Getting pre-approved

One of the first things you should do when you decide to buy a home — even before you start your search — is pre-arrange your mortgage. Here’s why:

• With a pre-arranged mortgage, you’ll have a better idea how much you can borrow, how much home you can afford and what your monthly payments will be.
• If you choose a fixed interest rate, you are guaranteed that rate during the 90-day pre-approval period, so you are protected if interest rates should rise.
• When it comes time to make an offer, you’ll be able to act more quickly.

How pre-approval works

Your BMO Mortgage Representative or mobile Mortgage Specialist will meet with you to complete a mortgage application and ask you for your consent to do a credit check. You’ll also be asked to provide the following:

• Name of your employer, length of employment, and current salary
• Annual salary or wages for the household
• If you are self-employed, earnings for the past two years
• Annual earnings from commissions, bonuses or tips
• Annual interest and investment income
• Child support or alimony received this year and last
• List of assets (bank accounts, RRSPs and other investments; major personal assets, such as jewelry, car, collections)
• Details of liabilities (amounts owing on credit card balances, student loans, car loans, personal lines of credit, other debts, or monthly payment obligations)