Borrowing Power, how much can you borrow?

Some uneducated first time home buyers think having a large deposit down payment available will increase the amount of money they can borrow – their “borrowing power.”  Unfortunately, even a deposit as large as 50% of the purchase price of the home tells the lending institution nothing about what they need to know – will you be able to continue to make repayments and pay off the remaining 50%.

Ten Steps in the Home Loan Process

Few of us can buy a home without securing a mortgage loan.  Here are ten steps to take to get a loan:

1. Do Your Homework
2. Select a Lender
3. Get a Mortgage Pre-Approval
4. Provide Necessary Documentation
5. Find Your Property
6. Keep Your Lender Up to Date
7. Get a Property Valuation
8. Secure Formal Approval of the Loan
9. Review and Sign Loan Documents
10. Settlement