FREQUENTLY ASKED QUESTIONS

1. What does a mortgage broker do?



A Mortgage Broker works for you and with you to find the best mortgage solution for you specifically.  We can shop numerous lenders and search for the best rate and product to fit your needs.  The banks can only offer you what they specifically have to offer.  Using a Mortgage Broker allows you the opportunity to access so much more information and options for your mortgage.  If you do not fit into traditional big bank lending, we can offer alternative solutions to help you achieve your goals.  The best part is that we are free to use!

2. Why should I use a Mortgage Broker over the bank?



A mortgage broker has access to multiple lenders, which means more options and potentially better rates than a single bank.  Brokers also provide expert guidance, handle paperwork, negotiate on your behalf, and make the mortgage process so much easier for you.


3. How much does it cost to use a Mortgage Broker?


In most cases, using a Mortgage Broker is free to you!  Mortgage Brokers are paid a commission by the lenders for bringing them a client and doing all of the work to do so.  Mortgage Brokers can charge a fee on occasion depending on the situation.

4. What credit score do I need to apply for a mortgage?



The ideal is to have a credit score of 680+ to access the best products and the best rates.  There are solutions available for those with a lower credit score.


5. How much of a down payment do I need?



You will need a minimum down payment of 5% on the first $500,000.00 of a home’s value and 10% on the balance up to a value of $1,500,000.00.  Any home valued above that will require a minimum down payment of 20%.


6. How is my mortgage rate determined?



Interest rates are influenced by factors such as credit score, mortgage amount, down payment, loan type, amortization, property value, and current market conditions.


7. Can I get a mortgage if I am self employed?
Absolutely!  Whole obtaining a mortgage when self-employed can present additional challenges, a Mortgage Broker can provide valuable guidance and access to lenders who specialize in self employed mortgage products.


8. Should I pick a fixed or variable rate?



This is a loaded question and the best answer is to chose the one that aligns best with your financial goals and risk factor level.


9. How much can I borrow?



Determining borrowing capacity is a frequent concern.  The answer will depend on factors like income, existing debts, credit score, size of down payment or amount of equity in the home, etc. Sometimes it is also about not how much you can borrow but how much you want to spend monthly to carry that mortgage.


10. What documentation is required for the application?



We will need ID, proof of income, and proof for any properties currently owned by the applicant.