Of Prime Interest: Things you should know to buy a home

Kelowna column takes a look at the various parties involved in getting a mortgage

Of Prime Interest column

Many of you want to know the reasons why a lawyer/notary, realtor and mortgage brokers are involved in the mortgage process.

Lawyer or notary: The process involved in registering a mortgage is a highly important process. When purchasing a home or refinancing your existing mortgage a lawyer/notary will ensure the mortgage is registered at Land Titles in a clear and concise way so there won’t be any surprises down the road. They will complete searches at Land Titles on the property in question. If there are any liens, judgments or anything negative on the title, the lawyer or notary must ensure they are cleared prior to the registration of the new mortgage. The lawyer or notary will charge a fee for the work they do depending on the complexity of the mortgage. Fees may be higher on more complex registrations.

If there is a private purchase, whereby a realtor is not involved, the offer should be written by a lawyer or notary to protect yourself in the event there is a collapse of the deal or any issues down the road.

Realtor: A realtor’s job is to draw up the offer to purchase adhering to stringent regulations. The offer will state the purchase price, down payment, completion date, move-in date and will generally have subjects written in the contract. A few of the subjects include financing, an inspection and various other things.

The offer will also have, as part of the contract, the property disclosure statement which the seller must complete. The property disclosure will show if there are any negative issues with the property such as: Was the property a former grow operation, if there are any issues with the septic field and tank, condition of the roof, strata information etc.

There are fees that paid to the listing realtor and the purchasers’ agent that are the responsibility of the seller. As a purchase you will incur no fees for the realtor.

Mortgage broker: A mortgage broker has access to several lenders and if you don’t fit into regular lending criteria, we will be attempt to find a lender that can, in most instances, help with the approval of a mortgage. Our hours are very flexible and we will meet with you to fit your schedule. Interest rates are very competitive along with prepayment and payment clauses that help you pay that mortgage off faster. We will get to know your financial position and place you in the best possible mortgage for you. We are able to finance properties across Canada. Most important our service is free to you – we are paid by the lender where we place your mortgage.

Of Prime Interest is a collaboration of mortgage professionals: Darwyn Sloat: 250-718-4117; Christine Hawkins: 250-826-2001; Trish Balaberde: 250-470-8324.