Congrats! I have updated you to tell you that all of your documents have been accepted and the mortgage documents have been forwarded to your lawyer. As you may know,I like to get this completed roughly 2-3 weeks ahead of your closing date (I love making lawyers happy). There have been too many horror stories about problems at closing and I want my clients to have none of that but there still are some potential issues that I want to address.
What are some issues that could arise between time of your mortgage being complete and picking up your keys on the closing date?
– One of the most common would be people making major purchases that could either knock the lending ratios out of alignment with your lender or affect your down payment and closing costs.
If you are looking to buy furniture or a car right before you move into your home, please contact me right away to see if this could affect your mortgage. A lender can pull your credit bureau at anytime before closing and cancel the mortgage as your financial condition is not the same as when you signed with them. Also, there is the potential to use some of your savings and when your lawyer outlines how much the total closing costs are, you might be in for a bit of a shock.
– Another one is potentially waiting too long to withdraw funds from your RRSP to pay for your down payment. Every financial institution has different procedures and time frames when withdrawing from your RRSP. I generally want it in place a couple weeks in advance to be in your savings account so when it comes time to prepare the certified cheque there are no surprises.
If you have stumbled upon this article and did not get a mortgage with me, I would still be more than happy to help you out. I worked at banks for many years and I know we were never trained to discuss this and that 95% of advisors there would not mention this to you.
Other than these, please know that I will still discuss payment options or anything else at all times. Text or call me at 613-294-4475 or email me at nick@mortgageinottawa.com
