Mortgage Pre-Approval & Rate Locks

Getting a mortgage pre-approval is a crucial step in the home buying process. A pre-approval is meant to provide you (the potential borrower) with a realistic idea of the amount of mortgage funds you would qualify for. With a pre-approval comes a ‘rate lock’ or ‘rate hold’. A rate lock is a commitment issued by the lender which secures an interest rate for a 90-120 day period (depending on the lender). This protects you should interest rates rise significantly during that time. If rates were to decrease, then you would get the lower interest rate. Can you say win/win?!

Pre-Approved Mortgages in Hamilton

In the Hamilton, Burlington and Oakville areas, the shortage of homes on the market combined with the number of buyers means that there is a lot of competition for homes. Many offers are being made without conditions, and so getting a pre-approved mortgage is crucial if you are looking to buy a home. Best Mortgage Loans can help you get that pre-approved mortgage at the best rates. No matter your individual situation, we’re here to help, so call us today and speak with one of our experienced mortgage brokers or mortgage agents.

Remember: Even with a pre-approval or rate lock in place, a condition on financing is strongly recommended when making an offer to purchase, when this is possible. It is simply an early estimate so that you can begin shopping with confidence.