Three Essential Tips for Finding the Best Mortgage
As you begin your quest to find the best Ontario mortgage rates, you will come across companies that advertise with phrasing like, “lowest rates on the market.” It is important for you to understand that mortgage rates vary on so many different points that it is hard to pinpoint what an exact rate will be because everyone’s situation is so unique. Also, rates are constantly changing, practically on a minute-by-minute basis! For this reason, posted rates often fluctuate without warning. By the time you apply for an insurance payment plan, the advertised rates may no longer be available. To help alleviate your stress on the matter, here are three essential tips for finding the best Ontario mortgage.
First of all, working with members of the Independent Mortgage Brokers Association (IMBA) can be a great way to help you obtain the best rates currently available. All members of the IMBA can only hold on to their membership if they uphold to professional standards, something homeowners can trust. The association is made up of brokers and agents situated in Ontario, so you can be sure they will speak English. Communication with them can be conducted over fax, via phone, or in person. IMBA members are always kept informed about the best financing options for establishing or refinancing home loans and mortgages on a commercial level.
Not only do members of the IMBA have great experience and knowledge from years past, they are constantly learning and developing a greater level of professionalism. By attending conferences and seminars, members are given the most up-to-date information which they can pass on to home buyers working closely with them. There is no shortage of brokers to find in the Ontario area, as there are about 1600 members associated with over 300 Canadian companies. Many professions are allowed membership in IMBA, including mortgage brokers, lenders, insurance agents, lawyers and real estate professionals. This means that whichever category of profession you need to work with, the IMBA can get you situated with someone to help you.
The next essential tip is to utilize a payment calculator for mortgages. There are several options, all designed to pinpoint exactly what financial planning needs to be taken care of. The first is a mortgage calculator that helps you compute your monthly payment and required annual income to make such a payment. This is perfect for Canadian homebuyers who are evaluating what they can afford. Another is a calculator that breaks down and sums up exactly what your monthly mortgage payment will be. All applicable fees are taken into consideration with the use of this calculator.
The mortgage principle calculator is for peeking into the future and getting a preview of your mortgage balance several months or years down the road. Similarly, the mortgage length calculator helps you see how much you can save if you make larger payments each month. As everyone knows, depending on your interest rate, your mortgage loan will end up costing you more than you paid originally. You can discover just how much more with the payment-per-thousand-financed calculator. There are many more insurance calculators, but this is a good start to give you an idea of how they work.
The final tip for finding the best Ontario mortgage is to seek written pre-approval from your bank or trusted mortgage broker, perhaps one that is a member of IMBA. These professionals can sometimes offer more favourable terms than simply an English bank in Canada. Mortgage pre-approval includes confirming your employment and income, a written confirmation of your down payment and a background check on your credit.
The reason behind getting a mortgage pre-approval is that you have a better bargaining position when it comes to buying the home. The agent you work with can remind the seller of the home that the property, and the property only, must be approved by the lender. If the lender is not satisfied, the mortgage could viably be turned down unless the buyer could raise their down payment, which is not always possible. To help you implement these useful tips, you need to work with a mortgage company that offers tools like mortgage calculators, access to members of IMBA and great overall rates.