the lender will ask for an appraisal report from an approved appraiser (if it was a normal purchase approval the lender will proceed straight to this step). The appraiser will typically arrive the next day and give his opinion, supported with proof, on the value of the property to the lender. This will provide the necessary confidence for the lender to ensure the mortgage amount given is indeed proportional.

After the mortgage process has been completed, the closing process can begin.

For details on the closing process please view our Associated Page.
 

For a more in-depth and professional review of your individual and personalized situation please give Harpreet Singh The Mortgage King a call at (416) 795-1919.

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