When you are starting the process to get a house mortgage you need to consider many different things to make sure you are getting the absolute best options available. Things like interest rate, loan terms, and monthly payments all factor in to you getting the best house mortgage Canada has to offer. Don’t worry, the process is actually a lot easier than you might think. Here are some things to look for:
Hands down, the easiest way to tell if you are getting a good deal on a mortgage loan is to look at the interest rate. They can vary between the different lenders, so be sure to do your due diligence. For the most part, the lower the interest rate, the better. Be aware of interest rates that are too low, however, as the company may be trying to perform a bait and switch. If all of the interest rates come back at around the same rate, you can then pick the company you feel most comfortable doing business with.
Down Payment Requirements
Knowing the amount of your down payment will make a world of difference when you go to secure your loan. Some mortgage companies will require you to have a certain percentage of the purchase price, but others will be willing to work with you even if you don’t have any kind of down payment. If you don’t have at least 20% of the final price, however, you will be required to buy mortgage insurance, and your interest rate may be slightly higher.
When you call around to secure your loan, be sure to ask about any additional fees that you are required to pay as part of the process. Some banks and lenders have paperwork fees or legal fees, some will roll it into the final closing costs, and others may just absorb the fees. The best way to know is to simply inquire about them yourself. Of course, you still need to read all of the paperwork that comes your way in order to make sure there isn’t anything that was never disclosed to you.
Using a Broker
A mortgage broker is someone that is on your side when it comes to the whole mortgage loan business. They are the ones that will call the banks and lenders for you and get all of the information you need to make a proper decision. The broker will also advise you against any hidden pitfalls, and since they do this for a living, they know what to look for. Brokers also help you get your paperwork and finances sorted in order to get the best rates. In order to get the absolute best deal on your loan, using a broker is highly recommended.
For more information about the best house mortgages in Canada, or to apply or get pre-approved for a home loan, be sure to head over to www.mymortgagebroker.com . The staff there can answer all of your questions and get you started on the right path toward home ownership.