The beginning of the process is the mortgage application. Make sure that everything is filled out and signed. Please include everything that you own out right, any investments no matter how small, even a car if you still have a car loan for. These are assets and are important to show because all of your debts are counted against this. Make sure you are truthful in this application even if you think it might not be good. It's better the devil you know than the one you don't, that one easily can bite you in the rear. With this information I will do a calculation to see What you can pre qualify for just based on the income. I won't go into the Calculations with you know but it's Principle, interest, Taxes and heating over Your gross income, this will give you the gross debt service. We also do a calculation for your Total debt service and that is PITH plus all other debts over your gross income. These calculation need to be in the GDS 32 TDS 40 to qualify. There are some exceptions but it's best just to use these calculation for this purpose.
Once the file has been approved then we need to prove everything on the application. You will need the following
1. job letter
2. 2 last pay stubs
3. Notice of Assessment (possibly)
4. Purchase Agreement from the Realtor
5. MLS listing
6. 3 mons bank statements to show that you have had the deposit for at least 3 mons
7. 1.5% closing costs may also be proved via bank statement.
8. Lawyers name and address
9. Ussually a Pre Authorized Debit form and a void cheque
There may be more than documents needed then what I have already said but that just may be Mortgage Lender specific.
If you have any questions just ask. I love to answer questions