Getting Approved for a Mortgage
What is considered when a lender is looking
at your mortgage application?
Income and Job stability
Your income determines how much you may
borrow. 32% of your gross income for salaried, non-self-employed or commission
persons is used to determine how much you can borrow to cover the cost of the
mortgage payments, taxes, and any applicable maintenance. All other debts i.e.:
car loans, credit cards etc., must not exceed and additional 8% of your gross
income.
Credit History
Your credit may show that you pay your
bills on time. If not, you may still be approved but the interest rate may be
higher than expected.
- Income confirmation for salaried persons. Letter of employment and most recent pay stub.
- Down payment confirmation
- Contract of purchase and sale, this is a
copy of the accepted offer of the home you intend to purchase and a copy of the
MLS® listing sheet.
For more information regarding a Mortgage, please visit www.mybcmorgages.com
