Applying for a home loan can be challenging, indeed. With all the rules and regulations (and seemingly endless hoops to jump through), homebuyers can feel frustrated and confused. Radius Financial is Canada’s Number One Rated mortgage lender. Our team has decades of collective experience in the mortgage industry, helping mortgage brokers offer the best home loans for their customers. Below, we’ll go over four common home loan application mistakes to avoid. Contact us to get started today!
Not Shopping Around for the Best Mortgage Interest Rates
Because many people do feel overwhelmed by the mortgage process here in Canada, they don’t spend the time to research home loan rates. Instead, they go with the first home loan presented to them out of convenience, not understanding if this is the best for them or not. Since Radius Financial is the Number One Rated mortgage lender in Canada that offers mortgage deals solely through the broker channel, we offer the best mortgage interest rates possible in order to ensure your customers are getting the most bang for their buck. Learn more today.
Failing to Check Your Credit Score
Your credit score is one of the most important determinants of the type of mortgage you are eligible for and your mortgage interest rates. This is because your credit score is mainly used to tell lenders of all kinds how much of a risk for default you are. With a high credit score, this shows you can manage your money and make on-time payments. A low credit score indicates the opposite. It’s super important that you check your credit score when applying for a mortgage so that you can correct any misinformation that may be affecting your score, which would then affect your home loan application via one of our affiliated mortgage brokers.
Not Saving Enough for the Down Payment
While some loans do not require a down payment (or, they may require a very small down payment), in general, the more down payment money you have, the more types of home mortgages you’ll qualify for. This simply opens the door to better mortgage opportunities. Furthermore, it helps to lower your payment amount and can ensure you aren’t stuck paying mortgage insurance (insurance you must pay if you are at a higher risk of default than others who have a down payment. This is to protect the lender).
Failing to Get Mortgage Pre-Approved
Many people don’t tend to get pre-approved for a loan or mortgage these days. This is due to the fact that lending has become a convenient service, meaning you can walk into a car dealership, for example, and get approved for financing on the spot. That being said, when it comes to home loans, you should always get pre-approved, and this is for several reasons. If you get a mortgage pre-approval, you’ll know the price range of the homes you are looking to buy, which can save you and your real estate agent a lot of time. Plus, you’ll find out if there are glaring issues on your credit report that could be a hindrance to your home loan. Your expert home loan broker can help you interpret the information during the pre-approval process. Getting a mortgage pre-approved can make the home buying experience faster, too. It gives you more clout when you make an offer with buyers, so are more likely to get a better deal. And, mortgage lenders, real estate agents, and home sellers are more eager to work with you, too.
PARTNER WITH CANADA’S NUMBER ONE RATED MORTGAGE LENDER TODAY
Radius Financial is proud to be Canada’s Number One Rated mortgage lender, with more than 20 years of experience, we are committed to helping Canadians achieve their dream of home ownership by supporting mortgage brokers and making their lives easier. When you, as a mortgage broker, partner with us, you’ll receive ongoing support throughout the mortgage process. We offer training, best-in-class service, and direct access to our underwriters, so you can better help your customers. Our Radius Broker Portal has been designed with you in mind, so you can offer the best mortgage lending experience to your customers. We offer real-time application tracking, so you can keep your customers in the loop at all times.
Radius Financial cannot wait to partner with you and help make the dreams of Canadians come true. Sign up today!