What does a pre-approval do? Well it shows you the highest possible mortgage that you can receive, outlines the price range that you can afford and tells you the current market interest rate. The interest rate can be locked in for 120 days or for up to 12 months if you are planning to build a home. This protects you against rate increases, but if the rates drop, you can take advantage of the lower rate!
Why not book a pre-approval appointment with us? It’s simple and we can suggest a mortgage that would fit your needs. All you would need to do is send us a few required documents so that we can talk to the possible lenders.
Set a Budget
Once you have been pre-approved, we can help you review your budget. You will have to consider a down payment, closing costs, mortgage payments, property taxes, insurance, maintenance, phone and cable as well as utilities.
By using the formulas here, you can calculate the approximate price range, housing expenses, debt and mortgage that you can afford within your budget.
What if I don’t have the 5% down payment you might ask. Well don’t worry, Dominion Lending Centres has access to a product called the Flex Down Mortgage, which allows you to borrow the down payment. As part of the pre-approval process, through our network we can help you get a line of credit for the down payment, and then once that is done you are ready to start shopping for your new home.
Find the Right Home
Decide what you want out of your home, such as square footage, bedrooms and bathrooms, kitchen appliances, finished or unfinished basement, or storage space. Look at neighbourhoods and proximity to schools, transit, and other amenities. If you're planning to resell the home in the next few years, examine pricing trends for similar houses in the same neighbourhood.
Some first-time buyers appreciate a Realtor's help with the search process. We have a Realtor in our office, as well as several in our network that we can refer you to.
Make an Offer
You’ve found the perfect house, now what? Well it is time for you to make an offer. Depending on the house, you will either purchase your new home through a builder, Realtor or private seller.
Once you’ve agreed with the seller on a price, both of you will write and sign an offer to purchase the home, with conditions. Once the offer is accepted, make sure to send us a copy of your purchase contract and the property’s MLS listing so we can contact your lender and get your mortgage approved!
About 1-2 weeks before you take possession, meet with your lawyer to sign the mortgage papers and provide the rest of your down payment, as well as any legal fees. We know numerous lawyers, who we can refer you to.
Remember, before you can legally own your new home, you must meet with a lawyer.
All that’s left is for you to meet with the home’s builder, the Realtor or seller to receive your keys and make your new home yours!
Yes, it really is that easy! As your mortgage brokers, we handle all of the details so that you don't have to.