If you don't have a downpayment in excess of 35 per cent, the financial institution will be most interested in how you're able to prove your ability to repay the loan. If you work in a salaried job, proving this ability is simple. The banks commonly look at a three-year average of your personal income to determine your qualification. Before you visit the lender, see your accountant. If uncertain of your standing and clout, make your run at the bank manager, rather than the mortgage officer.
Timing can also be an issue.
In some markets and in periods when lenders are slugging it out for new clients, it's sometimes possible to be seen in a much more favorable light. Tens of thousands of dollars can be saved by shortening the amortization period from the standar 25 years to a fewer number of years. Our favorite term happens to be 17 years. It maximizes benefits without unduly increasing the mortgage payment beyond the stretching point. Have your mortgage officer work out the mortgage repayment period over 25 and 17 years.