The Steps to Qualifying for a Mortgage Online
Some clients are still a little hesitant about applying for a mortgage online. Let us explain the process so you can better understand what we do for our clients. It is imperative to understand we get you approved with the lender however all the legal forms are done with your lawyer. We simply secure you the best product and facilitate the transaction. Here are the steps to qualifying for a mortgage online.
Our online application is a standard credit application designed to give us the information we need to qualify you. Applying online is completely secure, our application is through Filogix. Filogix is the countries largest provider of mortgage origination software.
Once you fill out the required information, we will be notified that your application is in our system. Within a couple of hours we will review and get back to you with any questions or concerns. The more thoroughly you fill out the application, the quicker the process. Once we are confident that we have mortgage options for you, we will pull a credit report to make sure there are no issues there.
If you are simply applying for a pre-approval, we put this in place with one of our lenders. This secures a rate for usually 120 days but does not guarantee you will be approved when you actually find a home. It simply means that the lender thinks CMHC will approve you assuming your income is as stated on the application, your down payment is eligible, the property is insurable. This is why we like to get as much documentation up front as we can to avoid any surprises down the road.
What Happens After I Find a Property?
Once you find a property, we then send all the documents into the lender to underwrite the file. Once they approve, they send to CMHC for approval of the default insurance. After everyone has approved, we send you a commitment and finalize any last document requests from the lender.
After this is all complete the lender will then send the instructions to your lawyer, who will draw up the actual mortgage documents. This is the real ‘meat and potatoes’ of the deal so to speak. You will meet with your lawyer in person, this part of the process cannot be done online.
Again, the better you understand the steps to qualifying for a mortgage online, the more likely the process will go smoothly. Applying online allows you to do this on your time, when your life allows. Please feel free to email, call or apply anytime; we are always available. We can also walk you through the steps of qualifying for a mortgage after bankruptcy.
Please note that this does not include the other steps associated with purchasing a home (such as inspection), this illustration is for financing purposes only.