Jump to content
Premed 101 Forums

Mortgage troubles?


Recommended Posts

anyone have this issue...

 

I've been pre approved for a mortgage at TD, but they say that once i've found the house i want, i can only get final approval of the mortgage once i start residency on july the 1st. (ie the earliest date of possession is july 1st)

 

Is this something unique to TD, or do other banks like RBC give final mortgage approval based on the fact that i have a confirmed residency position for july 1st and let me have possession of the house earlier.

 

I'm just wondering because theres a house that i'm thinking about and i'm not sure the owners will want to wait around till july 1st for me to take possession.

 

thanks for your input!

Link to comment
Share on other sites

how do contracts work for residency?

 

If you have a signed document which describes your projected income and start date, i dont see the problem.... talk to other banks or call a broker.

 

If you're set on TD, at least get the info from other sources then go back and argue with someone at TD.

Link to comment
Share on other sites

I am not in that situation.

But, do you know how long the house has been on the market? They may have already been waiting for several months to sell anyway...what is another 3 if there are no other takers?

You can always put in your offer...if they accept it great, and if not...then it wasn`t meant to be! (that is if you don`t find a bank to give final approval earlier). Most transactions take between 30-60 days anyway...you are really only adding another month. It is rare to see a house up for immediate possession.

 

Good luck!

 

anyone have this issue...

 

I've been pre approved for a mortgage at TD, but they say that once i've found the house i want, i can only get final approval of the mortgage once i start residency on july the 1st. (ie the earliest date of possession is july 1st)

 

Is this something unique to TD, or do other banks like RBC give final mortgage approval based on the fact that i have a confirmed residency position for july 1st and let me have possession of the house earlier.

 

I'm just wondering because theres a house that i'm thinking about and i'm not sure the owners will want to wait around till july 1st for me to take possession.

 

thanks for your input!

Link to comment
Share on other sites

yeah your definately right,

 

i'm also wondering though how medical students in second and third year are able to get mortgages based on their monthly stipend of 340$, but graduating med students aren't able to get approved for one until they "start working" (ie: start residency).

 

you would think it would be less risk to lend money to a student who has a confirmed residency position rather than one who doesn't.

Link to comment
Share on other sites

TD is being difficult (which is not atypical; they usually don't win the business of medical students).

I just had to forward a copy of my CaRMS acceptance webshot and that was enough for Scotia.

 

Besides, ideally, you would want possession before July 1 so that you can move in before you start residency.

Link to comment
Share on other sites

yeah exactly,

 

well i talked with a rep from RBC and they said TD is being difficult. All RBC requires is a letter of confirmation of your residency position and your salary and they'll give you final approval for a mortgage before july 1st if you need it.

 

thanks for the help guys,

Link to comment
Share on other sites

 

i'm also wondering though how medical students in second and third year are able to get mortgages based on their monthly stipend of 340$, but graduating med students aren't able to get approved for one until they "start working" (ie: start residency).

 

Med students dont get a mortgage on their own. They usually have:

a) spouse or significant other with full time employment

and/or B) a cosignor (i.e. parent etc) to secure the loan.

Link to comment
Share on other sites

anyone have this issue...

 

I've been pre approved for a mortgage at TD, but they say that once i've found the house i want, i can only get final approval of the mortgage once i start residency on july the 1st. (ie the earliest date of possession is july 1st)

 

Is this something unique to TD, or do other banks like RBC give final mortgage approval based on the fact that i have a confirmed residency position for july 1st and let me have possession of the house earlier.

 

I'm just wondering because theres a house that i'm thinking about and i'm not sure the owners will want to wait around till july 1st for me to take possession.

 

thanks for your input!

 

Put in an offer for the amt you want to pay. In the offer, make it clear that the closing, transfer of title and payment, will take place in July.

 

It is a buyer's market, not a seller's market - so you are in the driver's seat, the seller will be having a difficult time. Make sure before yoyu make your Offer that the bank has made a firm commitment to you.

Link to comment
Share on other sites

I found RBC to be really good with everything from mortgages to LOC's. Back when I first signed up for a student LOC's they were initially wanting me to only get what i needed for the first year and then re-apply for more money at the begining of every school year, but I gave them a firm "No I want to be able to access all my money now." and they relented without arguement.

Link to comment
Share on other sites

I found RBC to be really good with everything from mortgages to LOC's. Back when I first signed up for a student LOC's they were initially wanting me to only get what i needed for the first year and then re-apply for more money at the begining of every school year, but I gave them a firm "No I want to be able to access all my money now." and they relented without arguement.

 

I agree RBC has been great.

I was given the 150K without question or cosignor.

I also have my mortgage with them, and they were happy to match the lower rate that a broker had found me at scotia.

Link to comment
Share on other sites

  • 1 month later...

Hey Guys,

 

For the past 3 years I have hosted First Time Buyer seminars at various Medical Schools and helped place over a dozen graduating medical students into houses and condos all across Canada.

 

I have a few great mortgage representatives that have helped many people going into first year residency.

 

If you have any questions or need the name of a mortgage rep, please feel free to PM me...

 

-Geoff

Link to comment
Share on other sites

Med students dont get a mortgage on their own. They usually have:

a) spouse or significant other with full time employment

and/or B) a cosignor (i.e. parent etc) to secure the loan.

 

Has anybody been able to get a mortgage (~$250,000) on only their own resident's salary WITHOUT needing a guarantor/spouse?

 

Using the loan calculators available online, I won't be able to get the amount I want until PGY3-PGY4. One bank rep said I would need my parents as guarantors for this amount, but I don't think she took into account that my salary is predictable. Will banks take into consideration that my income will rise by a known amount for the next 5 years?

 

Also, if you don't mind sharing, what are the 5 yr rates people have been getting at TD, BMO, and CIBC? I feel like I'm buying a car, and don't know whether I'm blindly paying too much. 3.8% at TD, 3.85% BMO, 3.75% CIBC are what I've been told is the lowest they can offer me.

 

Why are some people able to get 3.5? Do they just haggle more for it?

Link to comment
Share on other sites

Has anybody been able to get a mortgage (~$250,000) on only their own resident's salary WITHOUT needing a guarantor/spouse?

 

Using the loan calculators available online, I won't be able to get the amount I want until PGY3-PGY4. One bank rep said I would need my parents as guarantors for this amount, but I don't think she took into account that my salary is predictable. Will banks take into consideration that my income will rise by a known amount for the next 5 years?

 

Also, if you don't mind sharing, what are the 5 yr rates people have been getting at TD, BMO, and CIBC? I feel like I'm buying a car, and don't know whether I'm blindly paying too much. 3.8% at TD, 3.85% BMO, 3.75% CIBC are what I've been told is the lowest they can offer me.

 

Why are some people able to get 3.5? Do they just haggle more for it?

 

 

Yes. Many medical students can get a mortgage without a cosigner. RBC actually uses your projected income, not your PGY salary. Some banks (ie Scotia) can't technically give you the full amount of the mortgage but will give you a LOC with the same interest rate for whatever their calculators can't technically give you.

 

For current mortgage rates across the country, check out the end of this thread: http://www.redflagdeals.com/forums/showthread.php?t=351105

 

You get lower rates by knowing what is technically feasible. Playing the other banks.. I got quoted this from this bank, can you beat it? Remember that not all interest rates are compounded the same (some are semiannually others monthly) and some banks throw in extras like legal fees, etc.

 

You can also try to negotiate with a bank representing multiple medical students. They will be more eager when they know they will get 5 people signed up, etc. Personally, I didn't find brokers that helpful because on paper, a resident salary is not that impressive.

Link to comment
Share on other sites

  • 5 months later...

I am a 4th year medical student and a Canadian citizen who is attending a US medical school. I hope to return to Canada for residency in FM.

 

What resources are available to me to purchase a home when I return home to Canada? If anyone is familiar with a good contact in the mortgage industry that helps incoming residents, please PM me.

Link to comment
Share on other sites

I am a 4th year medical student and a Canadian citizen who is attending a US medical school. I hope to return to Canada for residency in FM.

 

What resources are available to me to purchase a home when I return home to Canada? If anyone is familiar with a good contact in the mortgage industry that helps incoming residents, please PM me.

 

I would try MD Management since they only deal with medical students and physicians, so they are familiar with your situation. They offer mortgages through National Bank of Canada, I believe.

Link to comment
Share on other sites

  • 5 months later...

Archived

This topic is now archived and is closed to further replies.

×
×
  • Create New...