If you’ve decided now is the time to buy a house, we are the mortgage broker in Toronto that can lend a hand. Let us help you by supplying the best mortgage rates and some useful information on how to prepare for an approval.
- It’s a good idea to begin with your credit report. Remember, one of the first things any lender will look at is your credit. Make sure that the report is accurate and that your scores are where they should be. If you need to do a little work on your numbers, start by paying your bills on time and a little more than the minimum.
- Plan to pay your mortgage off faster. Find out if you can make lump-sum payments on the principal or accelerated payments. For example, some lenders will let you make two monthly payments which equals 24 year. You can accelerate that by making them every two weeks which equals 26 per year.
- Make sure to ask about any prepayment penalties. As your mortgage broker in Toronto we suggest you find out whether you’ll be penalized for paying off the mortgage quickly and early. Some people can afford to double up on payments during certain times during the term. It’s important to find out whether you’ll be penalized for trying to get to your end goal sooner.
Finally, it’s a good general rule to borrow less than you’ve been approved for. Here’s a few guidelines that can help you figure that part of your financing out. Your housing costs should not exceed 32% of your gross income. Your total debt should not be more than 40% of that same number.
If you need some help navigating through the process, we are the mortgage broker in Toronto that can help.
