So the market is still.. competitive, unfortunately, with multiple offers on anything nice or priced well. I’ve had some luck submitting conditional offers for clients, but most of the time it’s a subject free offer that wins. Given the amount of competition in the market, buyers often have to push their comfort zone when it comes to their offer price, and without much forethought, which can be a risk for mortgage purposes.
The support of a good mortgage broker is SO important if you’re looking to purchase. Someone who can lay out your options given different down payments, inquires about your short and long term goals, explains what happens at the end of your first 5 year term, and goes through the different terms of a mortgage that could work for you (interest rate, portability, pre-payments, termination fees, etc). If you need to submit a subject free offer, your mortgage broker will work to get you as close as possible, explaining the risks involved.
If you haven’t already, make an appointment to see a mortgage broker to talk through your specific situation. Remember, banks don’t offer the service level that a mortgage broker can – needed in this market, particularly if you need a quick answer from your broker at night or over the weekend.
While you’re being pre-approved, sit down with a Real Estate Agent. I see so many Buyers try to do it themselves, without any idea of what to look for, or what to do. There are so many important details to get done behind the scenes during a real estate transaction, and a ton of knowledge to be gleaned from someone who’s been in the business for years, so don’t sell yourself short by not using your own agent. Remember, you don’t have to pay a Buyer’s Agent and our job is to make this as process painless and interesting as possible.
