Posted in Applying for a mortgage - Lisa Alentejano services the interior, BC Mortgages, Best Rate Mortgages, First Time Home Buyer Steps, Interior Mortgage Expert - Lisa Alentejano, Kamloops First Time Home Buyer Tips, kamloops mortgage, Kamloops Mortgage Broker, kamloops mortgage financing, Kelowna Mortgage Broker, Mortgage Broker Kamloops, Mortgages - Get a second opinion, Pre Approval Mortgage, Protecting your biggest investment your mortgage, Refinance Your Mortgage, Renewing your mortgage

Why you should always get a second opionion when financing a mortgage.

I couldn’t help but post this article i wrote AGAIN,  in hopes that it keeps catching the attention of consumers when shopping for a mortgage or refinancing an existing one.     I continually have clients coming to me that have been to their bank already,  looking for financing for a new mortgage or refinancing an existing one they have.  Consumers normally feel an obligation to go to their bank, and give them the right of first opportunity to arrange  financing for their mortgage.   To much of their surprise the banks seems slightly dis-interested in helping them, tell them that “we might” be able to provide you with financing and offer them a higher rate, or simply tell them they are pre-approved, having never even checked there credit first .  Leaving clients unsure whether they are truly approved or not?

Remember people, banks don’t specialize in mortgages or one specific product,  they have a line up of products including chequeing accounts, investments, RRSP,  unsecured line of credits, mortgages and the list goes on….

My job when going threw the pre-approval process, is always taking a full application, which involves checking my clients credit.   Checking your credit is an important parts of the pre-approval process as it will tell  a number of different things,  credit score, spending habits, if the debt outstanding is paid on time, how long have you have had credit and what debt is outstanding.  Both you and I want no surprises when it comes to financing your mortgage.

You will also find banks also don’t always offer you the lowest rate on your mortgage.  That’s right, you may be led to believe that because you are a current customer of theirs, with good credit (if they’ve check it), and job stability,  that you automatically will receive the best rate, well think again.  Banks “choose” who they give their preferred rates too.

A Statistic provided by CMHC says that approximately 60% of canadians take the first rate the bank offers them at renewal.  Just to give you snapshot of what that may look like; for example the banks posted rate today is 5.4% for a 5 year term.  The discounted rate available is 3.89%.   That’s a big difference in payment and interest savings over the term of your mortgage.  Consider this the next time you go to sign your renewal agreement or obtain your first mortgage from your bank.   Banks are in the business of making money, period.
Remember that you have the right to negotiate a better rate or seek out the services of a  mortgage broker who is trained in negotiating better rates, don’t be fooled into believing you have received the “best” rate or the right product .  Get a second opinion every time.  Why wouldn’t you if its Free?    Consult a mortgage broker like myself to determine if you truly are receiving the best rate and product to suit your needs.  I specialize only in mortgages and your positive mortgage experience is essential to my business , so your always guaranteed to receive the best rates, product that suits your needs as well as outstanding service!
Author - Lisa Alentejano


Finance/mortgage industry professional located in the Interior BC First Time Buyer Challenged Credit Second Mortgages Line of Credit Refinance Renewal Lets talk about your financing needs today! Great rates and Great Service!

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