Filling Out Your Home Mortgage Application

There is quite a bit of paperwork involved when you decide to take out a mortgage. Dealing with all the paperwork and formalities can sometimes be a bit intimidating. So, if you want to apply for a mortgage in Burlington, Ontario, but are clueless on how to go about the process, here are a few tips that will help you out.

Make a record of your debt

You first have to determine if you can afford to take out a loan. Make a record of all your debt, such as outstanding credit card bills, car payments, student loans and so on. After you have identified all the money you owe, you will have a clear idea bout how much you can afford to pay towards your monthly mortgage payments. The list you make will be of use when you apply for the loan, where you may have to provide details about all your debt.

Get your credit report

You have to get your credit report prepared. A copy of the report can be provided to you by Experian, TransUnion or Equifax once a year. Get a report prepared from all three agencies as there is a likelihood that you may get different scores from each agency depending on the credit information that they can access.

Make a record of your employment history and assets

The lender may ask you to provide details about your employment history when you apply for a mortgage. Make a record of all your previous jobs and salary information. Based on your job history, your loan can be approved easily or rejected. If you have changed jobs multiples times in the recent past, your lender will feel that your source of income is unstable.

Drastic rise or fall in income will also make the lender suspicious. You will have to provide written statements explaining the fluctuations in income. Make sure that you have continued in your job for at least six months before you apply for a mortgage in Burlington, Ontario. A blemished employment history will be instantly picked up by the lender and give him a strong motive to refuse the loan.

Also make a record of all your assets, including the property you own, cars, stocks, savings, bonds and other valuable items that can be considered assets. A section of the loan application will question you about all the assets you own and due consideration will be given to this during the loan approval process.

Organize your bank statements and pay slips

You will be required to furnish copies of bank statements and pay slips to the lender in the loan application process. Collect and organize all the relevant paperwork so that they can be provided immediately when the lender asks for it.

Other than this, you have to provide a history of your residence and list out all previous addresses. With the necessary documents ready, your loan application process will go on smoothly. If you organize the paperwork properly, you won't have to worry about delays when you apply for a mortgage in Burlington, Ontario.


For more information on second mortgage or mortgages in Canada, contact Canadian Mortgages Inc.