New research reveals impact of mortgage demand
First-time homebuyers have a long way to go before they get final mortgage approval.
A new survey compared the experience of receiving your first home loan approval to winning a raffle, ending early on a Friday, and marking your first kiss with a crush.
It’s no surprise that buyers experience intense feelings of elation when they receive loan approval – given the increased pressure on banks to impose tighter lending regulations and on first-time home buyers to get a mortgage.
Despite the documented positive results of obtaining approval, there have been negative findings about how emotionally taxing the application process can be.
Research found that most applicants found it emotionally draining. Statistics indicate that 50% described the process as stressful. Another 42% of applicants qualified as overwhelming.
St. George’s General Manager Ross Miller encourages first-time homebuyers not to be afraid of the application process.
“We want clients to feel like they are winning in life and to be excited about their homeownership goals, especially at a time when first-time buyers are perfectly positioned to take advantage of a declining market and negotiate. a price that suits them in a less competitive environment. Ross said.
“Timing and paperwork are also common challenges with mortgage applications. “
Ross suggests that for strong home loan demand, buyers be realistic about their spending.
“If you’re a movie buff, Uber eater, or shoe shoppers, for example, try ditching them for a few months and test yourself,” he suggests.
It is also important that potential buyers educate themselves about their financial situation before defining their needs and goals.
“The more you know about what is involved in buying a property, the better able you will be to make informed decisions to help you achieve your goals!”
Finally, honesty is always the best policy.
Make sure the information provided to your bank is correct before proceeding with the loan review.
Let’s keep our fingers crossed that before you know it, you get into a high like no other.