How Private Mortgage Lenders Can Expedite the Home-Buying Process

Buying a home is one of the most exciting things you may ever do, and looking at homes for sale in search of one that matches your hopes and aspirations can be incredibly fun.

On the other hand, once you have to start applying for a mortgage to afford the house of your dreams, that fun tends to fade into the background and is replaced by many tedious steps that must be taken.

Unfortunately, this is where things begin to really slow down. There are a number of predictable delays once the loan application process is initiated, especially if you are dealing with a traditional lender.

One of the main factors contributing to this delay is that most traditional lenders require a substantial amount of documentation to assess your financial stability, such as a credit report and proof of your income going back years.

Such lenders also often require an official appraisal on the house you intend to buy to ensure its value aligns with the loan amount. The underwriting process that ensues, during which the lender must evaluate the risk of approving the mortgage, also takes time, especially if there are discrepancies in your financial information, such as recent changes in employment income.

How Private Mortgage Lenders Can Advance Your Home-Buying Process

Dealing with significant delays when you are trying to get approved for a mortgage and purchase a house can be extremely frustrating. It is particularly stressful when you are competing with other buyers who have also put offers in on the same house.

Although there is, unfortunately, no way to get around these delays when you are going through a traditional lender to get a mortgage loan, dealing with private mortgage lenders can make a big difference in speeding up this process. The following are some of the main ways a private mortgage lender can expedite your home-buying process:

1. Flexible lending criteria

Unlike traditional mortgage lenders who want to see extensive documentation of your finances, and are focused on credit score and whether you have a consistently  documented high income over the years, private mortgage lenders have more flexible lending criteria.

The main focus for most private home loan lenders is your equity and your ability to repay the mortgage. This is why they are generally willing to look at factors beyond your credit score or income.

Private home loan lenders can speed up the home-buying process because it often means you do not have to spend as much time collecting and arranging documents for submission. Also, you do not have to wait for those documents to be verified and considered.

The mortgage-approval process can be especially slow when dealing with a traditional lender if you have a unique financial situation such as self-employed income, or if you have a poor credit score. Thus, it often takes extra long for traditional lenders to consider the risks of underwriting your mortgage.

You may also be turned down by multiple lenders before finally finding one who will approve your mortgage, wasting more time. You may even have to wait until you can correct your credit score before getting approved, which could take years.

However, when you work with a traditional lender and boosting your credit score is not necessary for approval, getting approved for a mortgage will not be held up by this.

2. Simplified application process

In most cases, private mortgage lenders have more streamlined mortgage application processes compared to traditional banks. This is because there is much less time-consuming paperwork to complete and fewer bureaucratic hurdles to overcome. A major component of this is a reduced regulatory burden for private lenders.

While traditional banks often have to follow strict procedures to fully adhere to regulatory requirements, private lenders face much fewer restrictions, making things less complicated. With less rigid approval criteria and fewer layers of review, it is often easier for private mortgage lenders to approve mortgages faster.

3. Streamline your mortgage search

It is usually tedious and time-consuming to seek out the right mortgage for you. Doing so usually involves a seemingly endless amount of paperwork and negotiations with different lenders.

However, when you work with an independent mortgage broker, they will do much of the legwork for you, from comparing terms and mortgage rates to managing the application process. Thus, they make it more convenient for the homebuyer, while also removing unnecessary stresses.

In addition, dealing with an independent mortgage broker means working with a seasoned professional with a deep knowledge of the mortgage market and industry trends. So, if you feel overwhelmed and you have questions, your independent mortgage broker can offer expert guidance.

With their professional insights and guidance, you can make faster and more decisive decisions regarding a mortgage agreement that works for you.

How Canadalend Can Help Speed up the Home-Buying Process 

If you want to avoid multiple delays throughout the home-buying process and possibly risk losing the home you want because of these delays, Canadalend can help you access private mortgage lenders. They will expedite your home-buying process so you can quickly get the home you want.

Even if you have a unique financial situation or a poor credit score, we will help bring a mortgage approval within reach and ensure you get access to the best possible mortgage rates.

The investors we work with have more flexible lending approaches so that you can avoid having to deal with the stringent, drawn-out approval processes that most major banks would put you through.

Our team of mortgage experts can guide you through this process, answer your questions, and provide information to relieve your doubts. We are dedicated to providing 5-star service and will even set you up with an appointment for a consultation that is 100% free so that we can get you closer to finding a mortgage that suits your needs.

For more information about how we can set you up with private mortgage lenders, or to learn about our various mortgage solutions, call Canadalend at 1-844-586-0713 or contact us here.