Capital Mortgages specializes as a service-oriented brokerage that prides itself on integrity and maintaining a service level second to none in the industry.

What Does A Real Estate Lawyer Do?

Deciding on which home you’d like to buy is only the first step in the process – from there comes a LOT of paperwork and small transactions. There is quite a bit of coordination involved throughout these steps to ensure that the bigger picture comes together and that you have not skipped any steps along the way towards owning your dream home. While most people know what a criminal or family lawyer does, they are often left in the dark as what the day to day tasks of a real estate lawyer are like. Beyond helping to ensure that you haven’t missed out on any important documents, your real estate lawyer brings a lot to the table throughout the act of buying a property. 

Here’s what they’ll help you manage:

Land Transfer Tax

When you buy a home, you will be required to pay tax on the process of transferring its land. These fees range by province and sometimes even by city. Your real estate lawyer will help you calculate exactly what this amount is, as well as be responsible for handing over these funds to the corresponding government office before your purchase closes.

Document Review 

Buying a home involves a seemingly endless amount of technical, wordy documents – all of which your real estate lawyer will need to review to ensure that your best interests are kept at heart and that you’re not getting the short end of the stick in the deal.

Unforeseen Issues

Think of your lawyer as your encyclopedia when it comes to all things about title fraud, environmental concerns, encroachment issues and beyond. You’re hiring an expert who can clean up any unforeseen problems before they snowball into a bigger challenge. You will thank your lawyer later when they advise you against purchasing a home that would have been rife with downfalls.

 Title Insurance

Your lawyer will help you navigate the world of title insurance, which insures your mortgage lender against financial loss from defects in title or the invalidity of mortgage loans. This is a necessary component of the mortgage process, to protect the lender or yourself in place of a dispute over the property’s ownership. 

Do you have questions about buying a new home or hiring a real estate lawyer? Give Capital Mortgages a call today and one of our advisors will be happy to guide you through the process.

Capital Mortgages specializes as a service-oriented brokerage that prides itself on integrity and maintaining a service level second to none in the industry.

Five Questions You MUST Ask Your Mortgage Broker

As you navigate through the process of applying for a mortgage, you are going to encounter a multitude of steps, paperwork, and challenges along the way. Just when it seems like everything finally makes sense, boom – you come across a hidden charge, surprise component, or another tidbit of information that you had no idea would be involved in the process. To simplify things and gain a broader understanding of the journey you are about to embark on, here are five questions you should definitely be asking your mortgage broker.

 

What Types of Lenders are Available to You?

 

All lenders are not equal! Your mortgage broker will work with you to determine your overall financial situation before recommending a suitable lender based on your needs and constraints. They will do a great job of ensuring that you are opting for the least amount of risk and selecting a financial institution that’s right for you – which is probably not the same as it would be for your best friend or your neighbor. 

 

What Should I Keep In Mind For The Future?

 

In the immediate excitement of purchasing a home, many people can forget to consider what may be in store for the future. An amount you are able to afford today might not necessarily be the right choice for your future, given that you might soon become a parent or change jobs. Even if you are not planning to make any impending lifestyle changes, your mortgage broker will be able to explain rising interest rates to you and incorporate these variable future factors into their negotiations with your lender.

 

Which Interest Rate Do I Qualify For?

 

Your mortgage loan is one thing, but the interest on top of it is a completely different element to consider. The interest rate that you qualify for is dependent on your down payment amount, credit, and employment income. Ask your mortgage broker to explain which rate you qualify for, as this can impact you in two ways. For one, you will end up saving thousands of dollars in the long run if you qualify for a low-interest rate. However, if your rate is higher, your loan will be more expensive to pay back and could potentially become troublesome for you to manage financially. 

 

How Much Should My Down Payment Be?

 

Many people mistakenly assume that if they put a 20% down payment on their home, their mortgage’s interest rate will automatically be lower. However, this isn’t always the case. You can often put down as little as 5 percent and receive the same interest rate as you would if you put down 10, 15, 20 or even more. High ratio insured rates are currently lower than that of a 20% down payment. Your mortgage broker can shed more light on how much cash you should put down, which can be especially helpful if you are worried about cash flow throughout the purchase of your home and impending changes to your lifestyle.

 

Which Type Of Mortgage Should I Consider?

 

There are two types of mortgage interest rates: fixed and variable. Depending on your preferences and tolerance for risk, your broker will recommend that you either opt for a rate that doesn’t fluctuate or one that changes according to market trends. 

While these questions are simply just the tip of the iceberg when it comes to what you should be asking your mortgage broker, they’ll provide a solid foundation for getting started. Don’t forget to also factor in that there are several associated costs with applying for a mortgage – such as appraisals, credit reports, lender’s title policies, pest inspection reports, recording fees, taxes and more! Give Capital Mortgages a call today and we’d be happy to explain further.