Posted on: 08-10-06 18:50:09
Hi ,
Just wanted to understand the requirements and steps for home buying in Canada.
Do we require to have a preapproved mortgage just for seeing different areas and checking out houses?
If we have preapproved mortgage, how long is that valid?
If u do not use the mortgage within that period, what does that mean in future to get a new approval? Does that hold against u?
What are the different sites available to check out real estate listings?
CD's: Any recommended Real estate agents fellow CD's have worked with in the past?
Quote:
Originally posted by pramesh
Hi ,
Just wanted to understand the requirements and steps for home buying in Canada.
Do we require to have a preapproved mortgage just for seeing different areas and checking out houses?
Not really. However, it is a good idea to have yourself pre-approved before looking to buy a house as
1. You are aware of the price range you can go for
2. You can negotiate a better price by putting a firm offer
3. You already know how much the monthly expenses would be for your dream home and last but not the least
4. You hedge your self against any increase in mortgage rate changes and you would get the lower rate if the rate drops in future before closing.
Quote:
Originally posted by pramesh
If we have preapproved mortgage, how long is that valid?
Generally it is valid for up to 120 days. Though some banks only offer it for 60 or 90 days. Builders (new house) may also arrange a rate guarantee up to 18 months through their relation ship with banks but that generally serves as a rate guarantee and is not a pre-approval in true sense as it may have conditions attached. We recommend working with a mortgage professional as he/she would not only try to get you the best rates but also would try to get the customized mortgage product as per your needs and requirements.
Quote:
Originally posted by pramesh
If u do not use the mortgage within that period, what does that mean in future to get a new approval? Does that hold against u?
NO.
Quote:
Originally posted by pramesh
What are the different sites available to check out real estate listings?
mls.ca
Quote:
Originally posted by pramesh
CD's: Any recommended Real estate agents fellow CD's have worked with in the past?
Depending on the area you want to buy the house, I can recommend you realtors as being a mortgage broker I happen to deal with lots of realtors. You can PM me for the same.
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Pramod Chopra
Senior Mortgage Consultant
Mortgage Alliance Company of Canada
