Mortgage Pre-Approval Process
The first step in the Buying process is to obtain pre-approval for your new mortgage financing. Then you can begin the home buying process with your Realtor.
A mortgage broker or your personal banker will look at your finances and calculate the amount of mortgage you qualify for. The Broker or your Banker will give you confirmation for a fixed interest rate. This confirmation will be good for a specific period of time (usually 90 days). A pre-approval is not a guarantee of being approved for the mortgage loan. (Source CMHC)
Information your Broker or Banker will need on your first meeting:
- Your personal information, including picture identification such as driver’s license or passport.
- Details on your job, including confirmation of salary in the form of a letter and 2 pay stubs from your employer.
- All the sources of income
- Information and details on all bank accounts, loans and other debt
- Proof of financial assets (statement of accounts must have your name on them
- Source and amount of down payment and deposit
- Proof of source of funds to cover the closing costs (these are usually between 1.5% and 4% of the purchase price)
For more information on pre-approval you can receive a referral from your realtor.