(scroll down for a great mortgage calculator)
Mortgages are such a fascinating and complex piece of the real estate puzzle that every day I’m thankful to be working with good mortgage brokers to simplify the process and educate my clients. It’s your choice as to which broker you work with, and if you want to work with an independent mortgage broker or the bank, but allow my client’s past experiences to help guide you to a better experience.
The difference is obvious when I see my clients work with a mortgage broker who isn’t as dedicated, knowledgeable and creative as the brokers I have aligned myself with over the years.
A good mortgage broker should educate you on the process, give you multiple options, respond to your inquiries outside of a typical work day and give you the confidence you need to ensure that you can afford your next home. A good broker can also give you suggestions on what to do to increase your affordability – for example, do you pay off that loan or add to your down payment? Do you need to increase your credit? A good broker has multiple lenders available for mortgages so they can find the right lender for your situation, which may include the major banks, credit unions, B lenders, and private lenders.
One of the most important jobs of a good mortgage broker, and one that is often overlooked, is to package your file and ensure the mortgage lender views you as a good candidate for a mortgage – this is especially important if you’re trying to push your affordability, if you have a unique financial situation (I’m looking at you self employed people) or if the home has some unique qualities. When the market was busy and multiple offers were the norm, good brokers would be able to give you the confidence you needed to purchase a property without the typical “due diligence” period, which is something many banks wouldn’t be able to dosing they are too regimented and lack options. You’ll find that good brokers choose this career path specifically and work for themselves, which often means they work harder.
I can refer you to a (few) great mortgage brokers, just ask: email@example.com or 778-387-7371.
This mortgage calculator is a very simple look at your financial situation – it doesn’t take into account assets and debts, type of employment, credit, etc – which is why you should chat with a broker, but for a general idea of what monthly mortgage payments might be for a particular price point, this is a good start!