Mortgage Approved
Mortgage Pre-Approval
As you begin to look for a home, it is helpful to know ahead of time how much you can afford in a mortgage. Mortgage pre-approval will allow you to feel confident in the cost decisions you are making while you are choosing a home. Your chosen lending institution can help you through this process. Of course, this doesn't mean that you won't have to go through the approval process at a later date, but at least you can rest assured that the decisions you're making now will be realized in the home that you're developing for yourself and your family.
Approval Process
When you have chosen a home that suits the present and future dreams of your family, you will need to approach your financial institution about final mortgage approval. The approval process is based upon your personal financial information. Any lender you deal with will likely need the following information:
- Personal Information: Age, marital status, dependents
- Employment Information: proof of income (a letter from your employer, a recent paystub, and income tax returns)
- Other income: Proof of other sources of income such as a pension or rental income
- Current banking information
- Proof of your ability to provide a down payment: (Savings account balance, RRSP statement, gift letter).
- List of assets: Items like property and vehicles.
- List of liabilities: Debits from you account. For instance, credit card balances, car loans, and your monthly payment amounts (rent, groceries, etc…)
Finally, you may be asked to consent to a credit bureau investigation. This will complete your application to the lender, and may take anywhere from a few days to two weeks.