There are particular things you will have to bring to your 1st mortgage appointment whenever you’re applying for a house loan.
In general, you have to set aside at least 1 hour and 30 minutes for your first home loan application appointment. However, you’ve got to keep in mind that not every mortgage broker Niagara is the same.
During this appointment, the lender will ask you questions about your future and current plans and you will have to offer a couple of formal pieces of evidence of your finances. You’ve got to be prepared for this by carrying with you the right documents and information.
Here are a couple of things you should bring to your mortgage appointment.
The Contract for Sale
A lender will need a signed copy of the contract for sale if you are utilizing the loan to purchase a house. On the other hand, the lender will ask you to offer the approved building plans and contract of the builder if you are building your own house.
Information of Your Existing House Loan
You might be requested to offer information about your existing house loan if you are refinancing. This includes details of any payout expenses, the existing balance of the loan, and the home loan statements that cover the past 3 to 6 months.
Your Insurance Policies
A lot of lenders will want to know if they’ll be repaid if the worst happens and you die or become ill. The reason for this is that they’re interested in protecting their loan. Because of this, you’ve got to carry proof of any insurance policies you’ve got. This includes income protection insurance, trauma insurance, TDP, and life insurance. A couple of lenders will also want to see that you’ve got contents and house insurance. They’ll need you to have building insurance on the property they’re taking. This will be considered as security after settling the loan.
Information of Any Savings and Other Assets
It’s ideal to always carry the latest statement that shows money in your term deposits or savings accounts. In general, lenders will want to see proof of actual savings if you are borrowing more than 90% of the value of the property. This means you might have to offer at least 3 months’ worth of statements that shows your contributions. Also, you’ve got to bring proof of ownership of other assets or any shares.
Proof of Your Debts and Expenses
Every lender will want to verify your living expenses details by seeing proof of where your money goes. You’ll have to offer credit card and bank statements for the previous months to confirm your debts and expenses.
Details of Your Income
You will certainly satisfy a lender if you show him/her that you are getting a regular income. The pieces of evidence will differ. This depends on whether you are self-employed, a casual employee, or a permanent employee. If you want the loan to proceed, it’s best to carry proof that you are getting a steady flow of income.