by Tad Lake 
Today we will discuss the process of getting approved for a mortgage in British Columbia. A pre-approved mortgage indicates how much mortgage you can afford and guarantees a mortgage rate (usually for 90-120 days) while you look for a home. The pre-approval process includes a review of your application, credit score, and finances. Once you have submitted your application, you can expect a final loan approval within a month. – However, it can take up to 90 – 120 days to get approved for a mortgage in British Columbia.
The process of getting approved for a mortgage can be time-consuming and requires patience. It is important to keep in mind that the process starts when you have started your home-buying process and determined how much mortgage you can afford. Once you have an estimated mortgage amount, it is important to determine which lender will provide the best guarantee of a mortgage rate that meets your specific purchase needs. Then house hunting begins and getting pre-qualified or pre-approved for a loan should be one of your first steps in the home-buying journey. Pre-qualification allows you to determine what type of property price range is suitable for you, while pre-approval provides assurance from Canada Mortgage and Housing Corporation (CMHC) that the lender approves your loan application subject to certain conditions being met.
To get started on the process of getting approved for a mortgage in British Columbia, you should first take time to evaluate your financial situation and determine what mortgage amount is best for you. Once you have an idea of the amount you would like to borrow, it is important to take time to evaluate a mortgage broker or lender that best suits your needs. The broker or lender will run a credit check and consider other factors such as your income, outstanding student loans, property value, and down payment when evaluating your application.
Hire a Professional Mortgage Broker
The mortgage pre-approval process in British Columbia starts with looking for a mortgage specialist. They will help you determine your credit score by pulling your credit history. This includes loans, credit cards, car leases, and other debts such as child support payments. The lender will look at your income and debts to decide how much house payment you can afford and what interest rate they can offer you. Once the lender has a picture of your finances including assets, they will ask for your permission to recheck your credit score within the next month. Your credit scores and history are an essential part of the pre-approval process as it helps them determine if they should lend you money or not.
In British Columbia, you can expect to go through a few stages before final loan approval. The first stage is where the lender will review your application and supporting documents such as credit reports and application support documents. It should take about a month for the lender to review your application and credit report. If you are approved, then you can move onto the next stage which is selecting a mortgage product that best suits your needs.
Income Requirements
Working with a certified mortgage broker or a mortgage professional can help you select the right product for your situation. During the process of getting approved for a mortgage in British Columbia, you will need to provide certain documents such as income confirmation, necessary paperwork, and tax returns. You may also need to provide a letter from your current employer that states your start date and salary. If you are self-employed, then you will need to submit proof of income such as Canada Revenue Agency letters or current pay stubs. The final step is having the mortgage pre-approval done by an approval applicant which will show how much tax has been deducted from your income.
By working closely with your loan officer, they can help guide you through the approval process and offer advice on how to increase your chances of getting approved for a home loan sooner. With the right guidance and confidence in yourself that you can make payments on time each month, then receiving help is not far away when it comes to purchasing your home with a mortgage loan in British Columbia.
