Getting a Mortgage: 3 Reasons Why It Pays to Work with a Pro

The process of getting a mortgage is major, and we hear lots of first-time homeowners asking “where do I start?” When you’re buying a new home, there are three steps to getting your mortgage:

  1.  Pre-approval: This is the stage where your banker or broker will input your basic financial details to give you a good idea of how much you’ll be able to finance to buy your home. This is typically done before you start new house hunting.
  2. Firm approval: This is the stage where you’ve chosen your house and have a purchase agreement in place. Having a firm approval means the bank has guaranteed you a mortgage on that property with a confirmed interest rate for the duration of the construction period (until your home is complete). This is done after you have found your perfect place and written an offer.
  3. Getting a mortgage: This is the final stage where you take possession of your home and the cost of your home is financed through a mortgage. Your payments will start at this time. This happens on your possession date.

Purchasing a new home is a little different than resale, so it’s important to make sure you’re working with a financial professional who knows the ins and outs of new home construction. Our team works with a talented group of industry pros who often times can secure you better rates on your new home purchase and can speed up the process. These mortgage partners are specialists from large banks like BMO, TD Canada Trust and RBC, and are trained to work with you every step of the way.

Here’s why it pays to work with an Avi Urban mortgage partner:

  1. Better rates and longer rate holds: Because these industry pros work with Avi Urban on a regular basis, they can offer preferred rates to our homeowners. This means you’ll be getting excellent interest rates that can be held for the entire construction period of your house, up to 18 months! This is usually not the case when working with general mortgage brokers, who may not be able to offer these extended rate holds.
  2. Speed: Our mortgage partners are quick to get your mortgage approval in place. Because they have already done some of the upfront work, like getting appraisals on the development and securing interest rate holds, typically they can cut a few steps in getting you approved.
  3. Specialized service: Our mortgage partners are experts in their field, and experts when it comes to new homes. Because they work with Avi Urban so often, they’ll know exactly what paperwork and other details are required to finalize the purchase of your place. They’ll also provide personalized service, since many of our partners are mobile mortgage specialists (which means it’s easy for them to come to you!)

While it’s important to get your rate confirmed and held for the time that your home is under construction, you’re always free to find the best rate possible. Just because you’ve held your rate with a specific lender doesn’t mean you can’t move your mortgage when you’re ready to move in. You’re never locked in, and you’ll always have the freedom to pick the mortgage that works for you.

You can find information on our mortgage partners on the buyer resources pages for Edison, Sawyer, or The Post. A mortgage is a big deal, and our sales team is always around to answer any questions you might have – feel free to drop them a line or give them a call.