Ottawa Real Estate Mortgage Tips
Ottawa Mortgage Tips and Information
Are you starting the process of buying Ottawa real estate? If you are not teamed with an expert Ottawa REALTOR, you may find that you need assistance in getting the best understanding-and deal-out of your mortgage options.
Today, I’d like to share with you some tips for how to increase your chances of securing a quality mortgage.
Secure the Mortgage You Want on the Ottawa Real Estate Market
Here are some tips on how you can get the mortgage you want as an Ottawa home buyer:
- Know Your Credit Score. It’s a good predictor of the kind of mortgage you’re going to be able to secure. Make sure to check with the three main credit-reporting bureaus to have an accurate idea of what your credit score is. When you receive those three reports, make sure there are no errors that could be pulling down your score. As a general rule, most lenders will not give you a loan if it’s less than 620.
- Get Your Loan Documents in Order. Most lenders will ask you for several basic documents before processing your mortgage application. These include your two most recent pay stubs, W-2s, bank statements and income tax returns.
- Calculate The Mortgage You Can Afford Before Visiting the Lender. Ottawa-Homes.ca can help you with this.
- Go to Multiple Lenders to Find the Best Deal. When comparing, consider the rates, closing coasts and various types of loans available.
- Consider Getting A Short Term Loan. This option is possible to more home buyers than ever because of record low interest rates.
- Keep Trying. Your mortgage application may be rejected by several lenders. Improve your chances of getting approved the next time by asking lenders why they rejected your application.
- Maintain Your Credit Score Once Your Mortgage is Approved. Oftentimes, lenders will check your credit one more time before closing the loan, so make sure it stays in good shape by paying your bills on time, not applying for any new credit cards and not closing any accounts.
- Be Aware of Lender Rules on Cash Gifts: Believe it or not, some types of loans come with stipulations on where you’re getting the down payment money from. For instance, FHA loans typically allow buyers to get their down payment as a gift from relatives. But for conventional loans, at least 5 percent of your down payment must come from your own funds.
Start Searching For Your Dream Ottawa Home for Sale Today!
Team With Expert Ottawa REALTORS
Homeownership is a very important and exciting milestone but it also can be a very complex process.
We will answer any questions you may have and explain the various stages of the home buying process.
Until next time,