Navigating the mortgage process can be tiring without proper preparation and understanding. From assessing your financial situation to sealing the deal, each step requires careful consideration and attention to detail. For all first-time homebuyers, Tevin Wynter is here to get you up to date about the mortgage process.
Once an aspiring soccer player, Tevin Wynter found his way into the financial world. Now, as mortgage and financial specialist and owner of Wyn Financial, Tevin focuses on his true passion: helping individuals secure mortgages and financing. Through Wyn Financial, he provides personalized guidance to clients, empowering them to navigate the complexities of financial decisions with ease and confidence.
“You need to be speaking with a professional and understand your situation holistically to help you understand can you make that mortgage, can you qualify, run your numbers, what’s your income to debt ratio like, because these are the little things that will change everything.” Said Tevin to our podcast host, Tony Ning. “So, if you are getting into the market, I will first understand your situation and then start looking at the houses in the market,” Tevin adds.
Begin by reviewing your credit report and score. Lenders use this information to evaluate your creditworthiness and determine the interest rate for your mortgage. Take steps to improve your credit score if necessary, such as paying down debts and resolving any discrepancies on your report. Additionally, start saving for a down payment. While the traditional benchmark is 20% of the home’s purchase price, there are various loan programs available with lower down payment requirements. Explore your options and strive to save as much as possible to secure a favourable mortgage rate and reduce monthly payments.
Gather essential documents, including pay stubs, tax returns, bank statements, and proof of assets. Having these documents readily available streamlines the application process and demonstrates your financial stability to lenders. Furthermore, obtaining pre-approval for a mortgage provides you with a clear understanding of your budget, enabling you to focus on properties within your price range. Additionally, sellers are more likely to consider offers from pre-approved buyers, as it signals your seriousness and ability to secure financing.
To get pre-approved, contact lenders and provide them with your financial information. They will assess your creditworthiness and provide a pre-approval letter indicating the loan amount for which you qualify. Compare offers from multiple lenders to ensure you secure the most favourable terms.
Once you’ve selected a lender, it’s time to complete the mortgage application. Be prepared to provide detailed information about your employment, income, assets, and debts. Double-check the application for accuracy and completeness before submitting it to the lender. Throughout the application process, be prompt in providing any additional documentation requested by the lender. This may include updated financial statements, employment verification, or explanations for any discrepancies in your credit history. Clear and timely communication with your lender will help expedite the approval process and ensure a smooth transaction.
The final stage of the mortgage process is the closing, where ownership of the property is transferred to you. Before the closing date, review the closing disclosure carefully to understand all associated costs, including loan origination fees, appraisal fees, and closing costs. Plan to bring a certified check or wire transfer for the required funds. During the closing, you will sign various legal documents, including the mortgage note and deed of trust. Once all documents are signed and funds are disbursed, you will receive the keys to your new home, which will officially make you a homeowner.
The journey to homeownership may seem overwhelming, but with the guidance of professionals like Tevin Wynter, navigating the mortgage process becomes a manageable and rewarding experience. With preparation, understanding, and the right support, achieving your dream of owning a home is well within reach.
