Your Trusted Mortgage Advisors Blog

Your Trusted Mortgage Advisors

5 ways to improve mortgage qualifying success

Yes new mortgage rules have made it harder to qualify for a mortgage, whether you are a first-time buyer or looking to renew or refinance your mortgage with a new lender. That’s why you should get yourself mortgage ready well in advance. Here are 5 tips to help you do just that:

  1. Get your Credit Report. Getting a copy of your credit report will let you know how you will be viewed by lenders. You can order yours for free through the mail or for a small fee online at www.equifax.ca as well as www.transunion.ca If you spot a problem, call us for assistance to resolve the issue.
  2. Polish your Credit.You can boost your score by several points fairly quickly with continual good credit habits. Most importantly, pay your bills on time, every time. Don’t let your credit accounts exceed 50% of the credit available. Before you cancel any credit cards, get advice. And don’t apply for a store card just to save on your purchase that day. Make a habit of checking your credit score each year, and watch how those good credit habits push your credit score skywards!
  3. Cash is King. Plan to go into homeownership with the maximum downpayment possible. If you are in the "saving up" stage of preparing for homeownership, now is the time to meet. There are several downpayment savings strategies available that we can put to work for you.
  4. Get a boost from Family. Parents and grandparents have enjoyed the personal and financial benefits of home ownership themselves, and see how hard it is today to make that important first step into the market. Check to see if they are willing to help by gifting or loaning some or all of the downpayment, or by helping you with other debts.We can help you be fully prepared to get you where you want to go, and to make sure you can take advantage of any opportunities that come your way.
  5. Start a Dialogue early. Get in touch early to talk about your purchase, refinance or renewal plans. We can help you be fully prepared to get you where you want to go, and to make sure you can take advantage of any opportunities that come your way.

Also remember,history has proven that it is almost impossible to perfectly time the market.Home ownership has proven to be a very solid investment over the long term, so focus on buying a home when you are financially ready and when it fits your lifestyle.

Troy Resvick, MBI

Managing Partner / Senior Mortgage Advisor

Invis - Resvick & Associates Mortgage Advisors

T: 604.532.8769 ext. 1

Easy Ways to Repay Your Home Loan Early and Free Up Cash for Family Adventures
November 27, 2019 @ 6:32 PM by: Resvick & Associates

Most home buyers take out a mortgage to help finance buying a home. As a result, many homeowners are faced with a monthly mortgage payment during the time they are raising their children or sending them off to college. What if a way existed to pay off your home loan early in order to free up the money for the kind of adventures every family longs to have? Fortunately, a few strategies do exist that can help you to shave years off your mortgage term. All you need to do is incorporate as many of them as you can into your life to create the kind of impact you are looking to achieve. Here's a look at several easy ways to pay your mortgage off early.

Round Up Your Monthly Payment

Instead of paying the exact amount of your monthly payment, you can round up to the next even number. For example, if your monthly mortgage payment is supposed to be $1425, you can pay $1500. While this additional $75 may not seem like it is going to make a difference, it does. Plus, you probably won't even miss this small sum of money from your take-home pay

Put Your Bank Account Interest Toward Your Mortgage

If you have savings accounts at a local bank or credit union, you may want to consider putting the interest that you've earned toward your home loan. You have the option to do this at your discretion. However, if your money is tied into CDs, then you'll have to wait until the CD comes due. You won't miss this money because it isn't included in your take-home pay. Plus, it can help to whittle down the balance on your mortgage, especially when you combine it with other strategies.

Take Unexpected Financial Bonuses and Put Them Toward Your Mortgage

One way to pay down your mortgage debt is to take any unexpected monetary bonuses and put them toward the balance of your home loan. You can use lottery winnings, holiday bonuses, gifts of cash, inheritances, and tax refunds to decrease the amount of money you still owe on your mortgage.

Refinance Your Home Loan

Not everyone can save money by refinancing a mortgage. Evaluate the cost to do so and weigh it against potential savings on the debt. If you can save more money than you spend, refinancing provides an excellent option when you are looking to save money on your mortgage. Ideally, you can select a shorter term that allows you to shave years off your home loan. Alternatively, your monthly payments decrease, allowing you to put more money toward the  balance of your loan

Paying off your mortgage early can save you thousands of dollars in interest fees. Not only does this strategy help free up cash for family vacations, college, and special events, but it also helps you to avoid paying a lot more for your home than it is worth. Before you begin, you should talk to your lender and find out whether or not any penalties exist for early loan repayment.

If no penalties exist, you can move forward with your plan to pay off your mortgage early. Simply take the time to figure out which strategies are going to be the easiest to incorporate into your life and start paying down your mortgage now. Not only do you lower the balance on the payoff number, but you also lower the total amount of interest paid on your home loan. 

Bookmark and Share