Why is a Mortgage Like a Marriage?

It’s not that difficult a question to answer…

1.??????It involves a Commitment

2.??????It involves work

3.??????It takes a lot of paper

4.??????It’s forever

The forever part is relative, as it should be so for marriage and it just seems to be so for a mortgage. The other three are certainly true.

In both cases a Commitment is vital to the process. In a marriage it takes the form of a ceremony in the presence of witnesses where each person pledges their love and commitment to the other; the “Til death do us part” thing.

In a mortgage it’s a more conventional contract filled with important requirements for both parties. Basically the Lenders promises to give you money and you promise to pay them back, with interest.

But read a little deeper…you will also find there are any number of conditions. This is where the work comes in.

All of the items your diligent Mortgage Agent (Me!) asked you about for your pre-approval (important!) now have to be proven. So you will need to gather things such as: bank statements, employment letters, tax documents, pension statements, information on the property, appraisals, the sales agreement, business financials…the list varies depending on your circumstance.

Then your faithful Mortgage Agent assembles them and submits them to the lender, who may come back and ask for more information to clarify things. It can be a frustrating and time-consuming process, but it needs to be done.

Remember, the lender is actually in control of the situation. It’s a bit like the church requiring you to take a marriage preparation course. You could refuse, but then you’d have to find someone else to officiate. That can be difficult at the last minute, just like trying to find a new lender with days to go before your sale closes.

So be patient, both in Marriage and in Mortgage, and things will work out for the best.

I’m Steve Willson, A licensed Ontario Mortgage Agent with Mortgage Alliance. You can reach me through my website stevewillson.ca