Mortgage process to be followed for first time home buyers

Posted by: Nikhil Bhatia Post Date: March 22, 2022

Buying your first home is one of the largest financial undertakings that you will be doing in your life. So, when you’re starting out on this investment, it’s highly advisable to plan out the journey before taking that first step. This will not only help plan your expenses but also foresee any financial issues that might pop up in the future and safely avoid it. Now, one advantage that you already have is, you’re living in Canada and the government has set several schemes for the first-time homebuyer with an incentive in place as well. This blog post has been created for anyone who’s looking to purchase their first home. If you’re one of them, read on to have an overview of the mortgage process.

A look into the mortgage process in Canada

• The first and most important thing that you should look into before even exploring the web for mortgage lenders is to have a look at your finances. Taking -up a mortgage is going to be a long-term commitment and you better double-check your finances before you sign on the dotted lines. See if you’re earning enough to support a mortgage and won’t face any problems with your monthly expenses.

• If you’re financially ready, opt for a pre-approval. This step is important as it will allow you to know how much loan will the lender provide for you to purchase a home.

• Consider opting for the first-time home buyers’ incentive in Canada as it provides Canadians with a five to 10 per cent no-interest loan to purchase their first property.

• The next step would be to provide the realtor with all the details followed by finalizing a mortgage application for the mortgage brokerage firm to review.

• This is the fun part- you get to find and choose your dream home and place an offer on it. You will then have to wait for the complete approval of your mortgage.

• A lawyer then will help you close out the loan and then you will get the keys to your new home.

You can get more details by hiring a mortgage broker in mississauga for the process. We hope this post has been insightful to you, keep an eye on this space for similar posts in the future.